Why do junk domains suddenly become 'premium'?

[domainhacks-931385]

Many dropping domains that people here would say are no more than reg-fee, are scooped up for nothing and posted as a premium domain $1500+. Why the sudden value change?

 

[alien51]

It's just advertising. People do it all the time, anywhere. Not just in domaining.

For example, you call your mother the greatest mother in the planet. Everyone else does.

 

[Dave_Z]

One man's junk may be another man's treasure.

 

[alunk]

One man's junk may be another man's treasure.

I agree, lot of treasure in dropped domain.

 

[alien51]

The usual problem is: That "other man" may not exist (or just a product of your own speculative imagination). The only time you can confirm that it is really a treasure, is when someone else tries to buy it from you. If that happens everyday, then there will be few domains dropping.

But why is it, that thousands of domains drop every single day ??

 

[Name Trader]

Because 99.9% of them are crap? The premium prices being asked for some of these domains are crap also. Most of them will never sell (at all) and will be dropped later.

 

[alien51]

Because 99.9% of them are crap?

But it was said earlier that what is crap to others, may be a treasure to someone else.

So based on this statistics, when you say this crap domain could be a treasure to someone else, there's a 99.9% chance you are wrong. It really is crap. LOL

 

[gpmgroup]

Just a reflection of the way people view the world, they often believe if they picked it then others should see the value too. It's what makes the froth in a buoyant market and causes serious problems if their over confidence is leveraged with debt.

 

[Trader]

This is Marketing..If you have big diamond, and if you say crystallized silicon for it , you are dead..

---------- Post added at 05:02 AM ---------- Previous post was at 04:11 AM ----------

Then i learned coding, reverse engineering , I am old body builder...

 

[Name Trader]

But it was said earlier that what is crap to others, may be a treasure to someone else.

So based on this statistics, when you say this crap domain could be a treasure to someone else, there's a 99.9% chance you are wrong. It really is crap. LOL

It wasn't me saying they were treasures to somebody. I think they really are crap

 

[Kate]

a. Many, if not most domainers or wannabe domainers have no clue
b. Domaining often goes by the greater fool theory
c. Because the domains have been previously registered, it is assumed that they are better than never-before registered domains - there used to be at least one person who thought the name was okay. The reasoning is not completely flawed. But that still doesn't mean the names are great
d. Later on the names will be dropped again because nobody would want them, and somebody else will snag the domain and pick up where the previous registrant left and so on... and the beat goes on :cy:

 

[Trader]

WE WİLL NEWER FORGET YOU (No ads there dudes not ban to me ha?)
[ame="http://www.youtube.com/watch?v=Fm7g571UIZM"]best of john pall - YouTube[/ame]

 

[Name Trader]

@ Trader - I think you are now spamming our forums with your rubbish.

 

[biggie]

But why is it, that thousands of domains drop every single day ??

:talk:

one reason is because most registrants only keep the name a year or two, especially the newbs.

if no sale or earnings in that period, they drop


someone with more patience and doh-ski, may pick it and bank it.

 

[hawkeye]

a. Many, if not most domainers or wannabe domainers have no clue ...

By far the 'real' reason!!

Second 'real' reason: Hoping to suck someone (another newbie) in to actually 'think' it may be, and hopefully waste their money on it too!

Basically, if one has to note that their domain is a 'premium' domain ... it isn't!

 

[alien51]

Even if it's not a premium domain by domainer standards, if it's an End-User who wants the brand name pretty bad, he might be forced to pay premium price.

A lot of "brandables" don't mean anything, and will certainly look garbage in a domainer's point of view. But then again, if your strategy is to "wait out" for that End-User you are waiting for, you probably would want to stick with your "premium" tag price.

Remember: There's a difference between Premium Price, versus Astronomical Price.

 

[biggie]

Even if it's not a premium domain by domainer standards, if it's an End-User who wants the brand name pretty bad, he might be forced to pay premium price.

A lot of "brandables" don't mean anything, and will certainly look garbage in a domainer's point of view. But then again, if your strategy is to "wait out" for that End-User you are waiting for, you probably would want to stick with your "premium" tag price.

Remember: There's a difference between Premium Price, versus Astronomical Price.

:talk:


Hi "alien51'" you touched on a BIG difference of usage for the term Premium.


as one can have a "Premium Domain" and one can offer a domain for sale at a Premium Price.
where by category, the name may or may not be, "Premium".... in comparison to other domans within in that group.


however, as we know most domains shouldn't be using either definition.

imo...

 

[alien51]

In the end, the Buyer determines whether your stuff is premium or not. As they say, your domain is just worth what anyone is willing to pay for it. And besides, no buyer (unless he is drunk), will pay you premium price, when your tag price is chump change bargain.

He "might" probably offer you premium price, if he doesn't know what price you are asking for. That is why many domainers instead put a "Make Offer" tag on their domains, to prevent themselves shooting their own foot with a lowball asking price when the buyer is prepared to pay premium.

 

[GiftedDomains]

I think its interesting to acknowledge a natural development:

As time goes by, more and more dropped domains become more and more crappy, since there are a limited number of valuable domain names in the hands of unaware owners (i am talking about specific categories of domains which have at least some value in reseller market like LLL, good LLLL, good keyword .coms, etc. and which can be sold more or less anytime in the reseller market) and once a valuable domain name drops and gets snatched (typically by a domainer), this domainer usually won't drop it again.
There will be a time when only very few valuable domains will drop because of this understandable development.
We already witness this fact. How many LLL.coms/nets/orgs, pronounceable nice LLLL.coms, etc. drop these days and how many did in the past? Same with very good keyword domains? So there will be a time when dropcatching services will have a hard time and probably become more or less useless.

Then again, dropped domains are not necessarily worse than most domains that are not dropped, but registered and kept by people.
Just look at the millions of domains in Sedo's database. Most are "crap" (again, we are talking about domains which have value in reseller market and not about those "One man's junk may be another man's treasure" Lottery type of domains). Only few are sold at sedo.

Now, people in domain forums shouldn't care whether domains are labled as "premium" or not.
Most buyers who are domainers just look at the domain anyway and are savvy enough.
If the name is good, they will see it. If its crap, not even 100 different paid appraisals and fancy labels will help, not to mention the word "premium".
But in some other cases its not that bad to use some fancy description to draw attention, instead of just saying "domain for sale".
It depends.

By the way, just received one of those "Namematch" emails from Godaddy, offering me the "Premium" Version of my domain with Two Hyphens in a Row :D
The Word "Premium" is mentioned 7 times in the email from Godaddy :D
Now what do we expect from newbies when even Godaddy offers crap domains with the "Premium" Label daily?

 

[biggie]

In the end, the Buyer determines whether your stuff is premium or not. As they say, your domain is just worth what anyone is willing to pay for it. .

:talk:

why do you guys keep repeating the same lines over and over again. it simply does not makes sense, unless you let buyers determine price too.



buyers do not determine whether your name is premium

nor is your domain worth what anyone is willing to pay for it.
( well maybe your domains are, but not mine)


cuz if they are willing to pay $10 and you are asking $1500, are you gonna sell it?

most buyers don't know how to value a domain name and you're gonna let them determine how much it's worth?

imo...