NameLot

So I asked my wife..

Labeled as discuss in General Domain Discussion, started by HotKey, Aug 23, 2020

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  1. HotKey

    HotKey Made in Canada VIP

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    Should I buy the domain..
    and before I could even get to the name, she responded with a big "NO!"
    I paused for a minute or so, then continued with the name "blahblah.extension"

    She paused for a few seconds.. then said "Well why don't you sell what you already have?"

    I said "It's good to keep fresh inventory." To which she responded "I think you should sell, before you buy."

    She raised a good point. I mean, we can keep on adding names to our inventory, but no matter the excuse, at some point its poignant to take a step back and focus on existing carrying costs and what we already have. It's easy to get excited about a new name, because we don't it yet. But this is the same feeling that we had about just about every domain we pick up, isn't it? And if it doesn't sell, there it sits.

    Point is, some domains take longer than others to sell but in the meantime year over year we have to pay the price to hold them, and there will always be "fresh" names to add- it's basically never-ending. So unless you're selling regularly or have a steady stream of capital to keep renewing, don't let a quick fancy make a dent in your wallet.

    I think, this was her wisdom. Or common sense. My wife at times is my sounding board, to which I am extremely grateful for. Other times, I wonder what the heck I am missing out on, but such is life. You'll never miss what you never had.

    Do you have a sounding board that you filter your domaining through, or do you fall for impulse buying more often than not?

    Hope you all have enjoyed your summer thus far, and enjoyed your domaining even more. Let's sell, before we buy. :)
     
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  2. Samer

    Samer Top Contributor VIP

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    Amazing.

    There's a ".extension"

    Listen to your wife;
    "A happy wife, is a happy life." P :)

    Samer
     
    Last edited: Aug 23, 2020
  3. NickB

    NickB Wales.org VIP

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    I have a very impulsive streak and if it was not for my other half dread to think were I would be......probably on a beach in Mexico running a little bar with 5000 useless domains draining my resources. Instead I have 3 children, a dog, 270 odd domains and a website soon to be launched

    Funny what a sounding board does to a person....
     
  4. AK85

    AK85 covd.com Gold Account

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    Theoretically, we should sell before we buy, i agree, but everytime I see a 'good' name i feel like this is the one that can make the change. Slowly it will sit there with many of its friends in my plrtfolio.

    The thing is, I do like the feeling before buying a name, the excitement just before winning an auction! The minute you buy it, you start feeling guilty, at least that's me. But it's been among the very few things that still excites me, so I still do it for the adventure and the adrenaline. I hope I don't sound crazy here.

    Amr
     
  5. garptrader

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

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    Domain names as investments are very illiquid - on occasion can be sold for many times one's investment cost on that one domain but at a portfolio level will often result in periods of negative cash flow to support maintaining inventory. With the exception of those who have been in this space for close to 20 years, offers are not a regular event. If a portfolio is generating positive cash flow monthly, it is easier to acquire new inventory. Unfortunately even after many years in this space I still see little evidence of end user appreciation of domain names as worthwhile investments in their business' success. They will resort to hyphens, word abbreviations, numbers, extra words and weird extensions to avoid the aftermarket. If the domain owner has something truly unique they may approach them but will often insult domain investors as though they were drug traffickers or mafiosos There are other investment fields - real estate, stocks, bonds, commodities and Crypto currencies which perhaps should be considered. In the end our significant others cannot evaluate a potential domain investment as their experience cannot compare to ours. But we have to make that decision. Of course we can look back at our success ratio with domains of different types - one-word, two-word, .COM, cctld, alt TLD, LLLL, keyword X, etc. Where does this domain fall and what has been our sales ratio with that type of domain?
     
  6. bmugford

    bmugford www.DataCube.com PRO VIP ICA Member ★★★★★★★★★★

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    It is always good to focus on carrying costs.

    With that said, domain investing is an extremely complex field involving subjective values. Many people in the field don't grasp it, never mind outside the field.

    There is a major lack of liquidity and only time brings max value to quality domains.

    Selling a domain before you buy another is not possible with average sell through rates.
    I mean you can register 100 domains, sell (1) for $3K and more than triple your money.

    You don't need to sell every domain you own. It is very possible to make a massive profit with only a handful of winners.

    Brad
     
    Last edited: Aug 23, 2020
  7. HotKey

    HotKey Made in Canada VIP

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    great post @garptrader , thanks!

    That's what it's all about- and if the site is any of our business, plz share when ready!
    I use my kids too as sounding boards, btw.. it's like a glimpse into the future.

    @AK85 if you're crazy, than so are we and that's makes it all normal. :)

    I agree, and as always bang on Mugford. Thanks. It can be a conundrum when it comes to buying decisions, particularly if sales are lagging, and that one investment with a quicker turnaround plus a decent roi makes all the difference in keeping some of those carrying costs. I think the key is recognizing which names are DOA vs flowering time, while recognizing each name carries its own and not necessarily reflective of your current sell-through results.
     
  8. RogueWriter

    RogueWriter Top Contributor VIP ★★★★★★★★★★

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    If your wife says no before she hears your idea, she is not vested in your dream. You need to either proceed without her, or give up on your dream.

    if she listens to the domain, and discusses it with you and has concerns, that is legitimate. But, you are going to have to educate her on your business plan, and how domaining works. My wife was not at all interested in Affiliate Marketing, back in the day when I was active. She complained about all the web sites I was building, but I did not stop, I had a vision of what I wanted and it was working, I was making money. I think I told her to just think of it as my vice, my entertainment, that at least I was not doing drugs, drinking or cheating on her. One day she went to the mail and wanted to know what the $1,500 check to me was for. When I said, "Affiliate Marketing," her whole persona changed, all of a sudden she was on board. That might have to happen to you. Make a sale, mention it, but don't stuff it in her face, she will come around.
     
  9. Brands.International

    Brands.International Marek VIP

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    @HotKey thanks for an interesting thread. I just went over your portfolio with great interest and checked all your domain names.

    If you have problems with renewal fees, the best way is to trim your portfolio. Get rid of some names.

    You have some good names, but there are many names which will just eat your money, and they have not many chances to sell. I hope you understand I say it in order to help, not to personally criticize you or your domain names. I have some bad names in my portfolio as well, and I am not going to renew them.

    Maybe you can do as I did earlier this year, here - it is not a shame to ask other people what they think is bad, no matter how big "PRO" you are. Some people here will ridicule you for that but ignore the house trolls. So after you will say goodbye to most of your bad names, you can buy again some new good names (but with caution). Basically you should get few VERY GOOD NAMES with low renewal fees, and sit on them, treat them as long term investment (your pension investment), do not rush to sell cheaply - the value will grow in time.

    Particularly new gTLDs are very difficult to get correctly because there is so much complexity. But it definitely can be done :)
     
  10. tonyk2000

    tonyk2000 Top Contributor VIP ★★★★★★★★★★

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    @HotKey you are lucky... your wife is so wise :) I guess that some participants of expired auctions, where the handles are shown, are likely not married... won't be pointing the finger though.

    A very good advice. I started to drop more names in 2020 trying to increase portfolio quality.... Expected only hugedomains to grab these, as usual. They like low quality stuff. But, I was surprised to see how they are almost all grabbed by !very different! domainers.
     
  11. Recons.Com

    Recons.Com Top Contributor VIP

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    I am adding 300-500 names a month. So, not waiting to sell the ones I already have.

    But...

    There is a wisdom to her words. I'd just rephrase from "sell the ones you have" to "make sure everything you have a properly set for maximum possible success".

    In my case, I really need to take 2-3 months break from buying to focus on properly listing the names on my site and improving its conversion.

    The dilemma though is that buying good names is a gradual process. I can't buy 500 names on a day like some other classes of inventory. They have to be grabbed as they come, drop, are offered etc. for the better quality.

    There are good gems regularly out there, but just a few a day I can find. Like, bought Glassmanor.com in closeouts. It is a town of 18000 people in Maryland, US. Some others, I grabbed in last few days are InitialPublic.com (for IPO), TheAreas.com, ProtectorHub.com, QualityOnes.com, DomainsTechnology.com, Depositovo.com, BizCab.com, Fontize.com, Loveter.com, Baikers.com, FameAdvisors.com, Tobakko.com, BraveBunch.com, NationalDemocrat.com, BodSol.com, Cohosters.com, Printity.com, JoinChampions.com, Tokenns.com, Topmost.org, BestRenewable.com, WorldsVisa.com, FresnoMetro.com etc.

    It is a true dilemma, until I could write a program that I could teach to choose those kind of names for me and just focus on the sales aspect. But until then outsourcing listing, logos, development etc. is more straightforward and easier to outsource.
     
  12. james2002

    james2002 Upgraded Member Blue Account ★★★★★★★★★★

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    My wife says the same thing. I have about 600 domains and it is about $6000-7000 per year for renewal. I may drop a few of them or liquidate them.

    Domains are not the same as real estate, I have bought 7-9 properties over past few years and they are better in investment but domains got higher ROI.

    The land I bought for $1000 is now worth over $20,000 or so. The land I bought for $50,000 is now worth $120,000 to $200, 000. I expect it to go towards half a million mark or more due to new regeneration of the area.
     
    Last edited: Aug 24, 2020
  13. Domains Ted

    Domains Ted Established Member

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    Suppose a company has four divisions. 01. Tender Department 02. Design Department 03. Finance Department 04. Projects Department.

    If one division does not function well the company will fall.
    In the same way that your purchasing department and your selling division differ, you have to focus more on the selling department ...
     
  14. Bob Hawkes

    Bob Hawkes Top Member NameTalent VIP Gold Account Trusted Blogger

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    It is an interesting topic for a thread, @HotKey.

    I see some sense in both sides of argument. I like to be frugal and cautious and see validity to an approach that one invests from sales already made, gradually growing worth, not necessarily numbers, in a portfolio.

    That said, if one wants to have any sort of regular sales, or establish an authoritative presence as having significant holdings in an area, then one needs to have an inventory.

    I think partly also it comes down to whether there is a strong motivation for a particular acquisition, such as an opportunity to purchase well below worth or a niche that seems destined to take off and delay will mean no opportunities left.

    Having someone to bounce ideas off, even if they don't agree, is a plus I would argue. Second set of eyes, even if totally outside domaining, helpful.

    Best wishes for success, everyone.

    Bob
     
  15. AEProgram

    AEProgram Top Contributor VIP Blue Account

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    Next time she discusses buying more clothing ask her to sell the stuff she will never wear but holds onto just in case... See how that goes. Good luck.
     
  16. HotKey

    HotKey Made in Canada VIP

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    Thanks for that insight, and absolutely, it is a gradual process. Just as it can take years to sell a good name, same goes to building a quality portfolio.
    Isn't that the truth- great addage.
    It's like flying a kite, completely useless without the tail to give it direction. If I am the kite, she is my tail.
     
  17. HotKey

    HotKey Made in Canada VIP

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    Well you're preaching to the choir on that one Warrior; trimming. And that is my trimmed-down collection! maybe I took off the fat from the wrong end? :) Will revisit.

    I do appreciate you taking a stroll through my names, a pleasant surprise, and thank you for the feedback. I admit there are some domains I still have that are merely "fanciful" without huge expectations, but renewals on them are practically negligible.

    But for those that don't already, take note: culling domains is a constant practice, not just one and done. Perceptions on a domain name can change a year or two later, and they may lose their initial luster. There is nothing that binds us to renewals other than our own will.

    Adding new names is also a constant practice, as Recons mentioned. I do enjoy having a sounding board outside my realm of domaining, as @Bob Hawkes aptly pointed out
    because these kinds of perspectives can be a sobering lens. I quite enjoy it actually, even more satisfying when there's no denying a great domain name and my wife has no choice but to give an acquiescent "hmph!" :)

    And of course as @RogueWriter pointed out, the best justification to a dn investment and a lift to a better-half's demeanor; a change in the colour of your bank account; from red to black. I don;t think you should ever give up on your dream though, just because it isn't shared by someone we love. It's probably quite common for most domainers to be the only in their family to "get it". The important thing is that they trust you enough to carry on.

    **

    Have really enjoyed all the contributions thus far- thank you guys and gals.
     
  18. Domain Monk

    Domain Monk Mindful Domaining VIP

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    So true
     
  19. maksimfa

    maksimfa Top Contributor VIP Trusted Contest Holder

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    She is right... and this is why the vast majority of "domainers" and "domain investors" fail miserably and lose money.

    Domains are very easy to acquire, but significantly more difficult to sell/monetize.

    Are people successful? Yes... but those are the people who spend A LOT of time and energy to focus on this.

    This is why, despite loving the space, I only pick up domains that I have an exit strategy for before buying, either developing, or already having a customer in mind.

    This is why I think being a domain broker would be far more successful an approach.
     
  20. JB Lions

    JB Lions Top Contributor VIP ★★★★★★★★★★

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    I think your wife wants you start buying .com

    You won't get ridiculed asking for help, unless you have a side business charging people money for appraisals, when not being able to appraise your own names.

    You could try this option. Stop buying until you get a sale. When you get a sale, only spend half on new domains. A way to keep yourself in check. If you can't buy again until you get a sale, it might encourage you to find new ways to sell.
     
    Last edited: Aug 25, 2020
  21. maksimfa

    maksimfa Top Contributor VIP Trusted Contest Holder

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    and THIS... stop wasting money on non .com domains. =) I think the wife would understand that more.
     
  22. TauseefKhan

    TauseefKhan Established Member

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    @HotKey Thanks for sharing! and I receive similar advice too.

    Well, when you said "It's easy to get excited about a new name" is so true.

    At the same time, I would like to add here that we're getting excited with a new extension also.

    From the past couple of days dot, VC is doing rounds on twitter and blogs. I got excited about it and researched a few names but then chose not to invest. We need cash flow for the existing inventory.

    If at all new names in any extension are required and we don't want to miss the train as @Bob Hawkes says then we should sacrifice existing inventory by selling it low or letting it expire and then adding fresh inventory. Being cost-conscious is also important!

    But, those who want to catch new trains they can do so... everyone views and calculate risk differently.
     
  23. dombastic

    dombastic Established Member ★★★★★★★★★★

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    She is not emotionally attached to your domains. So her view could be more rational...

    Also, forget the extensions. It is either .com or your country.
     
  24. johnn

    johnn WeSellName.com VIP ★★★★★★★★★★

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    The problem I see here is "asking your wife"
    NO NO NO
    There is a good reason the brain of male and female is ALWAYS different.
     
  25. dombastic

    dombastic Established Member ★★★★★★★★★★

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    Sure. But she still can distinguish between an expensive hobby and profitable business.
     
    Last edited: Aug 25, 2020

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