The Art of Domaining - The Definitive Success Guide

Lord B

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The Art of Domaining

Sponsored By : Coming Soon

You've heard about those million dollar domain sales and people making buttloads of money from just parking domains. So, how do you get a share of this pie? In this guide I am going to give you an idea of how successful people make solid money with Domain Names and how you can too.
Part 1 - Buying Domain Names

When you are into domaining, the first thing that you need is, well, domain names. In this part let's talk about buying the domain names that sell / earn you profit.

The easiest way to think about domaining is to think of real estate investment -- except this is virtual real estate.

a. Different Types of Domains. Essentially all the domains can be categorized into four basic categories -- Generic, Brandable, Typos and Trademark. Knowing about them will help you determine which domaining strategy would be best for you.
Generic Domains -- These are the names like hotels.com, business.com or marketing.com. These types of names are the ones in the highest demand because they attract highly qualified type-in traffic.

Now -- No one is going to type in sex.com to see if they are giving away free copies of bible on the site. Right?

As much as the seo types hate to think, not all people are tech savvy to use a search engine every time they want to find something. They rather just type in the generic .com or their ccTLD name to see if anything comes up.

And even if there isn't buttload of traffic, whatever traffic it gets is HIGHLY QUALIFIED traffic. That is why such domains make a killing when parked or developed. And that is exactly why they are in such high demand.

To find these kind of names, you basically need to do keyword research. The higher the frequency of the search, the more the probability that people will type in those domains.

If you are at WF, I don't need to tell you how to do keyword research. =) Do that on your own and see if the exact match of the keywords is available as a .com domain. If yes, just fucking register it!

Brandable Domains
-- These are names like WickedFire.com, YouTube.com, Google.com or Digg.com. Brandable domains are the domains which are, well, brandable.

While they may not really get type-in traffic but, if developed and promoted, it will stick in the visitor's mind and they will visit it again.

Typos - The Mistaken Profits! -- So many people make mistakes when typing in the url that it is just shocking. It is SO lucrative that someone paid whole lotsa bribe to get rights to traffic from .cm domains. You know if someone types wickedfire.cm, they will not get a server not found error but rather a parking page. Go ahead, try it.

Heck, even Verisign tried to pull something like this.
I really don't want to give real examples that are working for me as I don't want every genius picking up the names I am collecting. But a generic example is skyp.com. =)

Well, you all do typo keywords on PPC. Now it's time you start thinking about domains too.

Trademark Domains -- Okay this is something best left untouched. These are the names based on the current trademarks that people recognize.

I Don't do them. Some people do that and make a LOT of money doing so. I know someone who made a LOT of moolah from G-Unit.com before shady records (?) WIPOed them and got it.

But you know the quote on the first page of The Godfather -- "Behind Ever Great Fortune, There is a Crime".

So if you are feeling adventurous, try them. You will be making your money from type-ins and parking. Sometimes it may be worth the risk.

What About ccTLDs?!?!
-- Okay this is one question which I get asked the most. What about other extensions like .co.uk or .in? Well, I guess it's 'nuff to say that I sold a .co.uk for $2.5k a few weeks ago and a friend got a $100k offer on a .in. So, think outside the box. =)
b. Where to Register Domains. I am a big fan of Moniker. They have the reputation of being the most secure domain registrar out there. If you get into bulk domaining, they will give you a price better than most registrars out there. PM me if you want help with the bulk pricing -- I can hook you up with my account rep and maybe see if she can help.

c. Drops! If someone doesn't renew a domain then it gets dropped. Now just imagine -- a domain which has been established, has back-links and, most importantly, has traffic!

The industry of drop catching is SO lucrative that there are companies which specialize in them. SnapNames.com and Enom's Club Drops are two big ones. Pool.com is another one but I've been hearing too many reports of mal-practices by them like fixing up with registrars and keeping names for themselves.

d. After-Market Domains. After-Market is the term used for directly buying a domain from the domainer / owner of the domain. This is the lowest hanging fruit but also the most expensive one. Sure -- if the person has put in the effort to find the gems, he will charge you for what they are worth. And this is the segment YOU will be making your money from.

Feel free to ask me questions about domaining -- that is how I earn whatever money I earn (still trying hard at PPC) and also am a mod at the largest domaining forum out there. I will complete this thread and create a FAQ about domaining in the thread.

So, shoot away your questions!

PS -- The thread is a work in progress. There is a LOT more to add. And, stay tuned for an exclusive domaining section -- whenever Jon creates that. :p
 
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Q. What are Reseller Markets and Retail Markets.
A. Reseller Market is where the professional domainers are who buy the names with the sole intent of selling it. Retail market is the companies / people who buy them for developing them without the intention of reselling it. Retail Market always pays higher than reseller market.

Q. How to Find Domains that Sell?
A. I hate to say it but the best way to know which domains sell is by experience. Over time you will develop a sense for sellable-names. But till then, keep a close watch on sites like SEDO and DNForum and see what's selling. Also keep an eye on DNJournal's Domain Sales.

If you are into traffic names, watch latest news, blogs and Yahoo! Buzz Watch. You can get some excellent ideas for names that will get you traffic.
 
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Great post!

Not sure about your categorisation mate, they aren't mutually exclusive. Surely a typo will be based on either a generic or trademarked term? (Or brandable - but for typos must likely a brand and therefore most likely trademarked.)

Under typos you refer to skyp.com as a generic name but wouldn't it be a trademarked one? (Or generally covered by trademark laws.. and - unless you were Mr Skyp or something - worth treating as trademarked! :D)

Nice guide man and makes sense, although maybe someone new to this might not be a bit confused by the categories if they think it's one OR another...

Love to hear what the .co.uk was! :D Seen the Sedo sales.. but that's nice man!
 
@Lazy Hippy -- Sure the categories aren't mutually exclusive but they help you visualize your strategy better. Also, you don't need to just stick the name to just one category -- the categories are just for yourself and the reseller market (will talk about reseller v/s retail market in this guide).

As for skyp.com -- WIPO allowed the owner to keep the name :Skype affiliate can keep Skyp.com, says WIPO | OUT-LAW.COM so I stick it in typo rather than trademark. Just like regular laws, domain laws are not so simple and it all depends on the INTENT.

@Iphone -- Yeah Coming Soon is an amazing company! They make the best lollypop out there. :p
 
Good start on a less-touched-upon topic. :thumbsup:

I'm actually curious about the buying/selling dos and don'ts of the nitty-gritty details, because this is a field that I'm new to rather than regular aff mktg.

For instance, domain transfers/ changing registrations over to the new owner, etc. What's a good starting plan when you want to get a few domains off your hands without being screwed over? :D What pay systems will handle virtual goods fairly (Paypal doesn't have a protection polic in place for virtual products, afaik).

I don't know if I want to get into domaining as a major source of income, but there are definitely times when I want to sell some acquisitions I've made.
 
@Lazy Hippy -- Sure the categories aren't mutually exclusive but they help you visualize your strategy better. Also, you don't need to just stick the name to just one category -- the categories are just for yourself and the reseller market (will talk about reseller v/s retail market in this guide).

As for skyp.com -- WIPO allowed the owner to keep the name :Skype affiliate can keep Skyp.com, says WIPO | OUT-LAW.COM so I stick it in typo rather than trademark. Just like regular laws, domain laws are not so simple and it all depends on the INTENT.

@Iphone -- Yeah Coming Soon is an amazing company! They make the best lollypop out there. :p


That's interesting, about Skype... wonder what happened since that article - it now redirects to myskyp (parked). Can't imagine Skype let him stay on their affiliate program.
 
By the way mate, I wasn't trying to have a go or pick holes - it's a great post and you know loads more than me about it. Just thought the categories might confuse some newcomers.

I've played with domaining for a few years, never put much time into it though - really should do. Hope to learn more from you man! Cheers.
 
Yeah I will add a LOT more to it -- it isn't even just 1/4th of what it is supposed to be -- but I got very busy lately with another commitment (I feel like shooting the coder working on this project of mine in his head) which has been consuming my time. Hold your breath!

Heh -- and thanks for the kind words people.
 
Here are two more categories I find useful:

Domainer's Domains -- names like x2u.net and xzwq.com, next-to-unpronounceable LLLLs, etc..., names that only domainers would love only because of their perceived scarcity in the future. Good luck finding an end-user.

Advertising Slogans -- related to the Brandables. Things like "EatFresh.com", "MyXBox360.com", "FreeLaptopReward". Usually ugly names that domainers wouldn't pick up. Used for the life of an ad campaign.
 
Thanks for the great article. I can't wait to read the rest. This is something I have recently started to get into.

I have a question though about parking and would value any advice. I have just acquired a dropped 6 letter brandable .com. Archive.org helped with regard to the category and keyword I should use in Sedo and although this name within a couple of days is receiving more traffic than any others in my portfolio, I haven't had a single click.

Are there any categories / keywords you would go for that would still get clicks even if they weren't related to the original use for the site?

Thanks
 
Thanks for the great article. I can't wait to read the rest. This is something I have recently started to get into.

I have a question though about parking and would value any advice. I have just acquired a dropped 6 letter brandable .com. Archive.org helped with regard to the category and keyword I should use in Sedo and although this name within a couple of days is receiving more traffic than any others in my portfolio, I haven't had a single click.

Are there any categories / keywords you would go for that would still get clicks even if they weren't related to the original use for the site?

Thanks
As much as I hate to tell you but Sedo is going downhill these days. They are just screwing the people parking with them. I personally prefer NameDrive, Parked.com and, if you have 50+ names, fabulous.com.

Regarding your second question, no, keep it as targeted as possible to the topic you think people are coming on the site for. The parking page should show the ads the people visiting it are interested in. That's the only way they will click.
 
I will talk about selling domains in the post when Jon lets me edit it in a few days. =)
 
I will talk about selling domains in the post when Jon lets me edit it in a few days. =)

Ok good because I was going to say I've been trying to get into domaining for a long time, actually been building up a decent portfolio over the last while, of course when I started out I got a lot of useless ones but my main question I still have a hard time finding is the following.

When you have good domains, where is the better place to sell them?, All Over? I mean sitepoint could be a good source I've got some sales with them in the past but really you would think there is some sort of auction based or even fixed based domain listing service out there (A Larger One) in which both buyers and sellers can go to look at the domains.

Also since you have to hold your domain for 6 months before transfering it to another registar how do you get around this? Or is it impossible?, basically for the ones who don't know this if I buy a domain from GoDaddy I can't transfer it to say Moniker for 6 months because of the rules.

I was thinking of starting up a blog/site for selling my domains kind of like HugeDomains I've always loved the concept and it is so simple to employ, however I haven't done any actual research to see how competitive a particular market really is but do you think having your own site based upon the idea of this one could be just as profitable. (Keeping in mind most people won't have nearly the amount of domains that HugeDomains Have).


P.S. Keep your brandable domains even if you don't use them, my brother once owned scaminformation.com and let it expire, a little after it expired HugeDomains bought it and put it for sale on the site for over $1500. Should have kept it lol.
 
I have a few questions...
lets say i want to buy a few domains...
1. Would you recommend buying ".net" versions of any domain that has any traffic ? ( of course the more traffic the better, but how do you judge ? alexa, overture ? ) If the .net version is taken, what is the next good extension ?

2. Would you suggest buying dashed "copies" of domain names that exist ( example (mt) Media Temple exist, www.media-temple.com doesnt PS: DONT steal my ideal if its good please :) ), but with dashes between words ? i think alot of people are doing this already... how about double dash "www.company--name.com" ?

thanks
 
Aequitas said:
When you have good domains, where is the better place to sell them?, All Over? I mean sitepoint could be a good source I've got some sales with them in the past but really you would think there is some sort of auction based or even fixed based domain listing service out there (A Larger One) in which both buyers and sellers can go to look at the domains.

The biggest sales are usually private or though big brokers. Of all the public places to sell, I have seen the best results at DNf and SitePoint.

Aequitas said:
Also since you have to hold your domain for 6 months before transfering it to another registar how do you get around this? Or is it impossible?, basically for the ones who don't know this if I buy a domain from GoDaddy I can't transfer it to say Moniker for 6 months because of the rules.

6 Months? I am very sure that transfer-out restriction is 60 Days. You can push accounts within 5 days -- so that means that you can sell the domain right after 5 days.

Aequitas said:
I was thinking of starting up a blog/site for selling my domains kind of like HugeDomains I've always loved the concept and it is so simple to employ, however I haven't done any actual research to see how competitive a particular market really is but do you think having your own site based upon the idea of this one could be just as profitable. (Keeping in mind most people won't have nearly the amount of domains that HugeDomains Have).

Excellent Idea if you are using it to sell your own domains. But if you want to become a general listing site, you will be so out of luck as there are Giants in that game like Sedo, BuyNames etc.
 
1. Would you recommend buying ".net" versions of any domain that has any traffic ? ( of course the more traffic the better, but how do you judge ? alexa, overture ? ) If the .net version is taken, what is the next good extension ?

What do you mean? Like if someone already has .com, should you buy the .com? Could you please be a wee bit more clear on your question? :)

Rasta_Cook said:
2. Would you suggest buying dashed "copies" of domain names that exist ( example (mt) Media Temple exist, www.media-temple.com doesnt PS: DONT steal my ideal if its good please :) ), but with dashes between words ? i think alot of people are doing this already... how about double dash "www.company--name.com" ?

Those are typo names. Though I am not sure if it is possible to get typo from a regular name to a dashed version. It is usually the opposite -- you get the non dash version of the dashed version. The double dash is a good ideafor a site which already has - in it as it is a common typo.
 
1/ Where does most of your profit come from; Is it from buying and monetizing dropped/ expired domains?

Or do you register new domains which you think will receive type- in traffic?

2/ Do you value domains based on their link popularity and their type-in traffic?

Or do you value domains based on their Alexa traffic rank and target market (eg. teens, tweens, girls, boys, males 18- 45, women ) ?

3/ Do you mostly buy and sell your domain names for profit OR do you buy and monetize (park, adsense for domains, develop a website) your domains for profit?