• I don't see advertising of any kind for flippa so was wondering if you could tell me where the buyers come from. I also would like to know why most people think buyers on flippa are morons (I have a high bar for intelligence so most people are morons to me anyway).

    Thanks,
    Fruit
    Post edited by Unknown User at 2010-05-07 05:32:56
  • [quote="Fruit"]
    I don't see advertising of any kind for flippa so was wondering if you could tell me where the buyers come from. I also would like to know why most people think buyers on flippa are morons (I have a high bar for intelligence so most people are morons to me anyway).

    Thanks,
    Fruit


    Sitepoint Marketplace used to be the place to buy an sell sites until back in June (I think) last year they moved to a standalone marketplace at Flippa. A lot of the publicity was negative at the time, but to be fair to them they have improved a lot since the initial launch.

    Sitepoint has/had a huge following, especially in the IM field - so with Flippa benefits from the repuatation + traffic + userbase from Sitepoint.

    My opinion is that in the last 12 months or so 'flipping' has become trendy and as such a lot of first time IM'ers started looking at buying sites - Flippa being the obvious choice.

    You'll also find a lot of the buyers don't do IM at all and are actually run successful offline businesses. As such, they don't come across as 'savvy' as the traditional Sitepoint user and a large number are buying sites for the first time ever. I suppose 'moron' might be slightly presumptive, so perhaps a more accurate term would be 'inexperienced in IM'. I also find that the average offline business owner is a lot more trusting than those of us who have been operating online for a while where daily Paypal disputes etc are expected - hence can be easier to persuade them into a purchase.
  • So would you say the bulk of your buyers are offline entrepreneurs?
  • [quote="Fruit"]
    So would you say the bulk of your buyers are offline entrepreneurs?


    I would say over 50% of my $XXXX buyers run offline businesses and/or have little experience online. I also find they are less inclined to negotiate on price (largely down to lack of experience) and quite often seem to be buying access to me and not the site itself.
  • This seems to be a good place to post a few paragraphs from the upcoming book. The chapter itself talks about flipping PLR-websites, but right now this is irrelevant as the reason I'm posting this is to try and break the 'buyers on flippa are morons' delusion that a huge number of flippers out there are obsessed with.

    Here goes:

    ----------------
    I’m going to give you two fantastic techniques (one of which has never been performed by anybody other than myself) to maximise the value of your e-product websites, but first I need you to understand one concept: BUYERS ARE NOT STUPID!

    They’re really not! Yet many people who flip websites daily treat the buyers as if they don’t know anything about the very world. Agreed, most buyers on Flippa aren’t aware of the fine aspects of Internet Marketing – but dear flippers – this doesn’t mean that they can’t calculate!
    The reason I’m telling you this is that I keep seeing listings that report their revenue in a way that look something like this:

    16th April: $921
    17th April: $611
    18th April: $211
    19th April: $37
    ... get the point?

    While it’s obvious to us that there was a launch (a forum thread on DigitalPoint, Warrior Forum etc.) on the 16th, after which the sales figures started slowly falling as the thread lost popularity and those interested in the product had already bought it – it’s not that obvious to the buyer. What is obvious, however, is the fact that something is wrong – that clearly something happened on the 16th and didn’t happen after that, bringing the site’s value down considerably as they can clearly see that the site wasn’t generating revenue any longer at the time the auction started. This either leads them to believe that the site isn’t worth bidding on, or alternatively raises uncomfortable questions which you might not be ready to handle.
    ----------------

    B.
  • Well personally I have never listed with flippa but I always see people say how buyers are "morons" or "stupid". I never underestimate my clients; especially when they're the ones paying me.

    I guess a way to get around this would be to sell the site during the first few days of the initial launch while spreading the threads amongst the major forums. It would decrease the earings but still show a consistent earning for a longer period of time. . . Thus giving the buyer a false reassurance of reoccurring income.

    Fruit
  • [quote="Fruit"]
    Well personally I have never listed with flippa but I always see people say how buyers are "morons" or "stupid". I never underestimate my clients; especially when they're the ones paying me.

    I guess a way to get around this would be to sell the site during the first few days of the initial launch while spreading the threads amongst the major forums. It would decrease the earings but still show a consistent earning for a longer period of time. . . Thus giving the buyer a false reassurance of reoccurring income.

    Fruit


    Well - great minds do think alike, I suppose. You've just successfully summarised half of the chapter in one paragraph :P

    But it's amazing how many full-time site flippers don't realise this. I'd say about 90% of the people selling e-product websites on Flippa still schedule one huge launch and then deal with questions regarding the odd-looking revenue breakdown.
  • Back to your original question... Yes, flippa had no problem becoming known because of the sitepoint (which was the first choice for flipping even before flippa) userbase, but they are also getting constant advertising from places like this or any site flipping guides. Also, let's not forget about SEO (first page fro "buy website" and probably many others). They did one thing right - branding. So now they gained momentum and don't need any further promotion.