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Home » The Famous Blog » How Much Is My Site Worth?

How Much Is My Site Worth?

April 12, 2010 - Last Modified: April 12, 2010 by rebecca

value of my site

Everyone hears the stories of sites that sold for 100s of millions and into the billions. Everyone wants to build the next YouTube. There is also a ton of money in the internet. More dollars are being spent on internet advertising than any other media outlet today. With computers becoming so cheap and growing internet access in third world countries, a whole new viewership has emerged. Advertisers are willing to jump on the bandwagon to get their products out on sites backed by reliable web hosting. When it comes down to it, if you have the clicks the money will come!

How did you start?

Sure you started with programming using one or more  scripting languages. The most common is HTML which is the base for PHP and ASP.  After everything is created, your next step is finding a web host. Web hosting plays a crucial role in site building. A good web hosting company offers quality, security, privacy, and right bandwith to store your files. It also offers software and services to give you complete control of your site including revenue. It may be costly to have a self-hosted site but it pays off in the end.

Are clicks all that matter?

Click is not all that matters. You’ll also need viewership and repeat viewers. You definitely want a solid group of regular viewers, they are the backbone of the value of the site. You also want new viewers just as much though. New viewers mean the site is growing and people want to buy sites that are on the rise. They want to know that there is definitely a future interest in your site. You will want to show that it is rock solid with a great outlook. It’s good to try and get people to sign up so you can show an existing base. If you also have something that is one of a kind or utilizes a great new technology that will have a major affect on the value of your site. New technology pays and it pays well especially if it proves to be successful.

How much money does it bring in?

Does your site make money? Big question. If it brings in a good amount of income every month then that obviously increases the value. It really depends on what your site is intended to do. There are a number of sites that sell nothing and rely solely on viewership, there are other sites that are simply dedicated to selling products. If you sell a product or service you will want to show how well it does financially and make sure that factors into the sale price. Another thing is your investment. If your site sells stock photos for example and you had to buy those photos then there is a cost to build the site and that should be factored into a sale price. It depends on what people are looking to buy but certainly content is very valuable these days. Look at all that your site has to offer and what that may be worth. You may also want to get an appraisal by a third party company.

How do unique visitors and memberships factor into the value?

It’s best to start with the more obvious indicators of value. Unique visitors and returning users are the biggest factors that go into evaluating any site. Investors want to know exactly how many people are visiting the site and how many are repeat users. Membership is also a factor as it reflects customer base. The more members, the better. The other value to membership is that you have a developed demographic who you could market to. With your members you can also determine an average monthly income from this and then use that number as a way to come up with a value of your site. Having a lot of both is great but the customer base helps put a good financial number to the value of the site. Unique visitors are nice but if they don’t sign up then it could be assumed that the site wasn’t interesting enough for them. Unique visitors are good if you are selling ad spots on your site. Being able to drive traffic to advertisers via banners on your sites is of great value.

What about all the services I offer and the actual profit?

Offering many services is great but it doesn’t necessarily mean that you own an expensive site. If you have a lot of overhead and not a lot of profit then that will be viewed as a negative. Ideally your site should simply have a large membership, high net profit and very low overhead. Keep it lean. In the end though the most important fact to take into consideration when you put a value on your site is how much money does the site really make. After all the costs are deducted from your gross income, what are you left with and how long do you think the profit can be sustained or even grown. This is the single most important factor when coming up with a price.

Share your Thoughts!

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Filed Under: From Here and There, News

About rebecca

Rebecca Wright is a 34-year-old native of Florida. She has a knack for details on web hosting and anything about it. She works full time as a Senior Web Copywriter for one of the country's leading web hosting company.

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{ 32 Responses }

  1. John says:
    well said, internet has becoming a huge advertising platform nowadays. There's a huge potential to earn right there.
  2. satrap says:
    Great points you make Rebecca. This is really a simple yet proper way to estimate your site's worth. You know what I (and I imagine many other here) hate? Those "website worth" calculator sites, where you submit your url and it tells you how much its worth based on traffic, ranking and earnings from different venues. They always estimate your worth way way more than what it actually is worth. And, sadly some bloggers and webmaster take it as a fact and run with it.
  3. Call Center en Argentina says:
    Thanks for a great article! My best, Alex
  4. Jason Jumat says:
    Thank you for this article. Gives me reason to also look at "value" from another perspective. Money can't be the only value to a site. I think even the websites that even don't rank that much is also valued much by it's owners. If I may, I can almost say that a website is like a child. Perhaps. In spite of it's many problems it gives you, the bugs, how to laugh at the comments the people give on your site, how the spammers make you mad, how you need to tweak your blog and sometimes get frustrated about you not ranking in time on Google . . . It's still your blog. And you're proud of it. Even though it's not as great as the biggest ones that exist. And some day through all the troubles it would have give you - You find that it gave you a meaning. It was (is) your passion.
    • Jason Jumat says:
      You're saying that there are lots of site selling for millions - well these days websites also tend to sell by accident. You never know when a big corporation would want to buy your site from you without you wanting to sell it. But if they ask you $15 M proposal, you're obviously going to do it. So keep posting and posting and ranking and letting your blog rank in the top.
  5. lisa says:
    Hi! I would like to suggest you my favorite tool - http://www.estimix.com - a web site statistics and web analytics service. Here you can find information about every single page on the web.
  6. 113Tidbits says:
    I don't even bother with the majority of these tools and gadgets that try to say how much a site is worth. The main ideal for me is to be passionate about my content and any other linkages I build that I feel have worth for me. .-= NEW from 113Tidbits´s last blog ..Cowards Of Hate Are Angry Anonymous Liberal Types =-.
    • Rebecca Wright says:
      It's great that you are passionate about your content and backlinks. However, it is still better that you prove how valuable your site is. Those tools can help you but your site can speak for itself. And it is best if other people also think that your site is great.
  7. Kharim says:
    How do you know the real value of your site? I see some some websites that value other sites, but are they true? .-= NEW from Kharim´s last blog ..Making Your Blog Into A Business =-.
    • Rebecca Wright says:
      Actually, the common denominator is to ask: How profitable/powerful is your site? You may use available tools but be sure that what you are using is trusted by many. There are a lot of tools out there that give varying results; careful what to trust.
  8. Aj Clarke says:
    I think you nailed it when you referenced content and money. It is so important for your site to be making money if you are trying to sell it. And the original content is also so crucial as it will affect not only your search engine ranking but also the credibility of your site. This is a nice article. thanks for sharing. .-= NEW from Aj Clarke @ Top Wordpress Themes´s last blog ..Stockphoto Shop Wordpress Theme =-.
  9. Tinh says:
    There are a lot of apps that calculate or measure the value of website but I do not believe any. Some says that my blog is worth $50k and some says it is $25k, if someone can pay $10k 0r 15K I will sell my blog right away. .-= NEW from Tinh´s last blog ..Google Officially Released Google Buzz Button & API =-.
    • Rebecca Wright says:
      The higher the better, right? It really pays off to have a quality site.
  10. Brendan says:
    wow! This is a great article on how to decide on the value of your site. The fan base and readership base is by far the most important thing in the value of the site and I'm glad that you address that in this article. This will come in handy for the next site that I sell on flippa. Thank you. .-= NEW from Brendan @ Online Marketing Consultant´s last blog ..Justin McCullough’s Twitter Ebook Project =-.
  11. Trafficke SEO Firm says:
    Thanks for the great post. I also recommend using websites like http://websiteoutlook.com and http://cubestat.com to find your website value. .-= NEW from Trafficke SEO Firm´s last blog ..Getting Google Trust =-.
    • Chandan says:
      You won't get the actual value of a website using those website. The result is far behind the actual. Nice article Rebecca. .-= NEW from Chandan@make money online´s last blog ..How I Ranked in First Page of Google Within 48 Hours =-.
  12. Olusegun says:
    There are sites that actually give you a rough estimate of your site's worth in USD. Of course the more eyeballs you attract the better your site's dollar value.
    • Dennis Edell says:
      Most, if not all of those sites are more "for fun"; you'll see what I mean if you compare some. .-= NEW from Dennis Edell @ Direct Sales Marketing´s last blog ..UPDATED: YES it is Time for ME to TWEET! What’s my username? Part 1 =-.
  13. Dennis Edell says:
    "A site is worth what someone is willing to pay for it" That's the sad fact. We can hit all the high notes and ask what we think it's worth and hope for the best. It totally depends on the buyers wants and needs. Some may buy for the monthly income it already has, some may buy for the high subscriber list and cash POTENTIAL if not actual at the time of purchase. .-= NEW from Dennis Edell @ Direct Sales Marketing´s last blog ..New Updated Long Detailed Comment Policy Coming very SOON! Among Others… =-.
    • Chris Guthrie says:
      Yep, I'm working on a sale of one of my websites now. It should go for 6 figures, it's just a matter of how high into the 6 figure mark it will go for. I will of course document the process on my blog when the sale is complete. .-= NEW from Chris Guthrie@Make Money On The Internet´s last blog ..Vibrant Media Review – In Text Advertising Case Study Part 2 =-.
  14. Sarah says:
    It depends on how much visitors you have, the conversion rate and the income you generate from it. There are different factors that help, for example you can give some freebies sometimes to get more followers and they also recommend you. It help to make you popular. .-= NEW from Sarah@Small solar panels´s last blog ..Solar Energy Power =-.
  15. Karen says:
    I've seen quite a few website that show you how much your blog is worth, but whether or not these are accurate is another matter. I suspect that a major contribution to a blog selling for a good amount is the fact of how much money the blog can bring in.. .-= NEW from Karen @ Blazing Minds´s last blog ..Glasses Cure Depression From The Vets =-.
  16. Latief says:
    I think build a site like you talking about is our of my control, lol! But really interesting about what you said about repeat visitors and find new comer to your blog, this is really simple words but have a lots of meaning for a blogger like me. I'll keep this in mind and thanks for this awesome article sister :) .-= NEW from Latief@AnotherBlogger´s last blog ..Free Wordpress Themes From WPREX =-.
  17. Bogdan says:
    I think it all depends on how much money a website delivers in that certain post. Of course, number of visitors is also something to take notice of when evaluating a website, but definitely the present income is the first "the analyze"...
  18. Dr. Ann Voisin says:
    Hi, I think my comment was just sent to trash. I would appreciate your finding it in your spam folder and, if you approve it coming on over to ToysPeriod for a backlink or many backlinks. ToysPeriod is a Do Follow site with Google Page Rank 4. Somehow Akismet has decided to trash anything from ToysPeriod. That's very strange since ToysPeriod itself never leaves comments anywhere. They are mostly a college scholarship provider for LC. Anyway, please consider looking at your spam folder. You will find my comment in there. My best, Dr. Ann
    • Hesham says:
      Dr Ann, I Don't think you have a problem, the setting of our blog prevent the first comment until we approve it!
  19. Dr. Ann Voisin says:
    Generally speaking, the same principles that has made others wealthy, still work for the internet. One must have a unique idea and the skills and knowledge to introduce that idea to the correct people in a timely way. Unfortunately, most entrepreneurs today are actually people who have caught the tale end of a great idea, and are among those being thrown against the proverbial wall to see how many of them will stick. This is not the way to become a millionaire or billionaire. When we look at a Steve Jobs, for example, we see a value system whereby he is most excited when he is working to bring something brand new to the market. For example, the original Apple was the first to use calligraphy quality characters. That resulted from Steve's study of calligraphy while he was in the process of dropping out of Reed College. He was able to bring to the market an item that became wildly popular because Apple was the first with the best....actually with the only quality font structure at the time. How much could someone today make by bringing a calligraphy quality font to the marketplace? My best guess would be zero. But, there is always room for the new IPod or IPad or ?? Dr. Ann, LC College .-= NEW from Dr. Ann Voisin´s last blog ..New Product: LEGO 6267 Lagoon Lock-Up Imperial Soldiers Pirates Fort New =-.
    • Rebecca Wright says:
      Like I've said, to have something that is one of a kind or utilizes a great new technology will eventually create a major effect on the value of a given site. YouTube, Digg, and Apple are just some of the names in the industry that made it big because of ingenuity and more.
  20. lawmacs says:
    Yeah you are right every one would like to build the next youtube or digg but this is a fantasy to get that into reality is another thing the internet has grown over the past years and has become something of an addiction we have the facebook and others the question in my mind is what will be the big internet phenomenon. brilliant write up. .-= NEW from lawmacs´s last blog ..What Is Search Engine Optimization? =-.

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