Factors That Determine Website Value
When it comes to determining website value there are a few key factors that should be considered. The main factors that determine website value can be summarized as domain name; content; traffic; revenue; prominence and page rank; and daily work.
The first thing to consider is the domain name of the website. Is the site dot com or one of the variations? Is it clearly linked to the content of the website? Generally a dot com site is valued more highly than any of the other of the domain name endings as it is has more prominence and will often attract direct URL input hits. For example, whiskey.com will attract more viewers than whiskey.biz or any other variation.
The second factor to take into account is content. Search engines rely on finding the maximum amount of content on a particular topic so if the site is laden with focused content then it is likely to be worth more. They also work on unique content so if your website contains unique content its relative value should be higher to others with non-unique content.
The third factor, traffic, is one of, if not the most important, aspect in determining website value as it shows the number of visitors the site attracts on a daily basis and the number of repeat visitors- i.e. people who return to the site having visited it once. This is incredibly important as it determines the potential for income creation for the site.
The fourth factor, revenue, is the one that most determines the current value of a website. These figures are normally directly correlated to the amount of traffic the site has flowing to and through it. These figures can be a combination of advertising revenue and direct sales made from the site and are the most obvious factor in determining the value of a website.
The fifth factor, prominence/page rank, indicates the visibility of the website. Page rank has been referred to as the site's authority value in the eyes of the search engines. Keyword ranking simply means how high up on the list the website appears when key terms are put into a search engine.
A site with a high prominence in the search ranking is likely to attract far more visitors than one lower down the rankings- typically the first 10 or so entries are the only ones likely to be clicked by prospective browsers. Anything in this bracket is therefore worth more than other pages- often even if better content is available elsewhere.
The amount of daily work the site requires is also a key factor to take into account in determining website value as a site that generates an average of $100 a day, but requires 5-6 hours of input is going to be worth less than a site that generates $50 requiring no hours input.