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0 x N = 0 is the mathematical proof for quality over quantity

Labeled as tips in Domain Buying and Selling Discussion, started by Ostrados, Oct 28, 2020

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  1. Ostrados

    Ostrados EpicName.com VIP

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    This is the mathematical prooof of why buying load of trash domains never works:
    0 multiplied by anything = 0
    0 x N = 0


    Which means it does not matter if you buy 1 bad domain or 1000, the quantity will never compensate and the result will always be 0 sales, that is:
    100 domains x 0 = 0 sales
    1000 × 0 = 0 sales
    10000 × 0 = 0 sales

    Quality is mesaured by selling probability, so if you buy domains with selling probability > 0 (even if it slightly above 0 such as 0.01) then quantity will start to build up and you will eventually get sales.

    Think about it
     
    Last edited: Oct 28, 2020
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  2. koolishman

    koolishman Upgraded Member Blue Account

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    Mathematically agree. Holds true as property of "0".

    But, domains, like art, are subjective for most part.

    Domain value is in the eye of the beholder. What I dropped as "0" will be a 100 for someone for their project.

    Just looking at the the blogs here showcasing names sold earlier at xxxx now sold at xxx, and vice versa, proves this.
     
    Last edited: Oct 28, 2020
  3. Hypersot

    Hypersot Top Contributor VIP

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    ..and, who is the one that determines the selling probability? because, the real formula you describe is N x (insert random quality number) = (-cost to +infinity) profit.

    Unless you know for a fact the selling probability of a domain, the 'quality' number you describe is either zero or random.

    Don't also forget that anyone that knows the selling probability of any domain, they won't really need any formula ;)
     
  4. Ostrados

    Ostrados EpicName.com VIP

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    @koolishman
    You can get lucky and sell bad domains in rare occasions, but that is statistically insignificant to build your business model on, it will never work for majority of investors, and if it works it will not occur frequently to make it profitable business.
     
    Last edited: Oct 28, 2020
  5. Ostrados

    Ostrados EpicName.com VIP

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    The formula is:
    N x Selling Probability
    Not
    N x Quality

    Where selling probability is proportional to quality.
     
    Last edited: Oct 28, 2020
  6. koolishman

    koolishman Upgraded Member Blue Account

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    My point

    Domain quality is subjective.
     
    Last edited: Oct 28, 2020
  7. Lord Antares

    Lord Antares Top Contributor VIP

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    I think you are being overly dramatic.

    If you are talking about trash domains, then yes, it's almost mathematically correct. But if you're talking about ok hand regs, you may or may not be right.

    Hand regs will, on average, sell much slower and go for a lower price (unless you want to additionally lower STR) but they are also MUCH cheaper than quality domains.

    Your "equation" is not true by default because the implication that anything other than a top domain is worth 0 is false.
    I still think it should generally be better to buy fewer high quality domains because of renewal prices of a high volume of hand regs but doesn't need to be true necessarily.
    I'm sure there are people who are earning more with hand regs than people who only buy high quality domains - while most people have a mix of the two which I think is the healthiest approach.
     
  8. Dude called Michael

    Dude called Michael Established Member

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    Hahaha, this is kinda funny while it is not. I agree that quality outweighs quantity with domains. BUT, you can still sell a domain if it is bad given that you have a lot of em. Still, overall a valid point.
     
  9. NickB

    NickB Wales.org VIP

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    Also, getting multiple offers on different domains in your portfolio must show if you have some "quality" names? Or at least domains that hold some value (little or large)

    I have had loads of offers and price requests this year, with very few sales.

    For me this shows I'm on the right track though and just need to stay patient....
     
  10. Ostrados

    Ostrados EpicName.com VIP

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    No I am not talking about acquiring top domains only, I am talking about domains of at least "ok" quality (that you can get for $20 range) with selling probability > 0, lower quality than that is big waste of money. That being said you need to do really hard wotk to filter the $20 domains to find the "ok" ones.

    I do hand reg all the time but you have to know what you are doing, there are thousands of available hand reg domains with value. However for begginers it is much safer to avoid hand reg.

    My point is that trash domains do not add up because they have 0 value and so
    trash + trash = 0
    trash x N = 0
     
    Last edited: Oct 28, 2020
  11. karmaco

    karmaco Top Contributor VIP

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    This is not a science it is art and an educated guess and some luck. Your top tier domains may never sell to your expectations in your lifetime. Likewise, names you don’t expect to sell do. So you can apply all the mathematics you want and you still have zero guarantees of selling or success.
     
  12. biggie

    biggie GreenFriendly.com VIP ★★★★★★★★★★

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    Hi

    what you said above is so true

    as the saying goes, one man's trash is another gold.

    i have dropped domains and often they get picked up by the likes of HD and others.

    ie:
    dombuy.com
    eyesoptical.com
    africanclothingandart.com
    fullmoviedownload.com

    etc, etc

    imo....
     
  13. koolishman

    koolishman Upgraded Member Blue Account

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    fullmoviedownload.com

    Good one with some development potential! IMO.
     
  14. Lord Antares

    Lord Antares Top Contributor VIP

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    There is a massive difference in quality between a $20 domain and a $10,000 domain. To me, owning ok $20 domains is quantity, while owning xxxx+ domains is quality.

    Saying that complete trash domains will never sell is self explanatory. I just don't NECESSARILY agree with the general sentiment that quality > quantity every time. It just seems that we have different definitions of quality domains.
    Trash domains will always be trash domains, regardless of the argument.
     
  15. Ostrados

    Ostrados EpicName.com VIP

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    I get your point, maybe my argument was not clear in my first post and seemed like talking about very high quality only.

    What I meant by quality is non zero quality with non zero chance of selling.

    Quantity is very important in domaining and you must not focus only on high quality xxxx acquisitions, however it will never add up if the domains are really very bad.

    I started this thread because I see many many bad closeout domains every day! From each 100 domains I can hardly find 1 domain worth buying at $20!! 99% of domains I see in closeouts are not worth buying. Which means domainers are wasting an awful lot of money on bad domains!
     
  16. garptrader

    garptrader Top Contributor VIP ★★★★★★★★★★

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    By observing over many years the domains that end users choose to promote their businesses, I still believe domains are greatly underappreciated as a means of promoting a business. However, given that domains are generally not perceived as $xXxX items, pricing every domain in a portfolio at $2500+ is likely to result in low turnover.
     
  17. DOMAIN ILLUMINATI

    DOMAIN ILLUMINATI Owner of ▲ the most expensive domain of all time. VIP Gold Account

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    I thought about it and I found out that even 0 x the whole universe is still 0 which is really an awesome fact.

    upload_2020-11-2_19-34-49.png
    Click on the pic to see this awesome fact in full size.

    It's just that the term "quality" doesn't really fit to describe things, also virtual "things" (domain names for example), that have technically no difference; "quality" is more a term to differentiate between provable, objective points.

    So with regard to domain names, this "problem" (no problem) can easily be remedied by using the term combination "subjective quality".
     
    Last edited: Nov 2, 2020
  18. wallet2it

    wallet2it Deep Thinker @ DeepThink.org @ Learning.cc VIP

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    Smart man
     
  19. wallet2it

    wallet2it Deep Thinker @ DeepThink.org @ Learning.cc VIP

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    But how many beholders will think 100 and how many beholders will think 0? Still probability ....it can be computationally simulated
     
  20. Ostrados

    Ostrados EpicName.com VIP

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    In my view when quality is 0 then subjectivity is irrelevant. When a domain has some value > 0 then we can talk about subjective quality.

    That being said in reality nobody really knows the quality of a domain, we only have an approximation of what we think a domain quality is (AKA appraisal).

    A 4 words hyphenated domain certainly has 0 value in my eyes but it might be sold to someone somewhere for some specific reasons, however that would be a statistical anomaly when we talk about STR on a large sample of domains.
     
    Last edited: Nov 3, 2020

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