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What kind of ROI to expect when reselling to other domainers?

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Blues Brother

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Hi guys,

I'm new to domain investing. I think buying a domain and reselling it to another domainer is more realistic for me at this point in the game.

My plan is to drop catch a domain for $100 and resell it for $150 for a 50% ROI.

How common is this scenario? Is a 50% ROI too high when reselling?

Thanks
 
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The views expressed on this page by users and staff are their own, not those of NamePros.
Just wondering how are you new but you joined in 2013?
 
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To answer your question though you'll have to deal with lowballers so don't expect much.
 
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This question is pretty much impossible to answer.

It happens all the time, many people do it but in order to profit from domainers, you need to understand the value of domains first.

You can't arbitrarily decide to pay 100 for a domain and sell it for 150. You need to know that you will make a profit on it.

A noob is more likely to lose money on an attempted flip until he becomes more experienced.
 
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Just wondering how are you new but you joined in 2013?

I joined the forum in 2013 but I think I started buying domains back in 2008. I was doing what many of the inexperienced domainers do, which is hand register 30 crappy domains, thinking I had struck gold. I have yet to successfully sell a domain though. I put domaining on the back burner and forgot about it. I wish I hadn't though.
 
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I joined the forum in 2013 but I think I started buying domains back in 2008. I was doing what many of the inexperienced domainers do, which is hand register 30 crappy domains, thinking I had struck gold. I have yet to successfully sell a domain though. I put domaining on the back burner and forgot about it. I wish I hadn't though.
If you can't hand reg one good domain out of the 30 crappy one's, you will not be able to do it properly by dropcatching either. You could be lucky one every ten domains, but the other 9 will eat all your profit. First you need to learn what is good and what's not through exercise, either buying cheap and selling cheap or just test the waters, in a demo way, without properly buying.
 
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Great question, if you look at the section on this forum where names are sold you will see that selling to domainers is not good price wise. Best is to buy names that are attractive to businesses that do not mind investing money in domains.
 
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  • Generally charge 15%-20% on the line
 
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Great question, if you look at the section on this forum where names are sold you will see that selling to domainers is not good price wise. Best is to buy names that are attractive to businesses that do not mind investing money in domains.

thanks for your response. what kind of domains do businesses like? do they like brandable domains? or do they prefer exact match keyword domains?
 
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50% loss is more likely.
 
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I think buying a domain and reselling it to another domainer is more realistic for me at this point in the game.

Hi

i started by buying and reselling to other domainers.
by doing so, it helped to establish myself in the community, and build a reputation thru positive trader feedback and discussion participation.

other domainers got to know me or knew who i was.

now, if you check posts by members here outside this section, where you can see their "trader rating",
then you will see how many are buying and reselling to each other...
and within that circle of trade, there are some domains that make it out of rotation and many of them get sold to end-users.

imo....


Is a 50% ROI too high when reselling?

as for profit margins or roi, no 50% is not too high.

many companies profit margins per unit, aren't that high
so, be happy if you strive for that or higher.

for someone with low budget
if you can hand register a domain for $10 and resell for $25, before renewal time, that's very high return

the basic variables are:
the quality, of domains you register/purchase
the price of each registration/or aftermarket purchase
the amount of time it takes to sell each domain

imo....
 
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