When I started domaining about a year ago, I was sure that I would hit the jackpot! It's easy to get caught up in that dream when first entering the domain name business. I have sold a few domains since then, but more importantly, I have learned quite a few lessons about the business, many of which I learned the hard way. So, to help other domainers, I am sharing the methodology that I use to evaluate and buy domains!
The Rule of 3
1. Ask at least 3 people how each name sounds
When researching domains, it’s very easy to get caught up in your own thoughts. When you see a domain that you think could be great, you may overlook that others might not think it is as attractive. Whether you buy a domain for your own website or for resale, the response of others to the name will play an important role in its success. I like to test others’ responses to any name that I’m considering by asking three people what they think of it. I make sure that the three folks aren't domainers themselves and that they have a fair sense of brand names and business in general. If the name sounds good to others, then I think that indicates it has a better chance of success!
2. Research each name at least 3 different times
So you’ve asked a few people about your name and they thought it was at least decent. Now it’s time to do some research so that you can make an educated guess about the name’s value. I don’t recommend appraisal tools such as EstiBot.com to determine a domain’s value. I think it’s better to give your preferred search engine some exercise by doing your own research. Here are some of the things that I look at:
3. Follow a 3-step domain checkout process
Ultimately, you are going to have to find out how much the domain costs and decide whether it is worth the price. There’s no surefire way to know whether it will be a good investment in advance. The decision to buy the domain name will largely come down to your intuition, and that can be improved over time as you learn more about what sells and fine-tune your intuition.
Here’s my three-step domain checkout process:
Bonus tip: By being in the domain name community and watching the trends closely, I can say that NamePros is by far the best place for a reality check! Read some beginner blogs with an open mind. They provide perspective. While all of the domain parking, auction, and sales websites are good places to buy and sell domains, at the end of the day they are businesses seeking profit. Looking at those sites exclusively can delude you into a false sense of how much your domains are worth. Visiting NamePros and other domain blogs is a good way to learn valuable information from helpful, knowledgeable professionals about their successes and failures in the domain industry.
Happy domaining!
The Rule of 3
1. Ask at least 3 people how each name sounds
When researching domains, it’s very easy to get caught up in your own thoughts. When you see a domain that you think could be great, you may overlook that others might not think it is as attractive. Whether you buy a domain for your own website or for resale, the response of others to the name will play an important role in its success. I like to test others’ responses to any name that I’m considering by asking three people what they think of it. I make sure that the three folks aren't domainers themselves and that they have a fair sense of brand names and business in general. If the name sounds good to others, then I think that indicates it has a better chance of success!
2. Research each name at least 3 different times
So you’ve asked a few people about your name and they thought it was at least decent. Now it’s time to do some research so that you can make an educated guess about the name’s value. I don’t recommend appraisal tools such as EstiBot.com to determine a domain’s value. I think it’s better to give your preferred search engine some exercise by doing your own research. Here are some of the things that I look at:
- The name’s search volume
- The existing projects and businesses using that name
- That I will not violate any rules by registering the name
- That I’m not cybersquatting
- Whether there are existing SEO-friendly websites or businesses with similar names
- Check past domain sales to see if any similar domain names have ever been valuable.
3. Follow a 3-step domain checkout process
Ultimately, you are going to have to find out how much the domain costs and decide whether it is worth the price. There’s no surefire way to know whether it will be a good investment in advance. The decision to buy the domain name will largely come down to your intuition, and that can be improved over time as you learn more about what sells and fine-tune your intuition.
Here’s my three-step domain checkout process:
- Go to a registrar that has options for performing a bulk domain search. Don’t enter in your target domain name yet. Instead, enter a few similar names, especially ones that you think are valuable and might already be taken. While you're looking at these good domain names, listen to your intuition to tell you how your target name matches up with the domains that you've entered into the search box.
- Now, search for the domain name that you want. At this point, one of two things will happen. Either the domain name is taken or it is available. If it's unavailable, give yourself a pat on the back. You thought of a name that someone was willing to purchase for at least the registration fee. If the name is available, it’s time to find out how much it costs.
- Proceed to the checkout page. You’ll see the price to purchase the domain and the renewal price. This final step is your chance to consider the value that you expect to gain from this domain name against its purchase price, factoring in that you might need to renew it for a few years before it sells. Ask yourself: Is this an unnecessary purchase? Can I buy a better domain with this money? If your gut still tells you that it’s not the right purchase, listen to that feeling and move on. If the name feels right, you may want to go for it. You’ve done your research, and now’s your chance to find out if you were right about this name by registering it and seeing what you can make of it!
Bonus tip: By being in the domain name community and watching the trends closely, I can say that NamePros is by far the best place for a reality check! Read some beginner blogs with an open mind. They provide perspective. While all of the domain parking, auction, and sales websites are good places to buy and sell domains, at the end of the day they are businesses seeking profit. Looking at those sites exclusively can delude you into a false sense of how much your domains are worth. Visiting NamePros and other domain blogs is a good way to learn valuable information from helpful, knowledgeable professionals about their successes and failures in the domain industry.
Happy domaining!
