HUGE DOMAINS SNIPING GODADDY CLOSEOUTS

[wwwweb]

So annoying Godaddy hasn't stopped Huge Domains from sniping Godaddy Closeouts with their automated tools, no way a human bidder can win a even closeout.

First they were sniping with the backorders, now you cut that out, and you are letting them snipe via automated tools.

So what do you say @Joe Styler , you want to even the playing field a bit, as your partners are bidding everything in a split second, from $12, to $11, and bidding everything else into the hundreds from a simple bid. I would rather pay a Huge Domains surcharge at checkout.


Huge Domains has an unfair advantage on the auction platform, essentially taxing every user for using it with their automated access advantages given to them thru the house.

 

[Samer]

I am not sure about wholesale inflation theory, I still thing its not profitable business for HD. Their relationship with GD looks shady, I will not speculate but something is not right about all of this!

Why is not a profitable business for HD? That’s
Conjecture. Looking at them this is what I see..

Mutualistic relationship; 80M+ GD and 7M HD.
Put perspective;HD more than double Uni DN!

Looks highly complex profitable operation both
HD’s growing, felt like at 6M, not too long ago.

Samer

 

[7363824]

Why is not a profitable business for HD? That’s
Conjecture. Looking at them this is what I see..

Mutualistic relationship; 80M+ GD and 7M HD.
Put perspective;HD more than double Uni DN!

Looks highly complex profitable operation both
HD’s growing, felt like at 6M, not too long ago.

Samer

HD is definitely making good money. They got about 7million names is it? If they can get a 1% sell though for example that's 70,000 sales a year if you assume an average sales price of $2,500 that's about $175million in sales. Now I doubt they have 1% sell though (I've seen some very crappy domains there) but even if you say its 0.5% thata still $85.5million.

Just saying. And that's not taking into consideration their revenues from DropCatch or NameBright.

 

[Coindoji]

I am not sure about wholesale inflation theory, I still thing its not profitable business for HD. Their relationship with GD looks shady, I will not speculate but something is not right about all of this!

I would have thought you would stop any unprofitable business as fast as possible, and the fact that they are still into it and shifting gears up, speaks for itself - we just don't have all the pieces in this puzzle and of course it's profitable for them since all they do is expanding and increasing volumes/bids.

 

[uzver]

Bid carefully because this auto snipe bot is still active, they are still gaming the $11 closeouts, so if you want a name just put the $12 bid on it, and if they outbid you make them pay the $1xx for it, don’t let them have it for $11.

Well, we should be careful with "make them pay the $1xx for it". I successfully played with HD bot for almost two weeks, and it never disappointed me

But one small mistake costed me $145 + renewal.

The domain I won was valued for $1,822 by GoDaddy, so I assumed HD bot will bid up to 9% of the valuation which is $163.98. I put a $150 proxy bid and accidentally won. HD bid was set at $142.

 

[uzver]

So I'd like to share my recent experience with Godaddy auctions where HD bot was a participant. I must say everything written in this thread works without fail most of the time.

I just went thru my lost auctions at GoDaddy and compiled a simple stats.


Period: 17 Mar 2020 - 31 Mar 2020

littleserver.com - HD bot won
I personally pushed it from $12 to $82

charityassistance.com - HD bot won
I personally pushed from $12 to $17

villastar.com - HD bot won
me and couple more bidders pushed it from $12 to $55, and then HD bot joined at $65 just to be pushed by someone great all the way to $266

trustenterprise.com - HD bot won
few bidders at the beginning, and then another great bidder pushed HD bot from $63 to $123

bbelt.com - HD bot won
I haven't started this one but I was amongst the first few bidders, then another nice bidder took over and pushed the HD bot from $50 to $100

roserestaurant.com - HD bot won
four legit bidders from $12 to $85, then HD bot joined at $95 and it was pushed by another great person to $163.

yomart.com - HD bot LOST
legit bidders from $12 to $150, then HD joins at $155 and pushes another bidder to $338. Sad.

archbone.com - HD bot won
I pushed the bot from $12 to $110

emotivecreative.com - HD bot won
I pushed the bot from $12 to $60

roofanchor.com - HD bot won
I was fighting with the bot from $12 to $110, then another bidder joined and made HD bot pay $155

clouddirection.com - HD bot won
I pushed the bot from $12 to $62

bestforlife.com - HD bot LOST
legit bidders from $12 to $185, then HD joins at $190 and pushes another bidder to $361

pressconsulting.com - HD bot LOST
legit bidders from $12 to $60, then HD joins at $65 and pushes another bidder to $130

greendock.com - HD bot won
legit bidders from $12 to $258, then HD joins at $268 and another great bidder to forces HD to pay $403 for this domain

thinksupply.com - HD bot LOST
legit bidders from $12 to $120, then HD joins at $137 with this only bid, then myself and another bidder continue to $182. I wonder why HD bot didn't participate longer.

kristaupher.com - HD bot won
HD bot joins at $27, and wins the domain in a bidding war with another bidder at $137

whatworksnow.com - HD bot won
my bid $12, and HD won at $17

brainstrength.com - HD bot won
quite a few bidders participated up to $285, and HD bot won with a single bid of $290

studioday.com - HD bot won
legit bidders from $12 to $228, then HD joins at $233 and another great bidder to forces HD to pay $303 for this domain

ourhealthylife.com - HD bot won
legit bidders from $12 to $51, and then I pushed HD bot to win it at $200

art-i.com - HD bot won
legit bidders from $12 to $32, then HD joins at $37 and another great bidder to forces HD to pay $77 for this domain

presentationlab.com - HD bot won
legit bidders from $12 to $63, then HD joins and outbids another bidder's proxy bid of $222 to win the domain at $227

kidearth.com - HD bot won
legit bidders from $12 to $24, then HD joins at $29 and pushes another bidder to win at $167

exceptionalleadership.com - HD bot won
few bidders, including HD bot brings the auction to $120 mark, and then another great guy forces HD to pay $215 for the domain

gentley.com - HD bot LOST
legit bidders from $12 to $245, then HD joins at $250 and continues a bidding war with a single bidder till $356 (at this point HD exits), then the third bidder joins and wins the domain at $366 mark.

Remarks:
- by legit bidders, I mean anyone, but 913932 and 913933.
- all above auctions had no bids 15 minutes prior to auction end

There was no auction that started by me or someone else, where HD bot wouldn't join.

 

[pb]

inb4 HD files a lawsuit aganist namepros members for acting as a cartel to push prices on domain auctions.

 

[DomainBanana]

I looked at 109 HD domain purchases and list prices.

Total expenses for these 109 domains were $18,565.

Total list price: $471,955.

With these purchases, breaking even over the first year would require an STR of 3.93%.

How can this be profitable?

 

[uzver]

With these purchases, breaking even over the first year would require an STR of 5.09%.

How can this be profitable?

Why not?

Exactly 12 months ago I started a test: buying & selling cheap .org and .net.
Roughly first 150 domains were picked without much research, i.e. filtered using age, etc.

Test portfolio size: 276 domains (of which 42 were purchased this year, and the list also includes sold ones).
Total acquisition cost $5,707.

Results to date:
Sold 19 domains (STR 6,9%)
Net Revenue: $11,301
Profit: $5,594 ($11,301 - $5,707)

For what it worths, I found it very time-consuming, so I slowed down this year (as you can see from my acquisitions). But I'm sure it can be scaled easily with all the resources HD has, IMO.

 

[DomainBanana]

Results to date:
Sold 19 domains (STR 6,9%)

Congrats, but HD doesn't do meticulous research and they don't have anything close to 6.9% STR. They would be lucky to get 1/10th of that.

Note: I adjusted my original calculations -- they would only need 3.93% STR to break even in the first year.

 

[uzver]

HD doesn't do meticulous research

We do it for them. That's more than enough.

they don't have anything close to 6.9% STR. They would be lucky to get 1/10th of that.

That's just an assumption. How can you know?

 

[DomainBanana]

We do it for them. That's more than enough.



That's just an assumption. How can you know?

I know the average quality of domains they pick up.

 

[uzver]

I looked at 109 HD domain purchases and list prices.

Total expenses for these 109 domains were $18,565.

And let's not forget that next year the renewal for these domains will be less than 1K, while they can keep selling them which contributes to the STR for this slice of their domains.

 

[wwwweb]

Congrats, but HD doesn't do meticulous research and they don't have anything close to 6.9% STR. They would be lucky to get 1/10th of that.

Note: I adjusted my original calculations -- they would only need 3.93% STR to break even in the first year.

$65M for renewals, and overheads, + credit card/paypal processing charges, plus this is a big plus cost to acquire all current, and past names, and less any other platform commissions.

 

[uzver]

I know the average quality of domains they pick up.

I can't speak for HD, but I believe the domains I quoted above CAN be sold for $1,000+ each.

 

[DomainRecap]

How can this be profitable?

It depends on whether HD gets any cut of the back-end action.

 

[DomainVP]

Congrats, but HD doesn't do meticulous research

They do.

What looks like nonsense buying to us is a fine tuned algorithm of buying.

Years ago I was hired by a registrar to crack their formula of purchasing from the drop. Which I did at the time. In short; they cast a net targeting specific keywords, dates, lengths, and other metrics. It's messy because there are a lot of domains that will never sell but in that net they catch enough to make a profit every day.

Well, we should be careful with "make them pay the $1xx for it"

Bid carefully because this auto snipe bot is still active, they are still gaming the $11 closeouts, so if you want a name just put the $12 bid on it, and if they outbid you make them pay the $1xx for it, don’t let them have it for $11.

I disagree with this approach, because for the most part the successful snipers are just other domainers and not HD. When you place a bid with minutes remaining yes you can/will cost HD money but you are just nuking the domain for other investors because it will just got to HD anyway.

HD is not hard to beat at the snipe, in fact their bot is incredibly slow when it come to closeout sniping.

You've heard from reps before that it's not a "magic bullet" - and they are 100% correct. The API is kind of slow... BUT it is a part of a process that allows people to snipe the best closeout auctions consistently, with as much a 80% success rate.

 

[uzver]

HD is not hard to beat at the snipe, in fact their bot is incredibly slow when it come to closeout sniping.

You've heard from reps before that it's not a "magic bullet" - and they are 100% correct. The API is kind of slow... BUT it is a part of a process that allows people to snipe the best closeout auctions consistently, with as much a 80% success rate.

But you need an API access to compete with others in closeouts, it’s mission impossible to snipe anything using web interface. At least with an API you can put it on autopilot...

 

[DomainBanana]

What looks like nonsense buying to us is a fine tuned algorithm of buying.

Yes, but this is different than meticulous research and they do pick up a great deal of junk that won't sell.

they catch enough to make a profit every day.

I'm not so sure. If they do profit, I think their margins are very, very small.

In other words, their huge inventory compensates for their tiny STR.

 

[NameShiba]

Bidder 913932

Crushed me again today on GoDaddy.

*oof *huge domains*

 

[DomainVP]

Bidder 913932

Crushed me again today on GoDaddy.

*oof *huge domains*

What was the domain?

 

[NameShiba]

What was the domain?

ManagerPerformance.com
ExcitingCareer.com
PCAgents.com
GreatScans.com
DuelLink.com

Will have more close but no cigar auctions tomorrow :P

 

[namesway]

.

 

[wwwweb]

I am the 2nd bidder on pcagents and greatscans. You could have bought those two domains at $11 a piece. You really think you going to get away with a $12 bid. As soon as you place the bid. You already lost the name. If you get a domain for $12, it must be a name that nobody want. I will take my chances on closeout.

If the bot has it in it's que at $12, you can surely bet it's going to go at it for $11.

So if you are trying to get the closeouts, you can see the visitors when you hit refresh, if the refresh hits are jumping 4-5 times per refresh you know a bot is going to beat you to it.

All users deserve an equal chance at closeouts.

 

[namesway]

.

 

[Samer]

to clarify, there’re 0 HD bots in GD Closeouts?

the “expired auctions” the one infested hd bots