Is v7n.com going cheap?
Apparently the v7n.com forum and directory is up for sale at Sitepoint priced at $500,000. To me this seems like a bargain.
The site gets 700,000 uniques per month and ranks very well in Google, revenues are $40k which means the site is selling for about 12 months revenue, that is amazingly low for a forum.
The issue gets more clouded when you look at the revenue sources, a lot of the revenue comes from people submitting to the directories which is hardly a sustainable business model. Monetizing forums is almost impossible and judging by the price of v7n the users aren’t worth much either. V7n values it’s users at around $10 each.
An interesting statistic is that if v7n was monetized as well as JohnChow.com it would earn $300,000 per month.
What do you think? Bargain?
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Patrick Altoft is Director of Search at Branded3, a Leeds SEO & Digital Agency specialising in SEO, Web Design, Development & Social Media.
Comments
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Makes me wish I had a half a million lying around. I think it’s a deep discount.
There is probably a reason why it is going cheap. Perhaps they have noticed falling monthly incomes? Like you said forums are hard to monetise.
I would expect more too, especially for a BIN. You’d think an investor would step in pretty quick to acquire this.
I think it is really cheap, there must be summin fishy going on. Although you would normally sell a site for 10 to 12 months revenue.
Man, I want 500k…
It is really going for too low..
And the reason also might be the decrease in income and PR of all the sections like forums, homepage and its web directory.
lets face it, the auction listing has already had loads of hits and publicity yet no bids. Everyone says its worth much more but placing a realistic price on it will problem mean zero offers.
Websites have to go cheap on auctions in order to get a half decent price
Hmmm 4 days and 4000 views to the sale thread, still no bids. The minimum bid should have been lesser a bit so that it would have got good start off.
definetly cheap
its bargain i tried arrainging funds coudnt manage over 150K$ bad luck
Maybe the fall in google PR that was being talked about on the v7n forums has something to do with what looks to be a knock-down price?
It’s a great deal for a site with such high traffic
What a great bargain for a site with such great traffic! There must have been a reason it was going so cheap.