SEC filing discloses domain name purchase price.
Back in November 2017, Elliot Silver noticed that the mattress company Purple acquired the domain name Purple.com. Now we know how much it paid.
Domain name investor George Kirikos reviewed Purple’s most recent SEC filing on March 15, which shows a domain name intangible asset of $900,000 on the books:
We now know the transaction price for https://t.co/3Z4Feeh4ia in 2017, namely USD $900,000, as reported in the SEC filing at: https://t.co/ljxFKXceao (Note 5, Page 14) #bargain https://t.co/uO9Knjv29H
— George Kirikos (@GeorgeKirikos) March 17, 2018
Buying a mattress online requires a level of confidence and upgrading from the subpar domain name OnPurple.com to Purple.com will likely pay off many times over for the mattress company.
The seller had owned the domain name since 1994.
Jamie Zoch says
Lets see how Walmart does with its new online mattress brand “Allswell”, since they failed with the domain name! AllswellHome(.)com is what they are using. I don’t like the brand name and clearly I don’t like the domain.
John says
My two cents: https://domaininvesting.com/daily-poll-purple-com-deal-better-buyer-seller/#comments
Add this to my two cents: “Buying a mattress online requires a level of confidence and upgrading from the subpar domain name OnPurple.com to Purple.com will likely pay off many times over for the mattress company.”
Josh says
It is a case where unless “Purple” becomes the buzz word via mass marketing for mattress like kleenex is for tissues then, no. It’s the old case of “too generic” imo. Not saying they shouldn’t own it just the revenue generated by owning it alone is likely marginal at best.
Jamie Zoch says
It secures the brand, which is vital. How much to rebrand if somebody comes along in a different class (TM) with funding and makes a brand with it.. think Purple Pill. By owning the best domain name, Purple.com, it secures the brand. That is priceless. Matching branding, also priceless. They branded as Purple. Not “On Purple”. Email, and so much more reflect who you and your brand are.