Domain Brokers...?

[Mike]

Does anyone know whether there is a domain broker service that connects a motivated seller with the END USER? Someone that accepts a domain for brokering, does the appropriate research, contacts end users, offers the domain for sale, establishes a minimum price with the seller and takes a % of the sales?
Unlike Sedo, TDnam or others, which are simply auction services, is there anyone that actually does the classic footwork of finding the enduser(s) and connecting them with the opportunity to buy the domain?

This may be a relatively "complicated" description of what i have in mind and is probably done, if so, can anyone point me in the direction?

thanks

 

[Mike]

...and someone just came from "comedy central" or itsbecauseidonthavethetimetoefficientlydoit.org

Add-On:

Maybe i need to clear up a misconception that starts to exist here:

I am not looking for anyone to broker a domain for me, i was merely "thinking out loud" about a possible opportunity to broker domains of medium value. Which gets to say that i'm not the guy to do it or the guy that needs someone to do it for me. Thanks for the offer though.

 

[mirrorcube]

Domain Broker Contact

I may have someone for you depending on the name. The person i have in mind was a high level exec at buydomains before name media bought it. PM the name and ill find out if shes interested in brokering it for you.

 

[Spade]

Mirror cube -

I think you missed the entire thread.... (dont judge a book by its cover)

Justin

 

[Travis]

I myself wouldn't mind having someone broker afew of my decent domain names. I've always wondered how to track a good broker down.

 

[goodkarmaco]

This aspect of domain marketing has been the holy grail of domaining forever.

All the major auction houses began with that premise.

Lol, then they got blinded by the profits of ppc advertising. So they merely sat on their laurels for years, just filling up thieir auction house with domains. Words like "get the domain you want today" does not sell names in any quanity. Marketing the names to end users is what gets results. No they like stacking them up like so many dead dogs.

Millions of of domains in the auction houses and only 6-12 selling daily!.

What a coup for misleading domain owners. Every auction house I know about should have the following words on their site, " we do not really do much to sell your names, but you can place them for sale here and at least they will be in good company as we have millions of names for sale and with yours added we will have even more names gathering dust, its your choice as we actually market very few domains, we make our money parking them".

Its about time we talk about this. I can't imagine any other business having millions of items for sale and happy selling less than a dozen a day.

What gets me the most is the average domainer could care. If you did you would be asking them to do their job, that is BROKERING OUR DOMAINS.

 

[Ken_]

well said again.

 

[Aggro]

Why not use 'sparedomains,com' as a broker?

Didn't he broker the $129,000 sale of sportsbook,mobi

 

[proproject]

Some good points being made here. Frankly, we might be doing a little fantasizing. I don't think the economics exist for cold calling to sell a handful of low-end domains as a broker. It's just not profitable for a good professional salesperson to spend his or her time that way. However, economics improve if you are selling the domains you own (you're making 100%, not 10 or 20 or 30%). Economics improve even more if you have a huge inventory of domains so you can more likely satisfy the prospects with a premium domain, regardless of their budget. Economics improve if you are selling more valuable domains, high 5 figure or 6 figure domains.

We definitely do outbound selling on our most valuable, exclusive listings in the Showcase. If you have high-end opportunities, we can get to work on those immediately.

We are working on a new brokering service that will give you a chance to have YOUR domains represented (outbound and inbound) by the 17-member sales force of BuyDomains, in my recently-turned-biased opinion the best domain name sales force in the world (if there are any others).

 

[Mike]

Frankly, we might be doing a little fantasizing. I don't think the economics exist for cold calling to sell a handful of low-end domains as a broker.

Most concepts, ideas and project start out with some degree of fantasy, some of these turn into the most profitable companies. Cold calling is one way to go, even though its one of the most frowned upon tactics and frankly, often considered a waste of time. What matters is research, planning and accumulation of a diversified database of possible clients. It is in the best interest of the "broker" to establish a degree of being known BEFORE you approach someone with a domain for sale. Networking and social skills are ranked at the top.

Economics improve if you are selling more valuable domains, high 5 figure or 6 figure domains.

Correct, and how many of the "regular" domainers can say that they own a 5 or 6 figure domain? The ones that do are either domainers with a large portfolios which acquire names to further their value OR companies/corporations that are buying these names to extend their reach of business. It's the minority that offers names like vodka.com, other than that sales of this magnitude wouldn't make such news. Same goes for the sportsbook.mobi sale. it's a mile stone, and mile stones are considered such because of the rarity of their existence.

the best domain name sales force in the world

Thanks, point in case.

(if there are any others).

isn't exactly this statement the ultimate validation that there NEEDS to be more diversity on the market? When even you, as a professional in exactly this type of business, states that you don't know of anyone else?
While i understand the nature of business, i still remain with my original question that started this entire thread, are there any services out there, that on a professional level, connect the MEDIUM domain owner, 1k-10k value with a potential end-user?
In any way, thanks for the response, Roger. Actually, by the way it sounds you and your team are the ONLY professionals in the domain broker niche, obviously focusing on the high end domains though, indicating that medium level domains (1k-10k) take the backseat in your venture.

If you have high-end opportunities, we can get to work on those immediately.

No personal attack intended!
Again, as a disclaimer, i am personally NOT looking for a broker, i am simply addressing a thought that pertains to our industry. Let's see what happens from here.

 

[Spade]

I believe the issue here is the level of Broker. He is absolutely right. I dont know of a broker that will take my mid level, several thousand dollar domain names to the end-user.

Economically? Its absolutely possible. I think this is a market that NEEDs to be explored further. Low Level domains in the several thousands. If your smart enough and know the right venues, I believe someone could find great success in the mid-level domain market. Its potential is enormous.

I can appreciate BuyDomain's success in the market they are in. But frankly they cater to the top levels of domain sales. Is the grunt work difficult? Sure, but if your representing a few hundred mid level domain sales, you can focus on those domain names. What good is having 100,000 - if your not actively promoting them? How are you earning your commission.

Im with mike 100% on this one.

Justin

 

[Ben42]

Maybe even think one point higher.

To sell real estate you need to be licenced. Maybe with all the experience we have here at NP we could develop a test to be a licenced Domain Realtor. Maybe there is a good .org out there to develop for this purpose.

I dunno, just dreaming out loud.

 

[Mike]

Maybe even think one point higher.

To sell real estate you need to be licenced. Maybe with all the experience we have here at NP we could develop a test to be a licenced Domain Realtor. Maybe there is a good .org out there to develop for this purpose.

I dunno, just dreaming out loud.

Hmm, while we're at thinking out loud. Isn't this something where RJ should already jump to the plate and consider the Domain Name Owners Association as a possible, fertile ground for conceptual development of such a service? :just thinking out loud, not trying to put RJ on the spot: :blink:

 

[tjoseph]

No, the economics aren't great. However, it depends on the average value of the domains you are selling. Let's say you do have thousands of names listed with your brokerage to sell, so you can meet the needs of any potential buyer. Let's also assume your average domain sells for $1000 and you take a 20% commission. My sales people for my computer business can make 80 - 100 calls a day:

80 calls per day X 5 days per week X 52 weeks per year / 12 Months = 1733 calls per month.
Let's assume a 3% response rate and a 30% closing rate:

1733 X .03 X .3 = 15.6 sales per month per salesperson
$1000 average sale X 20% = $200 commission per sale
15.6 X $200 = $3120 per sales person per month

By the time you pay the sales person and business overhead, there is not a lot left over. I would say you need to have an average sale of $10,000 or more to make it work and there are not that many domains in that price range. I think it might work better if you were selling a package with the domain that included hosting and development or some other kind of add on.

Tom

 

[Ken_]

Maybe even think one point higher.

To sell real estate you need to be licenced. Maybe with all the experience we have here at NP we could develop a test to be a licenced Domain Realtor. Maybe there is a good .org out there to develop for this purpose.

I dunno, just dreaming out loud.

Funny all you need is a bullshttr with contacts, a guy that could sell a pile of sht and make you think it was a bag of roses , You need the bill clinton of domain brokers. Now who is he or she and whats their email?

 

[Spade]

No, the economics aren't great. However, it depends on the average value of the domains you are selling. Let's say you do have thousands of names listed with your brokerage to sell, so you can meet the needs of any potential buyer. Let's also assume your average domain sells for $1000 and you take a 20% commission. My sales people for my computer business can make 80 - 100 calls a day:

80 calls per day X 5 days per week X 52 weeks per year / 12 Months = 1733 calls per month.
Let's assume a 3% response rate and a 30% closing rate:

1733 X .03 X .3 = 15.6 sales per month per salesperson
$1000 average sale X 20% = $200 commission per sale
15.6 X $200 = $3120 per sales person per month

By the time you pay the sales person and business overhead, there is not a lot left over. I would say you need to have an average sale of $10,000 or more to make it work and there are not that many domains in that price range. I think it might work better if you were selling a package with the domain that included hosting and development or some other kind of add on.

Tom

I hear where your comming from - but what im More focused on is the mid tier - 5k-10k domain names. I also think that a smarter sales person could bypass a lot of "cruddy" potential buyers and locate the premium end users much quicker then just cold calling.

But I like the breakdown!

Justin

 

[tjoseph]

I think you could profitably sell domains in the $5K - $10K range if you had some value add you were also selling like development and hosting.

Tom

 

[Spade]

I think you could profitably sell domains in the $5K - $10K range if you had some value add you were also selling like development and hosting.

Tom

Hosting and Development are relatively cheap and inexpensive to provide. I could see several options and add-on services available. Perhaps even worked into the price.

Justin

 

[tjoseph]

Also, smart sales people are always qualifying and improving their prospect database. The 3% response is actually very optimistic and assumes you are calling qualified prospects.

Tom

 

[cache]

The economics would be there for the market. Someone needs to develop the market.
Compare people use their money to buy lottos, if he buys a domains he has real chance
of making some money.

Some people buy future or stock options, can we make domain futures?

 

[goodkarmaco]

Roger,

Afternic has about two million names right?

Your average daily sales are 6-12 names. Are you proud of those sales figures?. The best selling team in the world?

Come on.. if I had two million names selling under my personal name, I would sell tons more than that, just from folks looking up my "who is".

So one can deduct from the amount of names for sale, ( about two million names) and the ones actually selling ( daily names sold, about 6-12) that Afternic sales team has been , umm.. sittng on their butts.

Your track record is the same as most auction houses, pitiful.

Correct me if I am wrong, but Moniker just sold more names in one day at the live auction than Afternic has sold in the last month and I am pretty sure Afternic is way more bloated with names.

Anyway, bottom line, at this time I do not trust Afternic.