DomainMart Estimates Domain Name Price Appreciation at 94%

June 19, 2006; 01:54 AM

Berkeley, CA - DomainMart, a leading provider of quantitative and analytical domain-name services, released today a study that estimates the annual domain name price appreciation to be 94 percent.

The report points out that the new methodology, which uses tree-structure regression techniques, has the following advantages:

1.     Other empirical studies on domain name price appreciation neither make their methodology nor the sales prices public. Thus, making their results highly suspicious.

2.     The grouping of similar domain names allows a researcher to examine the performance of each group separately over time and across categories, such as hyphenated and numeric.

3.     The model allows testing the statistical significance of inter-group and over-all price appreciation over time.

4.     The model overcomes the problem of paucity of multiple buy-sell data for the same domain name.

The study was based on a dataset of 2,050 “.com” domain name sales during January 2005 and March 2006.

“We are currently investigating the relative strength of brand and traffic value drivers in their contribution to price appreciation,” says Alex Tajirian, DomainMart CEO.

Price appreciation estimates will be updated and made public quarterly, according to Tajirian.

About DomainMart
DomainMart is an industry leader in providing domain-name secondary-market products and consulting services, including appraisal, escrow, private investment management funds, protection, valuation, and parking traffic monetization management since 1996.

Tom Saitori, Marketing Specialist DomainMart Tel: +1 (415) 905-4234