discuss Which domains should you drop?

[Arpit131]

This is one of the most important questions in our line of business. Which domains should you keep and what all should you drop?

Here are some inputs from Andrei Polgar of DomainPros:

"Which domains should you drop? Well, there are basically two things which make a domain desirable: revenue on the one hand and its sales potential on the other. If your domain doesn’t generate enough revenue to earn its keep (or cover its renewal fee, in other words), you’ve owned it for a decent amount of time and are scratching your head when trying to assess its sales potential, I’d recommend letting go.

Should you simply drop it when renewal time comes along? Well no, not quite. Before dropping domains, I’d recommend trying to sell the domains to another domainer on a “best effort” basis. You know, one man’s trash can be another man’s treasure and all that. List them on the forums at low prices and see what happens. However, don’t spend too much time on this. Again, try to sell them on a “best effort” basis."


What's your take on this??
How do you trim your portfolio every time the renewal approaches to keep the weed off the chaff??
Any particular strategy that you use?

 

[garptrader]

A business where revenue is booming perhaps does not scrutinize costs as closely. However, a business which is struggling financially should be scrutinizing costs very closely. In a domain business, renewals are your primary costs. Ideas...

-consider dropping three word or longer .COMs
-consider dropping two-word or longer domains in other TLDs
-if renewals for a TLD are more than $12/domain, be picky about renewals
-limit monthly renewals to cash generated from sales
-if you are not selling many domains in a particular TLD or when you do sell, for little money, perhaps you should reduce your exposure to that TLD
-consider adjusting your pricing to pricepoints more apt to attract a buyer
-stop buying domains in a TLD if you are not generating cash flow from that TLD