Assuming you had the chance to buy a typo domain that could logically deliver traffic to an existing domain of yours. Let's use an example. Your domain is about cars and you you could buy forde . com. Say this domain name is hit 500 times per month. What would be a fair price for that semi-targeted traffic? Same question when the domain is completely unrelated to your site?
Depending on MANY factors, the targeted traffic is worth about $200-500 (if the traffic is constant) and un-targeted Id say $50-300.
I would base the value of typo domain on the click revenue it generate... Try selling a typo domain and people would ask for the revenue stats... Have a look at dnforum.com > my fav place to deal domains
Revenue X Timeframe = Value Timeframe is based on risk. Ford is notorious for going after TMs. I have seen typos going for about 1-2 years of revenue on average lately. Of course higher risk get less multiples and less risky get more.
Drig that is quite a range. Also higher than I would have estimated. Looking at a one year return that is 3.3 cents per click on the low side and 8.3 cents on the high end. Would you agree that is the proper way to figure it? Things change so quickly I would hate to base the cost on more than a years return. Kiviniar I would agree with your method if I were parking the domain on a parking site. In this case though value is in the form of what I would have to pay for the same number of clicks. Anyone else want to weigh in on this topic?
Value of a unique visitor * number of visitors = worth You know how much revenue each unique visitor brings you if you have an existing site. Number of visitors * Ad CTR (20% or so for a decent parking page) * Ad price