Alec Bryan`s Business Blog

Previous to flipping websites on flippa, for a lot of people our web auction

knowledge was through eBay. Now there is lots of argument and a lack of understanding

around the reality that Flippa, aside from being similar in appearance, is somewhat

different to  buying and selling on eBay..

The clear difference between eBay and Filippa is that by using eBay, purchasers and

vendors possess a decent idea as to the price of what they put up for trade.

Often buyers and sometimes sellers come to Filippa asking “What on earth is Flippa really worth?”

With eBay, when you are a buyer you see how much an item is worth and you register and

initiate the auction process with the aim of winning the item at a cost you

know could be less expensive than retail, or if the item is a collector’s edition item, an amount

you think is suitable.

*The whole Trading Websites marketplace is so sophisticated that buyers and particularly

inexperienced buyers begin with less than adequate understanding as to what a particular trading site is worth and

how they need to set the right trading price.*

Let’s say as an, you’re selling latex blow up dolls with eBay. Both

buyer and seller possess a general idea of the doll’s monetary value. The

seller will decide the start price, often a reserve without ceiling or “buy it

now” choice and have buyers have it out through the bidding war.

On the other hand, no pun intended, if a seller on Flippa is listing

latexrubberdolls dot com, lots of buyers have no notion of how to value the site is

and look to the seller for a guide, who in turn more often than not has little or no knowledge of what

his website is worth.

I’m mainly talking of lower to mid class websites in this case, as high tier webpages

generally attract buyers who have an undering of the market and how to value a webpage is worth,

or in the least, should understand. There still tends to be a lot of emotional attachment when

buying and selling sites, which can really assist advantageously as long

as you’re the one who stays unattached (to the site, not the doll).

I see sellers  selling websites getting upset continuously due to potential buyers wanting the reserve price or a “buy it now” price when one isn’t given. The

demand stems from the eBay procedure of bidding, where typical buyers

get a general idea of the price the product is worth.

On Filippa, potential buyers of low to mid class trading sites should realise what the

seller will ask for the site and then the bidding process proves the buyer who can come out at

less than the BIN price.

I’ve tested several sites in no reserve, no BIN auctions and buyers do not know what they should be having to pay and for most cases, the websites have

been sold for cheaper than I expected.

The premier outcomes I’ve had have been from auctions that had a BIN price and

no reserve. Getting rid of any reserve and permitting the auction process a ceiling price gives

buyers the confidence to grab a “bargain”, because there is no reserve, but then they could jump in and get the bidding process for the BIN price if the

bidding becomes a little too heavy for them.

When trading websites , having a bin

price for the lower to mid grade webpages further helps buyers to offset the drama

some buyers realise from Filippa’s policy of not ending auctions if bids have been

placed during what was the final hour.

This policy grants sellers a period of time to check on the bidding and take care of any “junk”

bidders mucking up the bidding.

Traders honestly need to realise the worth of a website to ensure that being a seller you

can have the best amount for a site and conversely when buying you must have the smarts to see the scores of undervalued bargain trades on offer each and every day by using Flippa.