NameSilo
Eric Lyon

Why I Develop Every Domain Name Investment

Views:
18,576
Comments:
94
By Eric Lyon, Apr 8, 2015
  1. Potential.Domains

    Potential.Domains Established Member

    Posts:
    177
    Likes Received:
    133
    Who ever talks down on Keyword Planner as an unreliable tool — is not being realistic. It is one of the most valuable and free tools for keyword research, and is used by professional and seasoned domainers alike. The suggested search volumes on Keyword Planner are estimates, and can be higher or lower than the suggested number. However, Google has a solid algorithm that gauges the competition (demand) of keywords among advertisers, and that demand (low, medium or high) impacts the suggested bid.

    The competition level and suggested bid per keyword are very reliable in determining the value of a searched term, and this should be where most of your focus should be; not necessarily volume.

    Think of it this way: Who are the potential buyers of your domains? Searchers or Advertisers?

    'Advertisers target Searchers', 'Domainers target Advertisers'. Now, you get the picture.

    Good luck!
     
    The views expressed on this page by users and staff are their own, not those of NamePros.
  2. Kachi

    Kachi Established Member

    Posts:
    1,885
    Likes Received:
    147
    Thanks so much for this. Your last few sentences make great sense. What if I may ask is your view on Estibot's stats?
     
  3. Potential.Domains

    Potential.Domains Established Member

    Posts:
    177
    Likes Received:
    133
    You're welcome.

    Regarding Estibot. I really don't use Estibot or other "robots" for domain valuation. Like many have said, such tools are really not effective for valuation; it can only give you a sense of feeling on how much a domain could be worth. True valuation of any asset should be determined by humans, not robots.

    The only Estibot stats that is relevant (to me), is the search statistics: broad match, exact match, and CPC, etc.

    But, if by any chance — the estibot valuation of a domain for sale — (is favorably high - not low, and) might be convincing to potential buyers; then I may use it to influence a sale. That's about it.
     
  4. Kachi

    Kachi Established Member

    Posts:
    1,885
    Likes Received:
    147
    Great insight. I appreciate.
     
  5. Atta

    Atta Top Member VIP

    Posts:
    1,013
    Likes Received:
    607
    very informative post. I like the idea of development and believe that it is more effective than parking.

    But it is somehow impossible when you hold a lot of domain names (like me, lol).
     
  6. golan

    golan GolanMedia.com Gold Account VIP

    Posts:
    3,651
    Likes Received:
    3,314
    Domains and developed sites have a lot whole different buyer audiences.

    Who buy developed sites? People who want to get a ready business, ideally with already existing traffic and revenue. Also site investors, who purchase a site, make it better and more profitable, and then sell further with a profit.

    Who buy domains?
    1. People who want to build their own site/business on a domain ("end users");
    2. Brokers - who want to sell a domain to buyers from p.1;
    3. Speculators or investors - who hope to see a market price for a domain higher in future.

    Very rarely these sets intersect. Only if someone is experienced site developer, he can buy a domain to develop it just like buy a ready site to develop it further.

    So in most cases, the prices on developed sites are much higher. Because they are standing higher in the "added value" hierarchy. And in this sense, you are totally right that it's better to develop the domains. But your advise to spend a half an hour for a site can only harm newbies, because they will just drain their time and money.

    I can see only two cases when domains are more expensive as is than as developed sites:
    1. Speculative/investment domains (any site wouldn't get any added value using such domain over any other domain);
    2. Really premium name that will be used for a really serious business. If such business acquires a developed site because of the domain, they will throw an existing site and build their own site anyway, so in this case the existing site doesn't add any value to the domain for them.

    Bottom line: Developing sites is of course very good, and in most case you can sell it for more money than just a domain; but for that, one needs to really invest in the development - time, content, SEO etc. And - these two are really different kinds of business, and have two different buyer audiences and different sale channels.
     
  7. lock

    lock Traffic.tools VIP

    Posts:
    2,542
    Likes Received:
    2,344
    I developed every domain and it is more trouble than it is worth.. Develop enough domains and hackers will never leave you alone.
     
  8. Atta

    Atta Top Member VIP

    Posts:
    1,013
    Likes Received:
    607
    Thank you @golan for very interesting comparison. Being a developer, I love to develop websites and maintain them. But you are right, it needs full commitment if you are planing to sell it for good price. Also it is not possible to develop all domains to websites at once and maintain them until you are running a company of 10s of employees.

    Don't worry mate, hackers are not that powerful if you are able to maintain strict security and proper website backups.

    Rule of thumb is NEVER compromise on your website security and NEVER go for something cheap just to save few bucks a month. If you want to earn good from website, first invest in best and show your resolve to bring it at top. :)
     
  9. lock

    lock Traffic.tools VIP

    Posts:
    2,542
    Likes Received:
    2,344
    I agree and know a few more hosting rules less in same ftp etc too. I just I tend to think less about developing unless i have a direct idea for a blog or something that can white label fast .I have hundreds of sites to fix at moment which i just have redirected out of laziness even dropped a few since now thinking going on domain value alone. Just on a bit of a downer so having a bit*h at present. I still agree to say that it is better to develop just having my lil tanty ranty whine.
     
  10. Atta

    Atta Top Member VIP

    Posts:
    1,013
    Likes Received:
    607
    One more thing I experienced, it is difficult to focus on both: web development and domaining at the same time. A time comes when you have to choose either line. Many new comers like me think domaining is just fun and easy way of earning money. But it is not the case. It also needs full time commitment. I am learning something new daily and following it.
     
  11. inforg

    inforg Established Member

    Posts:
    511
    Likes Received:
    427
    I am one of those that has done both and I agree with both sides of the debate on certain points. It is very time consuming to create and maintain numerous sites. I have tried all of the quick development tools from Wordpress to Xsite to automated Amazon stores and only time spent on fresh and unique content really pays off - and that takes a huge commitment.

    If, like me, domaining is more of a hobby then leaving most undeveloped is the right move. If you are doing this full time, then I think you should definitely devote some time to developing your portfolio.

    I kind of split the difference. I develop one here and there to stay current on the latest tools. I also try to focus on buying domains that I feel I would enjoy developing at some point. If I were to suddenly find myself out of work or when I finally retire from my regular work, my plan is to move almost exclusively into development.

    Viewing domaining from the development side really helps improve your buying skills and understand the end user market better. If you can't figure out a profitable development strategy and identify revenue sources for your names, how would you expect an end user to?
     
  12. AGAME

    AGAME Upgraded Member Gold Account VIP

    Posts:
    1,968
    Likes Received:
    2,922
    From your experience, whats the best way to set up a drop shipping site on an exact match domain? This would be for income generation and not to flip (at least not until its established). I've already got an affiliate account with CJ and an FBA account with Amazon - if those help. Not sure. Any advice?
     
  13. WilsonM

    WilsonM Established Member

    Posts:
    132
    Likes Received:
    245
    One of the best arguments about the potential of thinking about names as ideas and opportunities. And transforming these dormant properties into long-term sustainable assets.

    And domainers are in a unique position to do so.

    Not all will be 'developable'. Most will always be like trading commodities.

    But once in a while you will come across and own a gem.

    The trick is to spot them and realize their potential. And have the entrepreneurial acuity, acumen & perseverance to nurture them into a profitable venture.
     
  14. Adam27

    Adam27 Blockchain.link for Sale or Lease VIP

    Posts:
    2,854
    Likes Received:
    2,325
    Developing waste of time.
     
  15. DNScholar

    DNScholar DNScholar.com

    Posts:
    4,062
    Likes Received:
    3,919
    For long term best domains in the portfolio development is surely the key to generate passive revenue until sold.
     
  16. Potential.Domains

    Potential.Domains Established Member

    Posts:
    177
    Likes Received:
    133
    Well said @WilsonM

    Maybe a (private/closed) thread need to be started on NP, with domainers mentioning only one of their most potential domains, to be voted upon by participating members and to explore the possibilities of profitability and development – as a joint venture.

    The most potential domains would then be developed, accordingly. Building each domain into profitable ventures should probably have no upfront costs, if everyone involved, commits expertises, time and resources needed to maximize the potentials of each asset.

    Domainers are Entrepreneurs by nature; why aren't we discussing and exploring this possibilities on NP? Mike Mann turned phone.com into a profitable asset. Phone.us can equally be developed, offering VoIP/telecom equipments and services to businesses of all size in the U.S.
     
  17. Eric Lyon

    Eric Lyon Member Services, NamePros Super Moderator PRO Gold Account VIP Trusted Contest Holder

    Posts:
    20,329
    Likes Received:
    14,811
    We do have a joint venture and partnership forum in the marketplace "here" if you would like to start a thread promoting a joint venture for some domains you own and feel have potential to develop.

    Good luck! ;)
     
  18. emeri

    emeri Top Member VIP ★★★★★★★★★★

    Posts:
    2,507
    Likes Received:
    102
    I'm really glad I read this! The quick flip is tempting but I'm going to start developing more of my domains!
     
  19. john_karr

    john_karr Established Member ★★★★★★★★★★

    Posts:
    1,272
    Likes Received:
    318
    Nice post Eric. Every domainer should develop at least one of their domain names.
     
  20. Adam27

    Adam27 Blockchain.link for Sale or Lease VIP

    Posts:
    2,854
    Likes Received:
    2,325

Share This Page

NameWorth
  1. NamePros uses cookies and similar technologies. By using this site, you are agreeing to our privacy policy, terms, and use of cookies.
    Dismiss Notice
Loading...