TIMMGuru

How Much is My Website Worth

with 3 comments

Some time ago, I wrote a blog post on How Much is My Blog Worth. Today, I am revisiting the topic to show you a couple of different formulae to calculate “How Much is My Website Worth”.

How much is my website worth

Measuring Your Website Worth Based on Visitors and CPC

Here’s a formula based on what I called the “Spending Model” as opposed to the popular “Earning Model”.

If the value of your website is a function of unique visitors and how much PPC advertisers are paying for each visitor then here’s how you can calculate the worth of your niche website using this formula:

Number unique visitors per month x 12 x average CPC x 3 = $$$

For example, if your site attracted 10,000 unique visitors per month, the average CPC for the niche is 10 cents then your site is worth…

10,000 x 12 x $0.10 x 3 = $36,000

Measuring Your Website Worth Based on AdSense Revenue

Another way to measure how much your site is worth is to use the Earning Model. You simply multiply your past 12 months earning of your website by a factor of 3.

For example, if your AdSense site earned $200 per month then it is worth…

$200 x 12 x 3 = $7,200

As the website owner, you will take whichever is higher to price your website. On the other hand, if you are the buyer then you will use the lower one.

So What is the Fair Market Value of My Website

I would think the fair market value lies between the prices calculated by each of the two methods above.

3 Responses to 'How Much is My Website Worth'

Subscribe to comments with RSS or TrackBack to 'How Much is My Website Worth'.

  1. How the website value is calculated. What are the steps for calculating a web site.

    asim

    25 Oct 10 at 2:04 pm

  2. Identify the value with unique visitors, with number of adsense but you forget to measure it as well with your value domain name and your current page ranking.

    Jerrick

    10 Feb 11 at 9:31 am

  3. Ya thats true , more the number of unique visitor on your website , more is its value .

    Pune

    12 May 11 at 1:05 am

Leave a comment