damitssam said:
I have a gut feeling around 80% of all TM names are never sent a letter to demand return of ownership.
TM names = OVERHYPED by haters who claim any TM name is not worth risk
Domain name industry is all about risk.
I would not say the domain name industry is all about risk. It does however, involve
Calculated Risk, as in any business.
Let's say the name goes for close to $1,000, which is probably a good estimate. What is the value of the name without any TM problems? Of course it depends upon if just the right buyer steps up, but let's say if one held for 2-3 years he might be able to get $2-3 thousand for it.
BUT, the problem is most people who are willing to pay that much for a name will look at the trademark database first, and when they see there is a mark, they will likely lower their bid. In essense, there is a cap on the value.
Now, if the mark owner comes along and tries to take it, he might be willing to pay a few hundred for it just to avoid the hassle. Maybe more. Maybe.
So, one might spend up to a $1000 for a name with perhaps only a double or triple (that's a slim maybe), and a possibility of perhaps giving it to the mark owner for less than the $1,000.
My average gain is 1700 percent on my names I've sold. I would not risk $500 - $1,000 on only a possible double or triple.
I was going to bid on the name and was willing to go up to a couple hundred for it. but, I'd rather spend $2,000 on a similar name with no trademark attached to it. The risk-reward is much better.
And this name is a phonetic name, whose uniqueness is a big factor in it's value. If a trademark exists for it, it is no longer unique.