Domain industry has gained immense popularity in the recent time. Why? Majorly because people hit a 6-digit jackpot merely by selling a single domain name. This caught the attention of discerning eyes and the domain industry was instantly tagged as a lucrative business.
But what may look like a path to earning some quick bucks, is not accurately so. It takes a sagacious and alert mind to pick the right opportunities and invest in the right domain and at the right time!
So, what are the thumb rules for a wise domain name investment? Honestly, there are no definite rules to ascertain the staggering profits. Consider this example – iReport.com, currently used by CNN, was purchased for $750K and not report.com, being a premium and brandable domain. This draws the clear sketch of the luck that plays an equally important role in domain trading.
However, below are some of the golden rules that will prevent you from making the wrong decision and help you to invest in the right domain name.
- Quality over Quantity:
Domain name investors who have just started trying their fate in the domain industry are usually tempted to buy as many domains as they can when they are available at a low price, which are usually the standard domains.
Does buying them in bulk and owning 1000 such domains make you feel like a domain king? Wake up! What if they don’t sell? You will have to pay the yearly renewal charges to keep them all which, you never know might be a lot higher the next year.
Quality is the most important when you buy and sell domain names for profit.
- Build Something on it:
Many sellers who buy domain names for profit keep them idle or parked until they find the right buyer. Avoid doing this. Instead, construct a website or start blogging and make it brandable. This not only increases the value but also helps you gain good returns on selling the domain name.
Remember ‘Nothing comes easy’. If you intend to earn, you have to work for it.
- Invest in right Domain Extension:
If you are dealing in a Canadian marketplace, then selecting a domain name of .uk extension becomes useless, even if it comprises a short and catchy name.
Best way to sell domain names is to know your niche and invest in the right domain extension. Apart from choosing the top level domain like .com, .org, and .net, also invest in the extensions like .ca, .us. Since all the premium .com domains are taken, you might be able to register the premium ones in other extensions.
- Choose Reputable Registrar:
You need to make sure your domain names are in good hands. Choose the registrar that has a venerable reputation and won’t disappear overnight with all your domain names. Some registrars are a little pricey but it always pays to choose the best so you can be sure your investment and returns are in good hands.
- Build a Solid Position for Negotiation:
Buying domain names for resale? Well, it will be disappointing initially to only rely on the domain sales for the daily bread. Sometimes, you might not find the buyer by-and-by and might even be forced to sell domain for way lesser price than you thought.
If you are doing a job, continue with it and simultaneously deal in the domain names. This will empower you to take the dominating position in negotiation and seal a profitable deal.
- Buy Domains from Auction:
Your first preference to buy the domains should be from auction. It allows you to buy a lot of brandable domain names at a cheaper price, empowering you to earn at least 5-10 times profit by selling it to the end user. This strategy is followed by plenty of people dealing in domain industry.
Above 6 golden rules are your ladder to the successful domain selling business. Take the first step by checking the availability of the domain names and registering them in bulk with us. Make your move, before your competitor!