Fail: How to Lose a Great Deal on a Premium Domain
On the heels of posting our first negotiation tip I thought it would be fun to talk about how not to negotiate a domain sale.
Over the last couple of months I’ve come across various buyer clients who were thinking about making multiple fake inquiries on a domain name in an attempt to get a lower price.
Ya, this isn’t going to work guys. To prove it here’s a true story about a recent client of ours who killed a great deal by trying to be slick.
The client came to use with a specific target domain name (two word .com in the financial niche) along with a “goal” price and their ideal payment plan structure. We went to work and got a great deal on the domain within two weeks. Done! Everybody’s happy right? Wrong!
Before finalizing the deal, the client proceeded to submit multiple low ball inquiries for the domain (from different spoof emails) and call the seller crazy (probably worst names) when they replied with their asking price. Basically the client thought they could alter the seller’s perception of fair market value and renegotiate a lower price. Unfortunately we learned about this strategy after the deed was done. The client called us and demanded we go back to the seller for a lower price.
However before we even had a chance to pick up the phone the seller reached out to us. And guess what….. the seller decided to ask for a price increase. It seems recently the domain experienced a burst in interest and, as such, the seller justified the need for a higher price. We pleaded with the seller to accept the deal under the previously agreed upon terms but they declined. The deal was dead!
Moral Of The Story
Kids, the moral of the story is that trying the sneaky multiple inquiry method is at best a waste of time and at worst a deal killer. The client should have gotten a good deal on a great domain. Instead the client got greedy.