Domain price negotiation is very unique process and good negotiation may save you thousands of dollars. Here are a few tips to help you with your next domain purchase.

As you may know, domain name is a very unique product. Almost anything else you buy or sell has a set market value and can be easily appraised.  So negotiation can only go so far because it is unlikely that the price will differ too much from the market value, assuming both buyer and seller are knowledgeable about the specific product.

Domain names are different, while you can compare previous sales with similar domains, still, every domain name is unique and price will differ based on how much buyer or seller thinks the domain is worth. This is where negotiation comes in and can help you to convince the seller to let it go and come down on the price.

10 tips for domain purchase negotiation:

  1. Be Patient – this is probably the biggest weapon you can have. Patience is the key to driving the price down with private sells, assuming, the seller is also interested in selling the domain name. The longer you wait between the emails, the more likely it is that you’ll get a better deal.
  2. Do your homework – don’t low ball for a good domain name, don’t insult the seller’s intelligence. Make sure your offer is at least reasonable. Making a low ball offer may result in no response from the seller ever again.
  3. Research seller – the more you know about the seller the better. If they are a domainer, negotiation process you have should be different. You have to use domainer terminology in this case. If it’s someone just holding the domain name, you may have a better chance on getting it for a lower price. Then again, if they love the domain, this may also have an opposite effect.
  4. What’s on the Domain? – be sure to checkout what’s on the domain. If there is already a complete site or a business product, most likely it’ll cost you way more to acquire the domain if at all.  If it’s a parking page, this tells you the domain most likely will be available for sale. The worst thing you can do is to send a low ball offer for domain that has a completed website and business on it and clearly is not a parking page. This has happened to me that’s why I want to emphasize on this point. I own, while the site is not complete yet, I’ve put a lot of work/money on the data and the site. I’ve gotten a lot of low ball offers lately and usually don’t even respond. I only responded in one case and that was because they used a 3rd party broker to negotiate, but even in that case I didn’t take them too seriously even though their final offer was in 5 figures.
  5. Use 3rd party broker – tip #4, brings me to this point. While if you’re not really known or don’t have a large company, it may not be as effective, it usually does help the buyer. This is because sellers do their research too and if they find out you are a domainer or work for a large company, the price will defiantly go up. This is a better way to negotiate for buyers even though it may cost a little extra. As a seller, I hate brokers, because they hide buyer’s identity.  In one of my recent transactions, the buyer was a large corporation, and yes, had I known earlier, my initial price would have been much higher.
  6. Seller is a large domain house – if you want a domain from one of the large domain sellers like, this is a little different negotiation. The key I’ve found to be is to not show too much interest for a specific domain. What I mean by this is that, email them and ask the price on list of domains, even if you’re only interested in one. Start off by showing interest on some of the other domains and ask them to lower the price, then finally, move to the domain you really want and ask them to give you a good deal on that. By this time, they will be ready to just do a sale and not care so much about the price.
  7. Good Phone skills – if you have good phone skills, give them a call. Sometimes this helps to close the deal on that final stage of negotiation. This is a more personal way to negotiate and you’ll learn a lot about them while being on the phone. Tell them that your last offer is all the money that you’ve got. Again, be sure that your offer is at least close to the price they want. It wouldn’t work if the gap is too much.
  8. Show facts – if your offer is close to market value, show some facts. Show them recent domain sales and estimate from estibot as well as other similar domains listed for sale. This will help some sellers to come down to earth with their asking price.
  9. Do you want to flip the domain name ? – if you only want to get the domain name to resell or maybe you already have a buyer, if none of the other methods work, just be upfront with them. Tell them your plan, at the very least, you’ll be able to make a good commission on it. Tell them they can either sell the domain to you or give you exclusive rights to sale and higher commission. If they go with the commission, their net price should be lower than your cash offer.
  10. Don’t be a jerk – yes, this is my last tip, be polite and professional. Don’t do business with your emissions, this usually kills the deal. Even if you think that the seller is being a jerk, if you want the domain, stay cool, show them facts and proof. Don’t forget, it’s better to walk away with politeness than respond to their childish email and then walk away. This is because, they may still change their mind in time and come back and take your offer.



That’s it, have fun domaining :)