debate Under Selling Domains - Or Not ??

[Revisiting]

A difficult subject without any doubt. Most Namepro posts are reflective on the best of sales, Our admiration for what is achieved lifts us all. However, every now and then there comes about a thread about the underselling of domains (price wise) The effect on the overall market and the impact on portfolio holders,

I understand what a contentious subject underselling (opinion) may be - Would I want to be a seller 'flagged' - No chance. But equally there may be elements that hinder a domain price that the rest of us don't see, Hence the apparent bargain.

I've started off this thread with the intention of posting a few identifiable domains from DNJ. I truly hope no individual seller takes offence, and any wish to remove a domain from discussion would be respected and honored

 

[Revisiting]

I'm going to be the first to post a couple that struck my mind as being bargains from the last DNJ report. Like I say there is no undermining intended, But hopefully we can all learn from a collective response and opinion. I truly don't feel it is a issue overall, and that the occasional low priced domain is just that - An occasional bargain. So to my mind it is NOT the recurrent theme that those that talk about underselling seem to pervade

 

[Revisiting]

shopmobile.com

A big stand out for me was

safetysystems.com Asylum.org All coming in at under 3K. Just as an aside.. hellsangels.com Could you imagine that at under 3K admittedly before our internet days that gave it the .com

 

[Recons.Com]

shopmobile.com

A big stand out for me was

safetysystems.com Asylum.org All coming in at under 3K. Just as an aside.. hellsangels.com Could you imagine that at under 3K admittedly before our internet days that gave it the .com

There are some large legacy portfolio holders that probably got lots of good names in the earlier days and haven't revised the prices for long time.

SafetySystems probably could have fetched under 3k price wholesale at GD auctions or Dropcatch auctions nowadays. The same with Asylum, as it is a fantastic match for .org

If I had time or desire to revisit my pricing for some names priced in 2015-2017, I might be revising them upwards probably.

PS what's up with this anonymous disliking? The op started a thread and it had negative 2. I really distaste this anonymous like/dislike system. There was nothing like this before they introduced it here.

 

[.X.]

There are to many awesome deals to list, a few I have bought since 2020 going to 2022.

I haven’t seen anything extreme as far as a loss for a seller, although I simply wouldn’t sell at the lower prices names are selling for today.

There are some good and great buys to be had , holding is the best option unless the name brings a decent profit , renewal fee is only $8.99 , I would much rather Hold as opposed to a break even or small profit.

 

[Recons.Com]

There are to many awesome deals to list, a few I have bought since 2020 going to 2022.

I haven’t seen anything extreme as far as a loss for a seller, although I simply wouldn’t sell at the lower prices names are selling for today.

There are some good and great buys to be had , holding is the best option unless the name brings a decent profit , renewal fee is only $8.99 , I would much rather Hold as opposed to a break even or small profit.

Interestingly, the industry is quite sensitive to the renewal fees. Verisign might be shooting itself in the foot with the raises. If it goes through with all 3 remaining 7% increases, we will soon see wholesale prices at $11-12 range.

We already have around 50% of investors making loss and 2/3 either hardly breaking even or losing. With 11-12 renewals, probably 2/3 will be making loss and 4/5 hardly breaking even.

Even the profitable portfolios will be taking a harder look at what they have and culling the categories that they think don't provide a sufficient profitability.

 

[.X.]

Interestingly, the industry is quite sensitive to the renewal fees. Verisign might be shooting itself in the foot with the raises. If it goes through with all 3 remaining 7% increases, we will soon see wholesale prices at $11-12 range.

We already have around 50% of investors making loss and 2/3 either hardly breaking even or losing. With 11-12 renewals, probably 2/3 will be making loss and 4/5 hardly breaking even.

Even the profitable portfolios will be taking a harder look at what they have and culling the categories that they think don't provide a sufficient profitability.

Trimming the fat off a portfolio is always a good thing , just auction off names that aren’t going to produce , it’s not much money, but some is better than none.

I learned many years ago to not sweat renewal fees , it causes a panic and knee jerk reaction and can be more costly than even an $11 renewal fee, when you see you name sell for very good money.

During the last recession , I went through that knee jerk panic reaction, and regretted it for years to come.

Trim down the portfolio , pay those renewal fees and Hold , a person can easily get those renewal fees back when the market is churning.

Much like anything, it’s risk vs reward. We never know anything is a guarantee

 

[Recons.Com]

Trimming the fat off a portfolio is always a good thing , just auction off names that aren’t going to produce , it’s not much money, but some is better than none.

I learned many years ago to not sweat renewal fees , it causes a panic and knee jerk reaction and can be more costly than even an $11 renewal fee, when you see you name sell for very good money.

During the last recession , I went through that knee jerk panic reaction, and regretted it for years to come.

Trim down the portfolio , pay those renewal fees and Hold , a person can easily get those renewal fees back when the market is churning.

Much like anything, it’s risk vs reward. We never know anything is a guarantee

My approach is different from the general one. I do very little trimming because I prefer to do the upfront analysis when buying names. So, I trim around 1% a year, while adding 50%-100%.

I was writing about smaller investors that hold 50 to couple of thousand names and don't have enough data to make informed decisions.

And, auctioning off the names will provide worse results than now for most names, because, again, the higher renewal fees.

Consider this: before the price increase last year, Verisign added around 7 million .com names in 12 months. It will be only 3 million .coms since. With the next 7%, I assume, the growth will stop and with the next two 7%, total .com numbers will go back to 150 million from current 160 million. Unless, of course, the inflation catches up.

 

[Revisiting]

PS what's up with this anonymous disliking? The op started a thread and it had negative 2. I really distaste this anonymous like/dislike system. There was nothing like this before they introduced it here.

Thanks Recons, I knew it would be a contentious issue to bring specific domains (as a personal opinion) on sales price. I just thought If get so many threads stating underselling , then lets look at the specifics of that repeating topic. As I've stated many times I don't think it is an issue. I personally can only identify a few out of the several hundred reported in DNJ sales report. I just thought that those that like to bring up the topic may have many examples that give weight to their argument. But, it seems not.