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Website Value - What's Your Business' Website Worth?

By: William Lee  

If you were asked to put a value on your website what would it be? Perhaps you paid a small fortune and commissioned a top design agency to build it. It would still be worth at least what you paid for it, right?

It's a sad fact that a great number of websites are worthless. They give no value to their owners and are little more than a drain on resources. Would it surprise you if your website was classed as one of these?

The World Wide Web is made up of millions of webpages so it's not surprising that many are rarely seen by human eyes other than their owners' and creators'. These unfulfilled webpages are like trees in a forest. They can make as much noise as they want, but if no one is around to hear it then who is to know they ever made a sound? Too many of those that are seen by people are poor at encouraging progress through the sales cycle i.e. they don't persuade the reader enough to progress to the next stage whether that's submitting a sales query or making a purchase.

So how have you determined the value of your website? Have you only taken into account its cost to build and maintain or have you also considered what it actually does for you and the value it adds to your business? Ask yourself this question, if you were to put your website up for sale, how would you convince a potential buyer that it was worth the asking price? Would you sell it on the basis of how much it cost to build or on the strength of the benefits it brings?

Do you think owners of expensive luxury cars are motivated by how much they cost to build, run and service or because of things like the prestige they give the owner, the superior performance and higher levels of comfort? In this context, it may be easier to recognise value and worth, but when it comes to your website can you do the same? If your website provides you with no measurable benefits or is a tree in a lonely forest then how can you be sure it's worth anything?

Suppose we're comparing two very different websites; one cost £10,000 to build, looks very impressive, but converts poorly, generates little interest and the other cost £1,000 to build, wouldn't win any design contests, but consistently generates fresh leads and converts a high percentage of prospects into customers. Which of these websites do you think is worth more?

Now ask yourself again, what's the value of your website?

About The Author

William Lee is the proprietor of Web Star Creations (www.webstarcreations.co.uk). His personal blog is http://www.wlee.me.uk.

This article was posted on November 05, 2005  


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