How Much Is Your Website Worth
How Much Is Your Website Worth?
Do you know what your weblocation is worth? The rapid answer: Multiply the number of rare monthly visitors to your weblocation by $38. That is, if you common 1000 rare monthly visitors, your weblocation is worth $38,000; if you common 100,000 rare monthly visitors, your weblocation is worth $3.8 million.
deem some of the next purchases in the last year:
Dow Jones purchases MarketWatch for $519 million
America Online purchases Weblogs Inc for $25 million
gossip Corp. purchases MySpace for $580 million
InterActiveCorp purchases Ask Jeeves for $1.9 billion
In an item allowed “What factory,” the December originate of concern 2.0 magazine looks at fresh sales of weblocations and analyzes the weblocations’ travel to scope a quantity for each monthly visitor. The dignitary they came up with is $38 per rare monthly visitor.
So what does this mean? For high travel weblocations, bubble-era buyouts are back. If you own a high travel weblocation you can, potentially, trade it and attack it cloying. Now, the above example of a weblocation that generates 1000 monthly visitors is just that, an example; upstart’s interested in 1000 visitors. But, if you have 100,000 monthly visitors and up you may be on to something. High travel is worth money in advertising revenue. Internet advertising expenses will scope $12 billion by the end of this year.
The item states that venture capitalists look at three metrics when valuing an internet circle:
1. The price of enrolling new users to the weblocation
2. The stickiness of the weblocation (the frequency of reiterate visits)
3. Add-on navy (like premium accounts)
I would go foster to say that weblocations that foil a forte meeting that isn’t already soaked by other weblocations will be worth more. Take MySpace.com, for example; it foils the 18-35 age band. Off the top of my leader, I can think of dozens of weblocations that speedily compete for the same advertising dollars… TheFaceBook.com, Friendster.com, ClassMates.com, HotOrNot.com, to name just a few. Yet, MySpace.com sold for $580 million. What if your weblocation has high travel but also attracts a different demographic, a demographic that advertisers would like to get to but don’t yet have the opportunity to do so? How much is that worth?
Also, I would say that weblocations that find a way to get users to pay for rare navy will also notes in. We’ve all seen weblocations that present boundless accounts but want a fee to upgrade to premium accounts. PhotoBucket.com, a photo allotment location, wants a monthly fee for augmented bandwidth. Ryze.com, a venture networking location, wants a monthly fee just to be able to dispatch other members on the location. But what if your weblocation charges users a fee for rare information? And, what if your users are more than disposed to pay for it? How much is that worth?
So, how much is your weblocation worth? Only time will tell.
Tino Buntic is the inventor of TradePals, providing competent sales leads to venture professionals and entrepreneurs across The United States and Canada.
Filed by admin at August 30th, 2008 under Advertising