How Your Website Age Affects Website Sale Price
Website buyers generally prefer aged and established websites over younger websites. That is, websites that have a few years of traffic and financial data under their belt.
The major obvious reason is there’s less perceived risk in an older website. Its future traffic and financial results can be estimated better using its longer historical results. A younger website has less data to use in a forecast.
Another major reason is that an older website has gone through many search engine algorithm updates such as Google algorithm updates. There are often over 500 Google updates per year. So an older website may have seen thousands of updates during its lifetime.
In this way, a buyer can do a thorough backlink analysis and assess how the website reacted to past updates in order to predict how it may be affected by future updates. If the website didn’t suffer any significant search engine ranking or traffic drops during the update period, then it’s more likely to do well with future updates.
A younger website that has experienced fewer updates is viewed as a higher risk. It hasn’t yet proved that it’s a quality website to search engines over time.
For these reasons, the lower perceived risk in the minds of buyers encourages them to pay higher prices for older websites than for younger websites. As such, everything else being equal, an older website will sell for much more than a younger website.
This is how your website age affects your website sale price. Contact Us to sell your website.
Author: Kris Tabetando
Kris Tabetando provides mergers & acquisitions (M&A) advisory and brokerage services to Internet companies. He also partners with investors to acquire & manage Internet businesses.
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