Website Flipping Market Snapshot: 10-3-10


The data for the Most Actives, Top Sellers, Top Selling Niches, and Most Active Site Flippers is based on the market activity at Flippa.com. As the largest and most popular marketplace for site flippers right now, the market activity there provides valuable insight on what people are buying and selling.


MOST ACTIVES


www.BulkFans.com – 47 Bids
SOLD: $12,000

Established: September 2010
Unique Visitors/Month: 13
Net Profit/Month: $353
Description: Site selling Facebook fans.

Comments: I get it – social networks are hot (especially Facebook and Twitter) – but how does a site that’s not even a month old sell at a 34X multiple? That’s insane! These sites that sell Facebook fans are on fire right now as every week it seems one makes the most actives or top sellers list. However, I think buyers are overpaying for these sites. This was basically a startup with very little traffic. In fact, almost all of the traffic relied on AdWords. If you buy a site like this, you better know the PPC game our your investment could turn sour very fast. See auction here.


www.BreakfastNookFurniture.org – 44 Bids
SOLD: $1,400

Established: November 2009
Unique Visitors/Month: 352
Net Profit/Month: $53
Description: Breakfast nook furniture site monetized by AdSense.

Comments: Another U-G-L-Y AdSense site sells at a nice mutliple. It just goes to show you that with a little elbow grease, anyone should be able to make *some* money with AdSense. I’m not knocking this site – quite the contrary. Kudos to the seller for creating such a simple site that makes money! If you are an Internet Marketing newbie, this site (and the consequent sale) should motivate you. Just one word of advice, PLEASE install Google Analytics on your sites as you build them. It still boggles my mind when a buyer asks for Google Analtyics (the industry standard among flippers right now) and the seller says he doesn’t use it. It’s free and easy to use and buyers will demand it so use it! See auction here.


www.SunsilkHairProducts.net – 37 Bids
SOLD: $600

Established: April 2010
Unique Visitors/Month: 670
Net Profit/Month: $50
Description: Pair of hair care niche sites monetized by AdSense and Amazon affiliate sales.

Comments: Back when I was in real estate, if a deal fell through the first time around a buyer the second time around would usually get a hell of a deal because the house would sell for less – for whatever reason. In website flipping, it seems to be just the opposite – at least on these smaller deals. This seller had a couple Amazon/AdSense sites for sale that sold but the buyer didn’t pay. The seller ended up selling for more on the relist. That’s my only observation with this auction as the sites being sold were yawners. See auction here.


TOP SELLERS


www.ProfitMiracle.com – $50,000
BIDS: 3

Established: February 2009
Unique Visitors/Month: 57,000
Net Profit/Month: $8,000
Description: Site offering affiliate marketing resources monetized by membership, affiliate, and upgrade sales.

Comments: “Jamie Lewis is a reputable seller and well known in the Internet marketing world,” says the auction. I’m sorry, but who are you…lol. I’m just giving Jamie a hard time. I’ve been in this business for 5 years and I’ve never heard of the guy. I just get a kick out of these auctions where the seller claims to be the “Frank Kern” of the Internet marketing world. O.K., on with the website itself…this seemed to be a successful membership site that provided a system that helped affiliate marketers drive traffic to their affiliate sites and offers. If everything on paper was legit, I’m surprised at how low this site sold for – just a little over a 6X multiple. You would think an established website with this kind of revenue would sell for at least double that. See auction here.


www.DesperateBuyersOnly.com – $25,000
BIDS: 28

Established: March 2006
Unique Visitors/Month: 1,600
Net Profit/Month: $1,988
Description: Site selling an ebook on selling information products.

Comments: This was an interesting auction because the product being sold was actually being sold by someone who is known in the Internet marketing world – Alexis Dawes. And the ebook being sold is actually of high value as I own it. What was most interesting about this auction, however, was that the seller was only giving resale rights to his ebook and not full rights. When a potential buyer asked the seller why this was, he basically responded that he wanted *some* control over the product because his name is on it and he didn’t want his name (i.e. his brand) to get tarnished in any way. I think that’s a great idea if you are selling a website that sells an ebook that is branded by you. I’m surprised more sellers don’t do this. See auction here.


www.RefinanceMortgages.com – $16,000
BIDS: 15

Established: September 1999
Unique Visitors/Month: 100
Net Profit/Month: None
Description: Mortgage refinancing site.

Comments: Just as I say sites usually sell for more the second time around when the first deal doesn’t go through, an auction comes along to prove me wrong. This seller had his website sold for $21,700 the first time around but the buyer didn’t follow through. Unfortunately, the seller settled for $16,000 the second time around. These non-paying buyers are really starting to drive me crazy as I see a lot of this on Flippa.

As one commenter suggested in this auction, Flippa needs to come up with a system to prevent this and one such way would be to require buyers to deposit the amount of money they bid when the bid is over $5,000. Now I don’t know if that is realistic, but I like the general idea of requiring buyers to put some kind of earnest money in escrow when they place a bid on these higher-end auctions. We did it in real estate so why not do it with virtual real estate? The more I think of this, the more I like it. Flippa, are you listening? See auction here.


TYPES OF WEBSITES MOST WATCHED BY BUYERS


This metric provides a lot of insight on the website flipping market. These are the types of websites that buyers are watching. In other words, these are the types of websites that buyers are interested in buying today. As a potential seller, this is great information because if your website falls into any of these categories, be sure to tag them as such when you list them. And if you’re a short-term flipper, these are the types of websites you should be building for sale.

AdSense: 61 buyers watching

WordPress: 57 buyers watching

Ecommerce: 56 buyers watching


See Past Website Sales For The Most Actives
and Top Sellers For Every Month!