Buying sites on Flippa: what key metrics should I know?

When buying websites on Flippa, what is the key information I should do due diligence on?

Also, isn't it possible to fake Google Analytics traffic fairly easily? Not just by modifying a screenshot, I mean making Google Analytics actually show traffic that has been generated by automated bots. How would one verify traffic to ensure you don't buy a lemon?

I can't answer your question directly but Andrew Youderian's blog, eCommerce Fuel, has some first hand accounts of buying/selling sites on Flippa. You can also read up on Forever Jobless for additional insight into the process of investing in websites.

I would say the approach would be slightly different depending on the size of the site you're looking to buy.

When purchasing a larger site, the key metrics to look at:

• Revenue and profit
• Turnover
• Traffic sustainability

Ask for shared access to Google Analytics. You can usually spot bot traffic by looking at a combination of granular metrics like time on site, referrer, location, browser agent.

There's a pretty in depth valuation piece on FE International that will talk you through what to look for and what effects a website's value.

There is also a free 83 page guide on buying an internet business. This is rather comprehensive and shouldn't leave any ambiguity as to what you are looking for.