GoDaddy Adds Disclaimer to Their Domain Name Appraisal Tool

Most people in the domain industry are aware that GoDaddy has a free domain name appraisal tool. It’s been the source of controversy however because, well, it’s not easy to automate domain name value. I like to reference the tool as a guide, and I also like that it shows comparable sales next to the value. It’s one of MANY tools that I use when evaluating lower end priced domain names. What I mean by this is that when a domain has significant value, thankfully, GoDaddy won’t even attempt to give it a value. Instead, it will say, “Estimated Value: more than $25,000” as shown below.

Today when I went to look at the value of a few names that I picked up, I noticed that there was a disclaimer stating:

GoDaddy estimates the value of each domain by looking at millions of historical domain name sales. The estimated value may or may not rely upon this particular domain’s sales data, as the domain may not have previously sold. Sellers may ask, and you may ultimately settle, for a price below or above this estimated value.
The Estimated Value is based on an algorithm utilizing data GoDaddy has available to it to help estimate predicted sale price of domains. However, we do not make any guarantee or other promises to any results that may be obtained from your purchase or sale of any domain, and this is not intended as a solicitation or offer to buy any domain. It is your responsibility to independently assess and determine the value of any domain you may purchase or sell. We shall not be liable for any losses you or anyone else suffers as a result of relying on the Estimated Value, which includes not being liable for any loss of profit, loss of bargain, loss of capital through over-payment or under-sale or for any indirect, special or consequential loss.


I am curious to know if some sort of legal action prompted this. In one sense it’s good for beginning domain investors who may rely too heavily on a tool like this. On the other hand, it could be detrimental to someone who is seeking to help an end-user understand the value of a domain.

I’d love to hear what others think, and maybe the pros or cons of such a disclaimer.

Leave a Reply

Your email address will not be published. Required fields are marked *