Get value out of buying another domain

[MistoBox]

How do you transfer value from another domain to your domain?

Specific scenario: I'm a new startup selling coffee online. A large online coffee retailer just shut it's doors and asked us to bid on its remaining assets, including their domain. It currently receives 20,000 unique visitors organically.

If I were to purchase their domain, how would I use this domain to make my site rank better in search engines and drive traffic to my site? Links? 301 redirects? Or would it not really make a significant difference?

[CleverPhD]

I agree that the 301 redirect from the old site to the new would be the simplest to transfer the equity (if you did not want to set it up as a division of the original site).  You would need to make sure that you spend a lot of time getting the 301 mapping from the old site to the new site correct - otherwise it would not be worth it.

[UnderRugSwept]

I don't know if this is what you're looking for, but I'm thinking from the standpoint of how you can make the most money rather than how you can increase your traffic and rankings of your current site. But make the recently acquired site a division of your current site and do business as both. Rather than ingratiating the business into yours, have two phone lines, two sets of letterhead, ect. I realize there's A LOT to doing this and you'd probably have to hire a couple more people, and it may be a bit of investment, but the long term payoff could be astronomical. I've seen clients do this right before my eyes and I have assisted them. Unless this is a known company in it's going out of business is extremely well-known. Then scrap everything I just said.

[MistoBox]

Yes, we want to keep our current site. The end goal is to use the acquired domain to help with our site's traffic and rankings.

[UnderRugSwept]

How new is your company? New enough to take on their name and scrap yours?

If not, you have options such as domain forwarding with the registrar, 301 redirect, ect, but I'd have to know if your end goal is to keep your current site and just use the acquired domain to help your site's traffic and rankings.