Inc. Magazine Reveals Price of Nuts.com
Soon after NutsOnline.com rebranded to the shorter Nuts.com domain name, the company saw a major decrease in traffic. The New York Times published an article about the company’s rebranding and the impact it had on the business, and several other websites wrote about the issue faced by the company after it chose to rebrand. Many of the articles referenced this Google Webmasters Help forum thread started by the company after noticing ranking issues in Google.
With all of the publicity about the rebranding to Nuts.com and the search engine problems that seemed to follow, I did not see any coverage of the acquisition cost of the domain name. An article in the December / January edition of Inc. magazine reveals information about the negotiation and the purchase price.
According to the article, Jeff Braverman, the CEO of NutsOnline.com, spent quite a bit of time tracking down the owner of the Nuts.com domain name and negotiating with him. Two years after the initial failed negotiation, he saw that the domain name was listed for sale, and he bought it for “a hefty $700,000.” In my opinion, $700,000 seems like a fair price for a domain name that is truly a category killer. The aforementioned NY Times article stated that the domain name was purchased in 2011, and if Ron Jackson of DNJournal is able to confirm this sale, it would tie as the fifth largest sale of the year, along with VU.com and RunningShoes.com.
As will see when you read the entire Inc. magazine article, the purchase turned out to be quite a savvy acquisition for the company. Nuts.com seems to have overcome the search engine ranking issues it faced at the outset, and things appear to be going well for them. In fact, when I searched Google for “nuts,” Nuts.com is currently the #1 result.
If you ever go through a major rebrand where your domain name is changed, you should definitely read about the Nuts.com rebranding. In addition, you should keep Nuts.com in mind in case your rankings suffer as a result of a rebrand, knowing that it might be a temporary issue that takes time to overcome.
Thank you to George Kirikos for sharing this with me.
http://t.co/frbdP5NZqs domain name purchase price revealed on page 55 of Inc Magazine (Dec 2014/Jan 2015 issue), namely $700,000
— George Kirikos (@GeorgeKirikos) December 7, 2014
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