Selling One of My Websites on Flippa
A couple days ago I looked at the traffic stats of my Spyware Removal website, and I saw that my traffic for the site has been pretty stagnant, gradually, slowly going downward. Conversion on the products had been going down as well for some reason. I thought long and hard, and decided that the market would change in the coming year. I thought that traffic was slipping because virus removal programs were getting better, and that it was likely that Windows 8 would improve it’s in-house virus removal, which would only get better with time. (Of course, I could be dead-wrong, but this is what my thinking process was.)
So, I had to decide – was it worth it to keep my site which was making anywhere from $250-550/month as of late, or was it a better plan to sell it?
I did my research, I looked at the trends in my traffic, and I estimated that the site would not make a quick turnaround. As of this month, it was earning around $235, and I predicted that this number would continue to lessen. I imagine that the site, if I kept it the way it was, would gradually make less and less, albeit, very slowly, so if I wanted to hold on to it, it could easily make me something like $2,000-2,500 in a year.
But instead of holding on to it and hoping for a resurrection, I decided to sell the site. So, I thought it would be useful to explain my process for listing the site on Flippa. (If you haven’t heard of Flippa, it’s the most popular marketplace for listing and buying websites. I’ll go over a strategy for finding sites to buy, in the future.)
How to Best Sell Your Website on Flippa.com:
I think the first, and most important thing you should do when thinking of selling your site, is to gather all of the information that buyers will want to know about.
Here’s what buyers will want to know:
- How much traffic does your site get per month? What is the trend per month over the last year? (Note: You will often need to grant a bidder access to your site’s Google Analytics. This is so that they can poke around and see where your traffic comes from, and general trends. You basically need to be an open book when selling your website.)
- What is your site’s revenue model, if any? Are you selling ad-space? Products? Affiliate products? Services? (Note: You will need screen shots of earnings, where applicable.)
- Why are you selling the site? (Note: You should have a reason that you are selling the website. This can be as simple as ‘I am investing in other sites’, ‘I am too busy with other projects’… just write something.)
- How much time do you spend on the site per month?
- What are your expenses associated with the site? (Note: Think hosting, Virtual Assistant expenses, etc.)
- Do you have proof of the site ranking in Google? (Note: Take screenshots of your site’s rankings. The more proof in general, the better… On a Mac, you can take screenshots using Command+Shift+3, and on PC you can take screenshots using the “PrntScrn” button, and then pasting in MS Paint, Photoshop, or other.)
- How old is the domain name? What’s the Pagerank of the domain name?
- Is the site “newbie” friendly? (Note: Always make it seem as easy as possible for someone to just pick up and go with your site. Don’t lie, of course, but if it’s not too difficult to pass it over to someone, then stress that.)
- Always stress all the great opportunities that you have missed. This gets buyers minds racing about how they could better monetize your website. Here are some ideas:
- A YouTube Channel,
- a Facebook Page,
- AdSense on your site,
- other Paid ads on your site,
- Affiliate products that you haven’t considered,
- building a mailing list,
- building a services list,
- adding a forum,
- adding a local listing page, etc.You never know what could spark an idea in your buyer’s mind.
What should I expect to make on Flippa for my website?
- The way to consider what people will spend on your site, is by judging what your traffic is like, what your monthly revenue is, and what missing opportunities there are.
- Many people choose a metric such as multiplying your monthly revenue by anywhere from 12x to 24x (and higher). It all depends on how much profitability there seems to be. So if you’re making $100 in net profit per month, you can expect to make anywhere from $1,200 to $2,400, and sometimes more. This means, a buyer can expect to start making new profits in 1-2 years, as long as everything stays the same.
How should I word the title of the auction?
- Type of Site + # of Unique Hits/Month + $ / month
- So for my site it was:
“Virus Removal Site with 7,050 Uniques/Mo making $1,010/mo”
- Keep in mind though – in my listing, my site had been on a downward trend, but the 12-month average was 1,010/mo. This may seem a little sneaky, but the average is 1,010, whether or not the site made just $550 the month before. (A buyer will look into much more than your headline, but this is to attract the most attention right off the bat.)
How do I choose a Reserve Price, a Buy-It-Now Price?
- When choosing a reserve price, this is totally up to you. I would place it somewhere in the 12x to 24x number – but basically just choose a number that you would be happy with. If I had a site that was making $100/month and traffic seemed to be dipping, and I wasn’t super-optimistic about its future, then I would lean closer to the 12x number. If I was more optimistic, I’d lean closer to the 24x number.
- When choosing a Buy-It-Now price, I would go high. Choose a number you’d be really happy with. So in the previous example, I would choose 24x or above, perhaps 30x. So a $100/month site would have a $3,000 Buy-It-Now (BIN) price.
What Category should I choose, and what should the starting price be?
- View what the most popular Flippa categories are, and choose one. The site that I am selling is in the Virus Removal niche. Originally I had it listed in a category “Virus Removal,” but I noticed that this category had 0 other websites. The most popular category on Flippa is Technology, so I changed the category to Technology. I had multiple bids on the first day, and I am sure it is because of the category.
Lastly, make sure that you are quickly available to answer any questions that bidders may have. There are public and private comments, make sure that you check every day and answer any and all questions. Transparency is key.
Okay, so that should give you a pretty good introduction to how to sell your site on Flippa.
I didn’t go over the steps that you fill in when you list your auction, because those are very self-explanatory. The info I’ve covered is what to add into your “description”, how to choose a reserve price, and a Buy It Now price. I hope that has helped anyone out there who is considering selling their website.
There are other methods of selling your site, such as sites like DigitalPoint, WebsiteBroker, BuySellWebsite, and even eBay. But in my experience, Flippa is the juggernaut, and you should spend most of your time there if you’re trying to sell.
What has your experience been like with Flippa? Or do you have any questions about Flippa? Let me know!