OK .. Day 1 2020 .. obviously some bad blood behind us .. but I'd really love for you to understand what I'm trying to say so that you can see that my issues are with the math behind what you say .. and not against you. I do appreciate the fact you finally read one of my posts above .. so I'll try to really make a detailed post to try to explain how I see things and hopefully get you to at least understand what I see from my side.
1 - Before starting with the rest, for YumNames, what I mean by "fine" is that it's a decent brand for a domain marketplace. Not the best name .. but certainly very usable and very far from being the worst. That being said .. it's important to note that I say that keeping in mind that you are the potential end user, not as an investment. Although in all fairness, most such "domainer domains" are challenging to retail because most domainers want domains cheap (even in the ironic case where they should be paying retail prices .. lol). But yeah .. if you launched your marketplace on YumNames.com I most certainly would not challenge that decision .. I have seen much much worse.
2 - As for caring about you .. given the language and accusations you've repeatedly thrown my way over the last 2 years, including starting a group private message with a bunch of industry leaders accusing me of stalking and slandering you, it's very safe to say that your wife can have you!
lol
3 - Again .. my posts are not meant to be personal .. it's just that I find your posts to often be potentially harmful to newer members looking to NamePros to learn.
While I think some of your business ideas are indeed crazy, ultimately it isn't even about the specifics of those business development concepts/ideas. For all I know, law of averages says one will pan out .. or maybe you're get an investor and take one of your concepts to the next level. However my big issue is that all these concepts you're talking about is "business development" and not domaining .. the domains you've collected to associate with your "still non-existent business concepts" are effectively worthless on their own. Yet you continue to misrepresent or misunderstand that most of these so called "business concept domains" are valuable, when in fact they are utterly worthless as "domains"
outside the scope of your business pitch.
And I'm not saying this to be mean or to single you out .. it's actually a fundamental concept error most domainers face when they start out. PARTICULARLY business dreamers like you and many many others here
INCLUDING MYSELF! Heck .. I had domains for 17 years before I actually started actively "domaining" .. so 100% I also made the mistake over the years of collecting domains with the "visions" of fantasy business concepts.
When hunting for domains people say "Oh .. that domain would be perfect for blabla bla type of business" .. and it's so easy to take off and start running with such dreams. But ultimately it's very dangerous as a domainer because of the math and probabilities behind that concept is astronomically challenging (which I've been ever so vigorously trying to explain to you!
lol
The basics of what I mean is that it's already difficult making a profit with domains with already
existing end users. By that I actually specifically mean domains like EpicCondos (with a C .. lol) or PatriotHosting or EmeraldMortgages (all domains I've acquired). Such domains have strong enough adjectives in strong enough industries with enough EXISTING businesses to reach that magic "1% probability of sale at 100x of your average cost".
So in my case let's say I sell 0.5% of such names a year at an average 300x of my average domain cost (combo of acq cost and renewals) .. factor them together and you get 150%, which means I'm making about
50% profit margin a year in profit (150% revenue minus 100% of costs).
But the margin of manoeuvrability is very tight, because as the average desirability factor (again: strong adjective + strong industry combination) goes down, both the % in terms of probability of sale and the potential sales multiple drops off the map very fast .. to numbers as potentially dismal as 0.2% and maybe 50x .. which factors to 10% .. which is effectively an annual
loss of 90% (10% revenue minus 100% of your costs).
When it comes to most of the domains we see here at NamePros the unfortunate reality is that even 0.2% is being unrealistically generous. Forget all these abstract enemies of domainers you often talk about .. that almost always overlooked piece of math of "probability of sale" is by FAR the most dangerous and overlooked pitfall of the entire industry.
That ultimately is the problem I have with "concept domains" .. because while good "in demand domains" are already very challenging to make a profit .. "concept domains" have all the existing mathematical challenges that "in demand domains" have .. but then you also have to factor in the very challenging percentage chance that someone also needs to have the same idea that you will have. Because while you came up with 9Time, and for the sake of argument let's even say it was a good idea .. even if it's a good idea, that exact idea and domain name would need to be thought up by somebody else just to be considered "in demand". So that one crucial "someone else has to think about your exact idea" is what effectively obliterates your % probability of sale down to something like 0.01% or even 0%.
That being said .. YES .. if you build out the idea and outbound the idea to business investors, yes .. certainly you can get lucky and sell your business idea. But not only is that active outbound, it's not even outbounding your domains .. it's outbounding your "business concept" .. so it is NOT domaining.
It does not mean your business idea is good or bad .. it just means that what you're doing is not domaining .. and that your domains are effectively worthless
without the support of the associated business plan (which in itself is a challenge ..
but as I've been trying to say .. that is a discussion for a different forum .. a business development forum perhaps .. lol)! I don't say that to be mean, or because I want you to go (although when you called me an AHole and stalker and slanderer I might have thought that a bit .. lol) .. but it's more just because it simply is not domaining!
Again .. I'm NOT saying your business ideas are bad .. I'm simply saying that your domains are mostly worthless on their own when looking at them from a domainer's standpoint of investability (again, not all of them are bad, but particularly your business concept domains just unfortunately have no
domain investment value for
DOMAINERS).
I'm not even saying the domains are necessarily bad for the business concepts you're developing .. but for a domainer who is just a domainer .. they are bad investments because of the
DOMAINER math.
Your "business development" math might be profitable .. but again .. you are NOT selling domains .. you are doing business development and trying to get investors in the business concept .. not in the domains. The domains are incidental unless they would otherwise be in strong enough demand to be over that "1% at 100x" threshold. Simpli_____.com and Epik_____.com domains unfortunately don't even come close to that threshold .. the probability of sale is way too low (without an associated business concept).
That's really the two biggest problems facing new domainers:
1- Don't get caught up in "build-out" or "business development/concept" fantasies
(unless you actually have the time, money and skills to do it .. but again .. that's not domaining either)
2- The quality of domains actually you need to ever reach "break even" math is
SIGNIFICANTLY higher than most newcomers actually think it is.
(1% sales probability at 100x avg cost)
Combine those two factors together and you get a reality that truly sucks as a new domainer .. because it's soooo easy to get caught up in what you think is a cool domain (but instead is actually a cool "concept" .. but you always need to stop and ask .. Are there a lot of potential EXISTING buyers for that domain with big pocket books? Even for most very cool domains, the answer to that question is sadly no!
I really hope that helped .. I'm getting really tired of all the frustration .. seriously .. what I say above is genuine .. and my concerns are for everyone who haven't passed those two
CRUCIAL "Ah-ha moments" when we come to realise most of what we're doing wrong as new domainers is because of those two problems.
To sum them up again:
1 - Don't get caught up in fantasies
2 - The math behind the hyper-majority of domains is absolutely horrible .. "Good" domains are NOT good enough to be "investable" (even if misleadingly they are indeed "usable") .. you absolutely need to have great to excellent domains (both strong adjective AND in a strong industry with losts of $$$/competition) AND get them at low enough prices to allow for astronomical multiples.
The methods and math can most certainly be different for every domainer. When it comes to the best 5+ figure domains your probability of sale goes way way up .. so in turn you can focus on 5x or 10x type multiple. Because of those two important variables (probability of sale and sales multiple), there actually numerous domaining models you can choose and still be successful .. but the combined factor must always be over 100% of your costs .. otherwise you're going to end up losing money .. "
as a domainer"!
