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10 Hard-Hitting Ideas About Domaining

10 Hard-Hitting Ideas About the Difficult Business of Domain Name Investing (Domaining)

Photo by Jp Valery on Unsplash

Question: Is it really profitable to buy up domain names in hopes that someone will one day want to pay for that domain name?
Answer: If you are committed to learning, and you have a skill at choosing names that can sell, then you may become successful in this business. Nevertheless, be aware that selling domain names is a very difficult business. Here are ten ideas about “domaining” — the business of buying and selling domain names.

  1. Investing in domain names is similar to investing in the stock market: You could make money, or you could lose money.
  2. The harder you work to learn, the better chances you have of making money.
  3. Beware of scams. Scams in the domaining world are subtle, costly, and everywhere.
  4. Take advantage of the excellent resources for learning, such as Domain Sherpa (their weekly video interview), and Domain Name Journal, and Domain Name Wire.
  5. Expect to lose money during your first year in this business.
  6. To be successful in this business, you must learn the art of choosing domain names that can sell. Buy domain names about subjects that you know well, so that you will understand the importance of the domain name.
  7. Do not price your domain names too high, or else they will never be sold.
  8. Always use a reliable escrow company, it protects the seller and the buyer.
  9. Test the waters by buying a few good names from a domain name registrar at the original prices, and then try to sell these names at Sedo .com — which is now offering “free listings”.
  10. Ask yourself: “Is this the kind of work I will enjoy doing?” … If the answer is “Yes,” then you have much greater chances for success.
Categories
Domain Names Value New Ideas

A Modest Proposal About How to Value Domain Names

In this article, the Zorba Domains team divides domain names into 6 tiers of prices, from A to F. 
In future posts and pages, we will propose questions for self-evaluation, to help us all to understand the value of domain names that are not yet developed into blogs or websites.

What is the value of your domain name?
A difficult question!
Except for the rare “super names” as we call them (money .com, insurance .com, cars .com, and so on … ) — All domain names are worth whatever somebody is willing to pay for them. 
It is impossible to put an objective value on a domain name that is not yet connected with a thriving blog or website.
If somebody sees your domain name, and then suddenly realizes: “This will be the perfect name for my business!” — then, to get this valuable name, they will pay as much as they can afford.
Do not price your domain name so high that it will never be purchased. 
Price your domain name according to what you will be happy to get for it.
Right now, the Zorba Domains team is thinking about a price-tier system for categorizing the value of domain names, from A) through F). This is a work-in-progress, but roughly, at this time, it looks something like this:

F). First-sale Price Names … $ 10 USD and up
This is the price of domain names when purchased for the first time from a domain name registrar. For example, a .com domain name is usually priced around $12 to $ 15.

E). Enhanced Value Names — $ 20 to $ 900 USD
These names might be names sold for the first time from the registrar, or they might be re-sold by a previous owner.

D). Premium Value Names — $ 1,000 to $ 9,000 USD 
The realm of (what we call) Premium Value Names are names that contain useful and popular keywords.

C). High Value Names — $ 10,000 to $ 99,000 USD
Sold in the year 2019 in this price range were the names cannabliss .com ($ 15,480), detect .com ($ 57,500), and redbarn .com ( $ 60,750).

B). Super Names — $ 100,000 to $ 999,000 USD
Names in this category include investment .com ($ 900,000), earth .com ($ 800,000), and website .com ($ 750,000) — although these names were sold so many years ago, it is not easy to estimage their value today. Recently, cryptoworld .com was sold for $ 195,000 by the domain name guru Mike Mann.

A). Million-dollar-club Names — $ 1 million USD and up 
A mere million ? … The highest price ever paid for a domain name — although this amount was never reported publicly — was the 872 million dollars (not a typo) purportedly paid for cars dot com. Other shocking sales that have been publicly reported include carinsurance .com ($ 49.7 million), insurance .com ($ 35.6 million).

Developing your domain names into a thriving, high-ranking blogs or websites will make these names worth more, and make it easier for you to guess and assess their value.

Michael Pastore, Owner
Zorba Domains
Article first published 2019-mar-01 and last updated 2019-mar-01

Resources About Domain Name Value and Prices

Wikipedia — List of Most Expensive Domain Names
https://en.wikipedia.org/wiki/List_of_most_expensive_domain_names

DN Journal YTD Sales Charts
https://www.dnjournal.com/ytd-sales-charts.htm