I am currently writing a book, tentatively titled:
The Doh!main Game. I'm holding off the release as it will have a much different look if/when WLS rears its head.
Anyway here's some tips that I wish someone would have shared with me a few years ago:
There are three types of domainers.
1. Straight resellers/speculators:
They buy names with the sole purpose of selling them at a later time at a profit. They also may buy names with no intention of selling, but to make money on natural or previously developed traffic. But one thing is for sure. They will not develop a website to go with the names they acquire. The only site their names will ever see is a PPC or auction board. Similar to stock market investors, the hope is that their investment will rise in value with little involvement in the mechanics of their possessions.
2. Website developers:
These individuals can spin straw into gold. The names they acquire, are certainly an investment, but tremendous effort and skill is required to realize profit. This is not to say that they do not try to purchase names that meet all of the criteria of the speculator, but they can afford to buy names with little to no immediate resale value and build something profitable. That profit can be realized by traffic revenue or selling the name/site after it has been developed.
3. Speculator/developers.
These domainers do a mix of both 1 & 2. The advantage they have is to be able to develop a name if the speculation value never, or takes longer to appreciate than expected.
In my opinion there are two types of domain names. Ones with inherent value developed or not, and ones with $0 to little value undeveloped.
So where do you fit? If you have money, a great understanding of how domain name system works, good web development skills and search engine optimization knowledge, you can be any or all of the above.
Conversely, if you have little money, and are limited in the other skills, you really should look at another hobby/career. Or, stop buying names until you develop those skills or acquire lots of money from other sources.
A few tips.
1. Creative, made-up names will net you $0 for resale undeveloped. Don't register if you can't develop.
2. If a name is unregistered, it has $0 value resale undeveloped. Don't register if you can't develop.
3. If you do not have development/promotional skills never get involved with 1 or 2.
4. Don't register a dictionary word just because it's a dictionary word. Especially if it has nothing to do with the extension you are registering it with. Understand what the intention of the extension was when it was first conceived.
There certainly exceptions to the above but I think if you use them as a guide you'll spend wiser and loose less.
Cheers,
Sharpy
