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Explore How to Calculate the Website Cost Depends on Different Factors

Explore How to Calculate the Website Cost Depends on Different Factors

You can assess how much a website costs using such sites as Flippa, as well as other similar services, which are available in abundance on the web today. However, the main disadvantage of all these services is that they only give approximate website development costs, calculated according to some unknown formula or using website cost calculator. What is more, how can we assess the site with the help of a formula?

The design, usability, theme and potential of a site can’t be assessed using any existing formula, but they are very important elements of any site estimation. That is why, if you have decided to sell or buy a site, we strongly recommend you to make your own calculations on how much to charge for a website.

Many webmasters use a very easy technique of assessing the site cost, they multiply its monthly income by 12-18 (12-18 is a number of months it takes to earn back the money spent on it) and this is how they get a market price. But this method also has its drawbacks as it only works with sites created and promoted by real professionals. Thus if the site was created as SFP (Site for People) and not for a commercial purpose, it wouldn’t bring a dime. However, if its income is about 20$, but it will be sold for 250$ and get to a good specialist, after some little tricks and with a passage of several months, it can increase its income by 3-4 times or even more. In this case we can say that the site has been sold almost for free. Therefore, it is important to include the perspective of future site development into its assessment. Considering this method of site assessment, we will outline additional crucial criteria, which will adjust the final site price. Let us list these important criteria and examine the final price of the site step by step.

Calculation of the site income

It is very easy to calculate the income of your site, but what about someone else’s, which you want to buy? The easiest and sure way is to keep in touch with its owner and ask him directly. There is no guarantee of true results if you try to assess site income using various online services. Furthermore, various services will give you different results, thus don’t even waste your time on them, but get in touch with the site seller first. Once discovered its income, you should multiply it by 12-18 and you will get a base cost of the site.

Verification of site quality

After the base cost of the site is clarified, it is necessary to check the quality of the site, paying attention to such factors:

  • Are there any sanctions against this site from search engines?
  • How many pages have been indexed by Google and Yandex? (more than 100 pages in search is preferred)
  • What is the age of the site? (the older, the better, but not less than 6 months)

Number of unique visitors to the site

The situation is quite controversial here. Of course, having high traffic for your site is excellent, but 100 visitors, who are interested in “Forex” theme will be value more, than 1000 visitors with a “having fun” attitude. This is because people with the Forex orientation often lead to a sale, which gives you more income than views and clicks from 1000 visitors on an entertaining site. However, it is essential to have statistics of site visits. If there are only 20-30 people, who visit your site daily, then you will have to work hard to increase this rate, and such a site can’t cost much; in this case you can lower its base cost for an additional 20-30%.

Analysis of the site design

It is necessary to make a visual examination of the website design before making a final assessment of the site. It must feed the eyes, not rip them out, and the structure should be simple, compelling and user-friendly. The websites with a unique website design cost more, than those, created using sites templates, but the uniqueness of the templates can be assessed only by the experienced webmasters or web designers. The ordinary buyer can only get a general impression of the design and should not bother with this issue unless the design doesn’t look pleasant and you get lost in its interface.

Defining a site theme

The constant flow of an audience has always been factored into prices. Among the best sellers are news portals, resources with a commercial theme (for instance, building, automobile theme, tourism) and active forums. The less popular are worn-out themes such as software, music websites etc.

Checking the uniqueness of the website content

This is indeed the most important factor. If the content is unique, then you can start promoting your website in top search engines,  but if it is plagiarized or of bad quality, then it has no future. What’s more, if the site is young and contains crappy rewritings or even worst, copy-pasted content (stolen from other resources), then the base cost should immediately be reduced by up to 90-95%. The websites, which have stolen content can be filtered out by search engines at any minute, thus the chance to place in Google SERP for such websites is equal to zero. You should always buy sites with unique content. And you can check its uniqueness using special services, like Copywritely.

Analysis of the domain name

A good domain name also plays a great role in increasing the value of a website and its assessed price. Short names, consisting of 2-3 symbols, can cost tens of thousands dollars. Furthermore, it is fantastic if the domain name consists of the website keyword, you can add 50-100 USD only for this.

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