What's the latest trend???

[Badger]

Been thinking about changing my tact with regard selling domains recently, based upon the fact that a friend of mine views the whole business different to me and seems to clear more profit.. So the question is??

1. Do you buy your domains and then hold them, hanging on for greater value?? (my current approach).

Advantages - greater value, more chance of a 'big sale' and one good one can make a serious impact on the numbers.
disadvantages - renewals can be expensive (especially when you have 3000+ domains)

2. Do you buy and sell quickly, with the view that 'a profit is a profit'? (my friends approach)

Advantages - liquid market, less capital outlay, less risk, no renewal fees.
disadvantages - by selling to cheaply no chance of a 'big sale'.

Or, i guess 3. A mixture of the two? (the way i think my future lies)

Be interested to hear what my peers are doing nowadays.

 

[deu12000]

I use technique one, but I think three might be the best way to go about it and might have to switch my tactics also.

 

[Tippy]

#3 a Mixture of the two

Sometimes I will reg a name simply for a quick sale, this $ is then re-invested to buy more/other names, so I pay $9 for a name, then sell it quick for $18 and then I buy 2 more, and so on...

 

[snareklutz]

I'd say #2, why? I only have about 2 domains. LOL.

 

[showcase]

Hi,

I believe that each domain name that you purchase could fall into a diffenent category.

If I purchase a lot on the water in Marco Island, Florida, I am not going to jump to sell it to the first bidder. If I buy a trailor park lot in Putnam County Florida, I will want to unload it more quickly.

The most important element in the Domain Game is to be patient.

Best of luck to you........................

Cheers,

Showcase

 

[nRnF]

Depending on the name, but in nearly all cases I use option 1.
I have several domains names, that I hold now for years, and from time to time I have a big sale.
Basically I do this cause I get mad manageing all the domains and sales every day

PS:
I think a domain sale under 100 USD isn't worth the time you spend in regging/buying - managing - promoting - selling.

 

[mole]

err...
3. Do you think of development potential first, then pursue the name?

Whenever I lock down onto a name, I try to imagine what a future entreprenuer i..e. me :D, can do with the name, what new needs it can serve that the current market already hasn't, what revolutionary new business model does it support? Most importantly, why the web can do it better than any other current processes'

If you are a reseller, you need to think about future paybacks that name can facilitate a business. Think 3 steps ahead of the game, because you will need that in order to get names at a "reasonable" cost. Think precisely today on what "seems to be working", and your cost of acquisition and valuation of any domain will often be way way beyond any possible returns. That, of course, is what other resellers want you to think.

The only constant is change. Change is good. Only if you have forced yourself to develop future vision. You are going to need it, imho. Good luck!

 

[Badger]

I think a domain sale under 100 USD isn't worth the time you spend in regging/buying - managing - promoting - selling

Absolutely agree..... In fact i believe it to be higher... But quite right, nonetheless

If you are a reseller, you need to think about future paybacks that name can facilitate a business. Think 3 steps ahead of the game, because you will need that in order to get names at a "reasonable" cost. Think precisely today on what "seems to be working", and your cost of acquisition and valuation of any domain will often be way way beyond any possible returns. That, of course, is what other resellers want you to think.

The only constant is change. Change is good. Only if you have forced yourself to develop future vision. You are going to need it, imho. Good luck

Great post Mole.... Nothing more you can add to that......

 

[VisualArtistFrankBonilla]

#2

I would say I am still a newbie, or slightly more advanced than a newbie. ( about 1 1/2 years, sold 5 domains. For me, and probably lots of others, it will most likely be sell it for whatever I can get, as long as it is a profit. I think this is good for these reasons:

1) When I first started, of course, like others, I regged any and everything, so lots of crappy domains, which I thought were great at the time. If I can make a $100 profit, I can buy 10-12? .coms. This time I can think more about it, not rush, and hopefully pick better names that will sell,and make more profit.

2) I currently have about 15 domains listed at www.GreatDomains.com. I have had a total of 28 names accepted, and listed at one time, or another, in 1 1/2 years. How many have these domains listed from $5,000- $25,000 have I sold? ZERO....... I could be waiting forever... plus having to re-register them (some are .tvs!!) I have never even been notified of an offer!!!

#2 is of course the preferred method to make money, but I have to be realistic. #1 is the method that has made me a little money so far. (actually none, just getting some of my money back!!) But, hopefully , will eventually make me more money this way, versus #2.

This is my advanced rookie newbie don't know crap way of thinking!!

 

[dgridley]

I was in the flea market business for over 30 years and rarely bought anything I couldn't envision at least a 500 - 1000% profit on and always figured a quick profit and liquid capital was the preferred way to go.. reinvest!

Additionally, I tried never to buy anything I wouldn't have minded being stuck with, in case it didn't sell..

Both those guidelines served me well and I use a similar approach to domains..

There are always exceptions of course, but there has to be a plan... if I ever buy a domain, then log on to post a "now what do I do with it?" message, I give you permission to shoot me...

 

[IdahoFarmer]

I buy to hold. I'm a big $ buyer - yes, one of the people you guys dream about - and I buy to develop or hold for appreciation. I buy because the domain either 1) fits my business plan or 2) I think will fit someone elses business plan today or in the future.

I also buy so that I can build my own reciprocal link network for SEO... targeted keyword domains mostly.

 

[1rrr1]

i used #2 when i had practically nothing, now around a mix of both. #2 works, but needs time and patience

 

[equity78]

I think first part of the plan is to assess your domians how good are they cull the bad ones and then maybe pay up for domians you believe in. Meaning better to get rid of a 100 namesthat sounded good at the time and have got no offers, no ppc and buy a good one for like $500 that has future resale or development value.

 

[ftech]

Maybe there is a #4?? Parking!

I make most out of parking/ppc/rpm revenue. I sell domains with low traffic quickly, but I also have a 'stash' of domains that I hold on to. Those are mostly names I personally like or would like to develop. Also, as I am relatively new to this business, I try out different approches, but carefully..

 

[snoop]

I think first part of the plan is to assess your domians how good are they cull the bad ones and then maybe pay up for domians you believe in. Meaning better to get rid of a 100 namesthat sounded good at the time and have got no offers, no ppc and buy a good one for like $500 that has future resale or development value.

Very good advice. Alot of new domainer seem to register hundreds of domains then about a year later it finally sinks in the the whole lot is worthless or at best only a couple sell for low amounts. Would say spending that money on one domain that definately has value is a much better way to go.

 

[Badger]

great thread guys...... not so much my original post but more the replies.....

this is what np's is all about not the bulls*t dreamp up by all the spammers, scammers and chancers in some of the other threads ive read recently.....

Reputations enhanced accordingly

 

[AdoptableDomains]

I think the best approach is both. I have a lot of domains that are long term investments with minimums that I would take to sell. I have another chunk of domains that I'm happy to make 3-5 times acquisition cost or reg fee. By having the quick sellers, one domain sale can pay the renewal fee of 3-5 long term investments plus buy another short term one or two to keep going.

My pricing acceptance also varies with what renewals I have coming in the next several months. If I can accept a little less on a guaranteed sale and not have to dump cash into renewals, it makes cash flow better.

Greed, wishful thinking, and the lottery mentality is what puts most people out of the domain business, and provides the drops for the long timers to pick up and sell more reasonably.

 

[FedPrimeRate.com]

#3; a mixture for me. For example, I let USALaunch_dot_com go for $500 a couple of months ago; same guy wanted my USLaunch_dot_com for the same price but to me that domain is worth much more. We tried to reach a deal on the latter but eventually we were not able to agree on a figure. I think he'll be back with a better offer soon

I think a domain sale under 100 USD isn't worth the time you spend in regging/buying - managing - promoting - selling.

Yup. The minimum for all my domains is set @ $350. I have a few stinkers that I'd let go for less, but not much less.

AmCy

 

[jeter4982]

I think I am mostly #3, a mixture of 1 and 2, but more of 2, the quick sale kind of person. I dont go for the huge sale, but I will hold on a domain for a little while, before I sell it. Normally, I try to sell it, before I have to renew it, to maximize my profits.

 

[Grrilla]

interesting topic.
My approach is also a hybrid of the two. Four recent offers/negotiations required different approaches based upon the amount of the initial offer and what I had bracketed the target price at. One was an offer for 100EU for a mixed 3char .US, which I accepted immediately, because it hit $100 which is my target price for that name category, (and also my bottom end). Another offer was $100 for a .com w/ strong branding potential that has a familiar and popular synonym. My $1,200 counter offer caused the bidder to cancel negotiations, which doesn't bother me, because somewhere down the line I will get what I want for it, and every year I hold it, the value will appreciate. Another offer was for $250 for a .net w/ two good keywords. I countered w/ $500, but the buyer held firm at $250. This was one of those "in between" situations where I could have gone either way. Because I have several other names in this category that are .com and w/ better keywords, I sold. A fourth name, which is another w/ a good keyword and strong branding potential is currently going into round three of negotiations. The buyer has made two offers, I have cut $450 off my original counter, and am holding at that price. Am awaiting a response, but am willing to wait it out for a few years, if necessary, because the name is in an emerging technology, and will only appreciate w/ time.
In the past I have sold names that i considered to have low potential @ reg fee - 2X or 3X reg fee, but most of these have cycled out of my portfolio and those that haven't, I just let drop, because the time involved in posting the sale, communicating, acquiring payment, and transferring the name simply isn't cost effective relative to the way I am setup. IMO, that time can be better spent researching new technology, following drops, or optimizing an existing winner or two.

I'm a big $ buyer - yes, one of the people you guys dream about

Ha Ha. I don't think I've ever had a dream about the people you are describing, unless you are talking about someone like Buddha, Aristotle, Ashley Judd, Jim Brown, Angelina Jolie, Jack Nicholson, Superman, Albert Einstein or me. I have yet to have a dream about people who have big $ names like Sex.com, CreditCard.com, Men.com and the other heavy hitters in their portfolios. In one respect or another, there is always someone who is bigger, badder, faster, and/or richer than the next guy.