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January 11, 2022

Buying and Selling Sites Part Four: Increasing Your Site’s Value

In last month’s column, we discussed marketing and eliminating unneeded expenses. Today, let’s look at some other ways to make your site more valuable.

At Adult Site Broker, we’ve sold hundreds of adult sites, far more than any other company. In 2021, we enjoyed a record sales year. We specialize in high end adult properties, from our minimum property size of $50,000 to the hundreds of millions. Along the way, we’ve gained a lot of knowledge about what makes a website more valuable in the eyes of a purchaser.

In a crowded market like the adult space, you need to find ways to stand out. Ideally, you should do something unique with your site. If you have competitors that offer very similar sites and content, figure a way to do it better. Be different in some easily distinguishable way that makes you better. Your members will notice, stay members longer and spend more money with you.

Make your site a place that people want to visit, not just a place to buy things or view porn. Be creative, don’t allow your property to become just one of many sites offering the same old thing. Keep thinking outside the box and make positive changes on your site.

It helps to think like a buyer when planning or updating your site. Don’t think like a tech, or like a site owner; think like a consumer. This will be particularly useful when you’re considering things like the navigability of your site and its general user-friendliness.

As entrepreneurs in the online space, we sometimes assume that everyone has our experience, knowledge and perspective. Try to step outside of this and imagine yourself as a first-time visitor to your website; would you instantly understand how to navigate it – and more importantly, are the subscribe and buy links prominently displayed? Look for anything that might confuse a consumer or create a barrier to them purchasing and change those things immediately.

It can also be helpful to have a friend, ideally someone from outside the adult industry and doesn’t own or design websites, check out your site and give you feedback. They won’t bring the same set of assumptions and knowledge to the experience that you do, so this will offer you a fresh perspective.

Trademark Your Website

Having a trademark instantly protects your brand and makes your site more valuable when it comes time to sell it. Trademarking your site will cost a few hundred to thousands of dollars, but it should be more than worth the investment when it comes time to sell.

When you decide to sell your website make sure you have the information below available for potential buyers. Show buyers ways you feel the site can make more money in the future. This includes showing them:

-Future plans you may have.

-Traffic trends as well as sales trends. If things are growing and you can show them how to grow it more, they are likely to be willing to pay more for the site.

-Detailed information about your company, your website, and any other aspect of your operation that the potential buyers may want to find out about.

This information should include:

For pay sites:

-A detailed inventory of your content, including the number of images and videos. How much of the content is exclusive and how much is non- exclusive?

-Financial information for at least the last 3 years, if your company is that old. This should include sales reports, profit and loss statements and billing reports.

Get this information organized in a legible format that a good broker can use to sell your property. If you decide to sell it yourself, organize a list of potential buyers and start the process of contacting them.

You also need to be realistic about what your site is worth.  In today’s market overpricing your properties is the kiss of death.

Is there anything that a potential buyer needs to know? Are you being sued, do you have any substantial debts or liabilities? Don’t let these things be a surprise to the potential buyer.  They’ll either find out before the sale and not buy or they’ll find out after the sale, and you’ll have another lawsuit on your hands. Disclose everything!

In part five of this series, we’ll get into more details about this important subject.

One last, important note: On behalf of the entire Adult Site Broker team, Happy New Year!



 
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