Deal Flow – July 21st

Mushfiqur Sarker

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Today’s Authority Business Blueprints features sites will feature two sites from Flippa (grooming and education niche), and one domain from ODYS.Global (brewing niche).

Before discussing the blueprints, let’s discuss how the new tool DealFeed.io will be improving the Business Blueprint emails I send each Wednesday.



🆕 New Feature: DealFeed.io Analytics

DealFeed.io is a free tool to discover content websites for sale from the major brokers and marketplaces.

DealFeed can be used by you to see all sites for sale in one place, find “needle-in-the-haystack” deals, hire unbiased experts to perform due diligence, and much more.

The plan is to write a section for DealFeed Analytics every week within these emails. This section will share insights found within the past week, such as:

  • Total sites available for sale (by source, monetizations, etc),
  • Total sites sold and total sale value,
  • Which niches are doing well multiple-wise,
  • Historical trends,
  • and much more!

DealFeed Analytics is an upcoming feature. Stay tuned!


Blueprint #1: BrewApp.com

Domain Summary

Type: Aged Domain

Niche: Alcohol

Source: ODYS.Global

Age: 1997 (24 years old)

Listing Price: $3,250

AHREFS

Screen Shot 2021 07 15 at 2.03.30 PM

Backlinks: This domain has notable backlinks from CBS Local, NY Times, NJ.com, Beer Advocate, Northern Brewer, Home Brew Talk, Evening Tribune, and more.

Site History

This site used to be owned by a brewery in New Jersey. They offered on-premise brewery beer, wine, and soda. They included details on how to brew your own beer at home from working with the grains to bottling the beverage. They also included different gift packages from clothing, wedding, and party services.

Here is a snapshot of the past site:

Screen Shot 2021 07 15 at 2.17.34 PM

Growth Blueprint

The brewing niche is lucrative and has a die-hard group of followers. The Website Flip brokered a deal in this niche and saw firsthand the upsides available. Without revealing the URL, the website brokered had an L6M average of $645/mo with a DR 31 ranking for 18,300 keywords sold for $23,712.

This specific domain is well-positioned to be revamped as an informational site because the previous site owners discussed brewing tips, techniques, etc. This leads naturally to what I would do with the domain.

This is what I would do:

  • Write informative articles on brewing beer, techniques, tips, etc.
  • Write buying guide and individual reviews of different brewing items needed, beer, etc.
  • Write reviews of monthly subscription packages for beer products
  • Develop e-books and other such digital products in this niche

Any of the brewing products can be monetized by Amazon Associates. The monthly subscription packages would be monetized direct or through a network (e.g., BeerDrop via ShareASale).


Blueprint #2: MaleSensePro.com

Website Summary

Type: Existing Content Site

Niche: Grooming

Source: Flippa (see listing here)

Revenue: $449/mo average via Amazon Associates over last 6-months

AHREFS

Screen Shot 2021 07 15 at 2.27.32 PM

Due Diligence Dashboard

The website has been put through The Website Flip’s due diligence dashboard. Here are the results:

malesensepro

Growth Blueprint

Highlights

  • Highly diversified traffic to top pages; largest is 4.7%
  • No toxic or spammy backlinks
  • 272 articles published
  • 5-year old website

Setbacks

  • Was impacted by May 2020 Google Core update
  • No high-quality editorial backlinks; mostly blog comments
  • High concentration of conventional buying guide articles ranking (slightly risky after Google Product Review update)

Easy Wins

  • Integrated Ezoic display ads for increased revenue
  • Comparison tables are missing product images; adding will increase clickthrough rates
  • Too many products in comparison table; hone down on top 3 and focus
  • No call-to-action button or callout boxes in individual product reviews within buying guides

Takeaway

Many sites were hit in the Google 2020 Core Update (mine included), and this one is no different. At its peak, the site was earning $3,000/mo and now after stabilizing for the last 12-months, the site generates $449/mo in revenue average over the last 6-months with June 2021 clocking in at $502. The site is growing again.

The male grooming niche is lucrative with a healthy mix of both informational and commercial content one can target. There are plenty of low competition keywords to target as well.

As for easy wins, integrating Ezoic will boost the revenues by at least $130/mo (assuming $10 EPMV minimum with 13,000 pageviews last 30 days). Furthermore, improving the comparison tables and adding call-out-boxes will increase revenues further (difficult to estimate though but can assume an additional $50/mo average).

Valuation

This is a typical affiliate site and thus garners a multiple of 35X of the last 6-months revenue average ($449). This equates to $15,715. With the easy wins factored in, this would increase the average revenue by $180 thus totaling $629/mo. At a 35X multiple, this equates to $22,015. For further details about valuations, read the framework here.

In my opinion, I would pay between 30-35X multiple (i.e., between $13,470 and $15,715), and then implement the easy wins for a quicker ROI.


Blueprint #3: Voovers.com

Website Summary

Type: Existing Content Site

Niche: STEM Education

Source: Flippa (see listing here)

Revenue: $33/mo via Service Subscription

AHREFS

Screen Shot 2021 07 15 at 2.27.32 PM

Due Diligence Dashboard

The website has been put through The Website Flip’s due diligence dashboard. Here are the results:

Screen Shot 2021 07 18 at 11.46.25 AM

Growth Blueprint

Highlights

  • Highly diversified traffic to top pages; largest is 11.88%
  • 56 custom calculators published!
  • No spam, toxic, or PBN backlinks

Setbacks

  • Traffic is seasonal with when school is in session
  • Content is easy to duplicate for a competitor; not unique value-added since it’s “textbook” knowledge

Easy Wins

  • Add Ezoic immediately for increased revenues

Takeaway

The creator of this site invested a significant amount of time in building math calculators and explanations. He also has detailed lessons in algebra, calculus, physical, among other topics. This is a greater foundational site to build upon.

The seller created a subscription platform whereby users can get unlimited access to use the calculators. However, conversion rates are 0.1%. I do not personally think this is the right business model since other sites like the well-known, WolframAlpha, gives the same calculators for free.

This is what I would do:

  • Add informational content related to STEM education promoting products and services
  • Discuss high school to college transition (i.e., best colleges, best SAT prep programs, etc)
  • Discuss careers in STEM

At the current stage, monetization can be done with Ezoic display ads, and with new content added targeting commercial intent, one can monetize with education leads via Quinstreet and Campus Explorer networks, or affiliate products (e.g., SAT prep training).

Valuation

This site cannot be valued on a typical 35X multiple since the earnings are just too low as it stands. The seller has a buy-it-now of $20,000 set for the site with a minimum offer of $10,000. The buy it now is too high in my opinion.

By adding Ezoic at a $10 EPMV (most likely higher in the education niche), during the lower traffic months, the site would generate $250 and during the peak months at $700/mo. With that, a price point of $10,000 to $12,000 would be an ideal acquisition price.

You would be paying on the “potential” earnings the site can generate. However, to recreate a site like this with the calculators and lessons would take you more than the $10K-$12K price point.




Wrap Up

These blueprints lay out the high-level strategies to accelerate your ROI after the acquisition. Of course, the real effort is putting all of this into practice.

For more resources, make sure to read the following guides:



Mushfiqur Sarker

Analyzed by Mushfiq Sarker

Mushfiq has been buying, growing, and selling website assets since 2008. His first exit was in 2010. Since then, he has done 215+ website flips with multiple 6-figure exits. Learn more about Mushfiq.


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