Value of a Website

[abe]

In case you were wondering, try this website out:


http://www.dnscoop.com/



Value of http://www.knightsoftheroundel.com: rut ro, $0

Value of http://www.bimmerfest.com: $1,063,244

:shock:


Well, it's something to shoot for. 8-)


Hadn't noticed this before: http://photos.bimmerfest.com/

[boxboss]

Hadn't noticed this before: http://photos.bimmerfest.com/
:hmm:

No "6 Series" group of photos...WTF?

Very interesting. If the value of the site is based on a multiplier of 8 times earnings, then the owner of the website is reaping in $12.5K a month in profit. After paying his mods and giving the former owner his share, the owner is raking in $12.5K.* If the website is valued at 4 times earnings, then the owner is taking in close to $25K, which was my guesstimate when I became pissed off at tripping over sponsors there everywhere, and the last straw was having a truly ignorant sponsor (Knave Hegotusourownwebsite) with moderation powers over our posts.

We may have reduced the feast.commercial's traffic a touch, though that was not our intention. I just couldn't stand some guy who probably didn't know what a BMW was a few months ago being able to remove my posts, either because he has been given mod powers or because he has mods at his beck and call. :soapbox:

We no longer have to run the gauntlet of being importuned by ads on a minute-by-minute basis, nor do we have to put up with the :idiot: Umnitza posts.


* I have often thought that the mods there were cultists. They were very loyal to the first owner of the board and work their bottoms off for the "BMW Community" without pay and without knowing what a cash cow the site is. But as long as they are given the opportunity to look into Jon's shining face, they are satisfied.

[Nevervana]

I often wonder why they even bother to create sites like this valuation site. Its so rought with errors and potential errors. For example, my site is listed as being worth $34,000 based on their rather vague, erroneous criteria. Yet one portion generates over $500k a year.

So much for accuracy.

I believe they're basing value on the amount of traffic that comes through. The assumption that the more traffic you have the more money you can make. That's a fair assumption, but different sites either can... or can't generate money.... off their traffic. It depends on what kind of site it is.

If its purely an information site, you could whore it out and make it into an online store instead .... thereby monetizing your traffic. But at the same time everyone will stop coming to the site cuz now your site sucks. And all those links into your site will disappear cuz your site now sucks. And suddenly the "valuation" tool will say your site isnt worth 1 million anymore because nobody is linking to you. So content and purpose is the most important factor in the value of the site.

Just because you have "X" million people visiting your site does not mean you are making X percent off of them.

-N-

[abe]

That's fascinating, Nevervana. They definitely picked the right guy to run this site! :)

The site you describe, is that $500K just from ad revenue? Or sales of a product?