Hissingsid - 9:57 am on Sep 7, 2009 (gmt 0)

then one might say that the site is worth $10 x 365 = $3,650 / year.

I wouldn't pay $200 for a domain that got one visit a day. IMO you can discount the first few 1000 visits a year as just background noise. Those visitors didn't come for the right reason or anything approaching it and are therefore worthless.

Looking at the auction site results it seems to me that it is very hard to get a value above $1000 by using low input value-adding activities for a domain that wouldn't be worth that anyway.

I recon the best strategy is to be realistic in your valuation and turn over volumes of domains rather than trying to squeeze every cent of value out of each domain you have. Of course there is a balance and you don't want to give away really good domains only to regret it at a later date.

Just my 2c

Sid