I’ve had a great opportunity to be around a lot of blog sales dating back to The Blog Herald sale in February of this year. I’ve had a chance to see some blogs sell for WAY over there value and some sell for WAY under there value.
There is an approach that must be taken to when analyzing blogs that are for sale. There is some great reasons for buying an establish industry blog, and there are some strong reasons not to. Understanding the valuation of a blog is important before deciding to buy it. Let’s take The Blog Herald, for example.
When we purchased it, it was a Pagerank 7, the industry’s leading authority, and it was a great time for the entire industry. In reality no matter what we did advertising revenue were going to increase, and the only thing we needed to do was continue the pace and power of the former author. With 2-3 people jumping in that shouldn’t be such a problem. Things to consider when buying are blog are really simple.
1. Is the investment something you can recoup in less than 3 years ?
Any blog investment should be something you can realistically recoup on your own, outside of any reliance on partnerships. If you can devote that amount of time then go for it. Otherwise think twice about any blog investment even the small ones.
2. Is the investment worth your time?
Are you really passionate about the subject matter of the website, or blog? If so you should jump in full bore and go for it. You have nothing to lose but your time and money. And you have lots to gain.
3. Will it increase your value in the industry or decrease i ?
With any blog purchase you can find yourself at a complete loss if you fall on your face and ‘ruin’ a blog. Especially a blog of some authority. However if you build that blog to a higher status level you can increase your status in the blogosphere.
Buying a blog is a difficult decision. They don’t maintain themselves. Remember it’s work. Don’t forget that. Any thing worth doing is worth doing right.
Originally posted on December 1, 2006 @ 2:04 pm
Ryan (Refinancing) P. says
Great information! And I can say that most of your information here applies to purchasing websites as well, not just blogs…