Website Evaluation Report
29 June 2003
Evaluatin Report for www.siouxlandrent.com and www.siouxlandhousiong.com
Site Performance
www.siouxlandrent.com has an estimate of 1000 visitors and 3000 page views per month. This estimate is based on the population of Siouxland which covers Northwest Iowa, South-East Dakota, parts of Northern Nebraska, and the surrounding area. The estimation is also based on the average households with the access to a computer. 41.8% have internet access as of 2003.
Demographics
The basic understanding of demographics is absolutely essential to Web site Owners, Sellers and Buyers as this determines the value of banner advertising. This includes sex, age and location.
SiouxLandHouing.com targets users between the ages 18 and 65. Basically, anyone that has property for rent or sale, whether looking for a property to rent in the Siouxland area is included. These include:
Site Potential
The potential value of the website is also based on utilizing all 60 pages on Siouxland housing website that carry banners which are possible revenue streams. The standard minimum advertising rate with a CPM (cost per thousand viewers) is $1 and the maximum advertising rate at a CPM of $50 thus adding to the estimate.
There are all sorts of potential revenue streams available on the Internet. These are a list of some of the most common:
§ Advertising your own products
§ Selling your own services
§ Advertising products / services for others
§ Affiliations
§ Sponsorships
§ Selling access to databases
Competition
SiouxLandhousing.com and siouxlandrent.com happen to be the only names that uniquely target a broad area covering the whole of SiouxLand with Sioux City and Sioux Falls included. At the moment there is no other name that covers such a wide area other than www.rentiowa.com or www.iowarent.com. All the competing names or networks in the area if any will still fall under these domain names. Future business ventures can be added to SiouxLandhousing.com, for example Real Estate for sale or business classifieds.
Site Promotion
The site statistics imply an average referral rate from Search Engines / Directories. Whether this can be further increased should be investigated but the potential of increasing web traffic in the area through other media is high. The other medium available in the area are radio, newspaper, television and mouth to mouth which are powerful instruments in the surrounding area.
Siouxland Housing is listed with the major search engines like Yahoo, Google, MSN and more, with a very high ranking. See for your self.
Site Design
Visitor demographics, especially with the returning visitors to the site on average of 1.50 page views per visitor, reflect a below average standard of either design or content. The likely cost of having 60 pages designed and built to a similar standard (ASP programming with database integration) would be approximately $2400.00 of $40 per page which is far below the standard of $120 per hour.
This is based on current web design prices with the standard incremental discount equated to the number of pages on the site.
The number of pages on the website adds to the design cost but increases the number of pages that could take banners or other advertising, as well as increases the indexing potential on search engines - every page on a site is a potential doorway.
Additional Costs
· Registration for two years for all three domain names $210
· Hosting for all three domain names $34 per month
· Software $1000
· Total additional costs $1,270.00
Projected Revenue
· Number of pages 60 on average 4 banners per page
· Cost per user click $0.50
· Cost per banner $20
Site Assets
The assets of the site are reflected in the evaluation, which include the three Domain names value of $10,000 as well as $1000 for additional items such as software, hardware, hosting and registration etc.
Total estimated value of the site
Site Differentiators
Value has been added to the website by the inclusion of Unique Selling Points (USP) e.g. graphics, scripts, newsletters, associated trademarks, databases etc. These can be negotiated.
The database associated with the site has contributed to its value. These would include some of the following:
§ Informational Databases
§ Report generation
§ E-Mail lists
§ List of previous visitors to the site
§ Registered Users
§ Newsletter Subscription Lists
§ Site control panel (for dynamic update)
§ User administration
Site Evaluation
SiouxLandRent.com has been evaluated using a Virtual Business Model (VBM).
The conventional Standard Business Model (SBM) values a business by establishing the current annual revenue then projecting three years ahead. It then combines this figure with the sum of the financial liabilities and the value of any assets.
Current Evaluation $22,030.00
Standard Industry Evaluation $27,000.00
Asking for $13,500.00
For questions or comments contact:
Siouxland Housing
705 Second Avenue
Alton, IA 51003
712 756 4298
customerservice@siouxlandhousing.com
712 756 4298
Zelsolutions
705 Second Avenue
Alton, IA 51003
712 756 4298