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question Should one specialise in a domain investment niche

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I've had a bit of an amateurish approach to domaining up until now. I tend to pick up anything that I find interesting. I do a bit of research before registering, and I find that fascinating, although it's a bit time consuming. I'm coming to the conclusion that I should be a bit more professional, and focus a bit more on sales rather than collecting. Also, I feel that a degree of specialisation might be advantageous. For example, I've got a few medical names, and I don't know anything about that industry, so I'm unlikely to make the most of them.

For me, I thought I might focus on 3 areas -
  • Brandables
  • Fore names ( Christian names) and nicknames
  • Two word feeder names
I'm a pretty small operator with only around 500 names. Do you think specialisation is the best way forward?
 
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The views expressed on this page by users and staff are their own, not those of NamePros.
As long as you're getting quality domains, any niche will do. The keyword is still quality. I myself prefer a diversified portfolio. But I do get your point.
 
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Just as an example, I picked up bigels as a possible branding name. When I started the research, I came across this quote =
Bigels are two-phase systems in which each phase (organic or aqueous) is structured using a specific gelator. Currently, these systems are widely investigated, mainly as matrices for controlled drug delivery, because they possess the advantages of both organogels and hydrogels and are very stable owing to the structuration of the dispersing phase.

Unfortunately, that sort of thing gets me interested, and I can spend hours reading about it, and I'll probably be lucky to get $250 for the name.
 
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I've had a bit of an amateurish approach to domaining up until now. I tend to pick up anything that I find interesting. I do a bit of research before registering, and I find that fascinating, although it's a bit time consuming. I'm coming to the conclusion that I should be a bit more professional, and focus a bit more on sales rather than collecting. Also, I feel that a degree of specialisation might be advantageous. For example, I've got a few medical names, and I don't know anything about that industry, so I'm unlikely to make the most of them.

For me, I thought I might focus on 3 areas -
  • Brandables
  • Fore names ( Christian names) and nicknames
  • Two word feeder names
I'm a pretty small operator with only around 500 names. Do you think specialisation is the best way forward?

As newbie, in last few weeks I learned that best approach is not to specialise but to eliminate niches with small market and that which are in decline or saturated. IMO brandables are highly saturated market with a mediocre return and I would rather invest in something well established. I decided to focus on major niches as bussiness, finance, religion, cryptos, IT and thanks to your reminder I'll try medical / pharmacy.
 
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I tend to cruise the drop lists, so I guess that by definition, most of the names I find are in declining niches. :)

I've got quite a few Bitcoin and blockchain names, and I waiting to see what happens in the crypto world before I push them. At the moment I'm trying to get my head round "onion" names. They are outside the current registration system, and are on the TOR network.
 
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thanks to your reminder I'll try medical / pharmacy.

I've got some Viagra, VigRX and the like names that I'm clearing if you want a few. :)
 
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What is the secret to monopoly? You buy as much as you can in a row.
Buy out an industry at a time.
 
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What is the secret to monopoly? .

To be in charge of the hotel and the houses, and to be the banker. It's a bit like real life. :)
 
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I think there has to be diversification. On the other hand you need to find your comfort zone so it is preferable to stick to niches you are familiar with. You might for example register names in say, health or legal but even if they are 'good' how do you know there will be buyers for your names ? Without being familiar with the industry it's somewhat of a guessing game. And some industries show more demand for domain names than others. There are plenty of professions that don't even require a fully-fledged website, or premium domain names to operate.
Domainers should always follow reported sales, take note of what types of domains are in demand, what keywords are trendy etc, and which industries they relate to.
 
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The interesting area ia in cross-niche names. For example "onion" is obviously an strong vegetable name, but it is being adopted by the dark web. It is even a TLD that is outside the current registration system. Rasperry is a whole new range of computers, and I believe they are outselling Apple.
 
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It's Good to spread across niches.
 
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If you find interesting, chances are there that there will be someone else interested in it too. Only the interest should be based on recent sales and trends. At the same time we have to resist ourselves of the temptation to buy all domains in a niche as soon as there is a big sale. like, it doesn't make a sense buying crazy *ex names just because one *ex sold for millions.
 
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To be in charge of the hotel and the houses, and to be the banker. It's a bit like real life. :)

Nope it maybe the objective but not the way to win. There are 2 dice. so everyone will roll between 2-12. If you buy 10 in a row to guarantee a pay each lap of the board you will more likely send them broke before they get their 3 properties with hotels. To monopolize domains develop the best or buy the rest. There are many strategies but anything that involves probability can be studied.
 
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Good thread. Traditionally Ive preferred groups of niches, keyword related. I did diversify with a NNN.com, LLL.com, and one word generic (Outstanding) about 5-7 years ago and this has worked out well, too.

But Im not a domain flipper, long term investor. I think the answer really depends on what your goal is in domain investing. To quickly flip or hold as long term assets that appreciate in value. If you are trying to build a niche you sometimes have to overpay (at the time) in order to get the pieces of collection you want.
 
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I started buy .com in 1998, and started buying .tv in 2000. My .com were geared toward "music", "movies", "games", real estate. My .tv is what makes sense the extension, such as News.tv which I just sold (NDA), Online.tv, P.tv, Actor.tv, Religion.tv. I done well in both .com and .tv. So niches depend on the extension actually, and growing trends.

Now for the bad news on going after a specific niches I went crazy and bought 4,600 all hand reg 6n.com in 2015, could of turned 40K into 400K in about 3 months, but I screwed that up, thought I could turned it into about 1-2 Million and only sold about 500 of them before market crashed hard, decided Chinese will come back let's renew another 4,100 6n.com for another year what the hell, really it went to hell lol, now a big ass tax write off:) That niche was totally dependent on the Chinese, ZERO end user market, and I got crushed, got greedy should of cash out at 10X ROI but live and learn.

Best approach is to find niches that has many potential buyers, and a "high ticket item",and not relied on just a couple of buyers, especially the Chinese buyers. I don't really think the Chinese are coming back like 2015. They are putting there money into Crypto and I don't blame them, much more money to be made there.
 
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I don't like the idea of being "boxed in" anyone who invested heavily in 3d or 3g would probably agree. Besides there is no way to completely own a niche imo
 
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The advantage of building a collection of names in one niche comes when you put mini-sites on them. This allows you to pick up a bit of advertising revenue to cover the cost of ownership. You can build a library of pictures and articles, and add a few cross links. It also gives potential buyers a bit of choice when it comes to selecting a name for their new project.
 
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specialise in a domain investment niche have its own advantages and disadvantages.I think we should choose middle path.
 
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Knowing something about industry may help. But you can't know all industries and knowing only one industry will not be enough. So your first amateurish approach is the inevitable end result unless you can hire experts from all industries.

Diversification is the key in all investments. But it lowers your profit as the cost of lowering your risks. Low profit alone is a big risk.

For me, the solution is to be willing to take rational risks if you are doing a business. So try and see (trial and error). But always be skeptical to what you learned. Because what you learned from your experience might never repeat again. Nobody knows what will happen in the future. Investment depends merely on the events you expected to happen tomorrow. Nobody knows what will happen tomorrow. Luck is undeniable factor in success. The best advice is to wish good luck to yourself.
 
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Advantage of specializing is you know your area really well

Disadvantage is domaining tends to be like that game wack the mole. You got to try to hit (buy) that domain no matter what area hole it pops out of.

whack-a-mole.png
 
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Rather than depending on niche, you should choose one area of specialization out of these

1. Keyword domains ( This is what i am learning)
2. Brandable domains
3. Number domains
4. Liquid domains
 
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I still think it's good to look at a couple of profitable industries that you know andunderstand. Then you can keep an eye open for names that pop up in that industry. Keep the list updated either on it's own domain, or a sub-domain on your sales site.
 
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There is such a thing as "Curse of Knowledge".

Just because you and others know a lot about an industry, that doesn't mean a company will buy a domain from you for a business.

Generics and keywords sell. Companies want catchy easy to remember brands for a business.

I still think it's good to look at a couple of profitable industries that you know andunderstand. Then you can keep an eye open for names that pop up in that industry. Keep the list updated either on it's own domain, or a sub-domain on your sales site.

Imo that's a lot of names. You should be making $10k + a year to cover renewals and your time managing the portfolio at least.

I'm a pretty small operator with only around 500 names. Do you think specialisation is the best way forward?

A game of educated guessing and luck. :)

Advantage of specializing is you know your area really well

Disadvantage is domaining tends to be like that game wack the mole. You got to try to hit (buy) that domain no matter what area hole it pops out of.

 
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