Thursday, February 21, 2008

Estibot Appraisal of NNNNN.com Portfolio

So I fed my portfolio of NNNNN.com's into Estibot's bulk portfolio appraisal tool, 200 at a time, mainly out of curiosity. I was pretty surprised at the result:

$1,571,700

This is for a portfolio of about 2,000 NNNNN.com's.

Clearly, that is a tad higher than what the market will pay right now :) and I would be pleasantly surprised if my portfolio goes for anything close to that amount even in a few years. But I certainly would not be surprised to see prices for these domains continue to rise at a fast pace.

Nevertheless, the Estibot result does show something important, namely that numerics are seriously undervalued and that the market has yet to understand and appreciate their potential. Any given NNNNN will have well over 200,000 google results most likely, better ones have over 2 million, and a similar result for a generic LLLLL would be considered golden by domainers. Numbers are the ultimate generics, internet users search for numbers every second for all sorts of reasons. Also, numerics are very popular and valuable in the Asian market. Every single NNNNN.com has decent search term volume in google ad words, and I think most of the 100,000 NNNNN.com's are already developed websites (I'm not sure if that's true for the 450,000+ LLLL.com's). It is only a matter of time before the unfounded bias many in the industry have towards numbers disappears as the real economic value of these domains forces the market to take notice.