Advice

I consider the number of registrations for a particular SLD (phrase to the left of the dot) to be one of the more important “signs of life” for a domain name. When I am evaluating domain names to buy in the aftermarket or at auction, I pay closer attention to those that have many other extensions registered.

Importantly, the number of registrations can be misleading, so there is some nuance that goes into my process for evaluating these domain names.

This morning, I was looking at a domain name currently in auction. I see there are 10 extensions registered, including the .com. Using dotDB, I see there are only 2 other domain names registered with this term. That was peculiar to me because usually if a phrase or term is registered in many extensions, there will also be other domain names registered that have the phrase within the SLD.

One semi-recent advance in relationship to domain name sales is the ability to create artificial intelligence content on landing pages. In addition to this AI content, some marketplaces allow, facilitate the use of, and/or encourage the use of third party created logos for domain names listed for sale. Domain investors need to be mindful of this content.

I was chatting with a colleague the other day, and he showed me something that could be concerning to a domain registrant. A domain name he was looking at had an image that was unrelated to the generic nature of the domain name but was associated with a trademark from a brand that has a similar name.

When it comes to domain investing and domain investors, there are quite a few different business models to make money. Each business model requires a different strategy and different tactics that are often divergent. Choosing a strategy or multiple strategies is an important decision to make, and a domain investor’s strategy can change over time.

Some people have small portfolios of exceptional domain names with high prices to match. They may sell infrequently and are content to wait for the ideal buyer. Some people have huge portfolios of names that churn sales regularly. They use the cash flow to grow their portfolio. Some people don’t focus on selling but they monetize their domain names in various ways. Some people have hybrid business models.

A little over ten years ago, I saw that a small business near where I grew up did not have its brand match .com domain name. It had a unique name, so I thought that was strange. A visit to the brand match name showed me why – someone in another country owned the domain name and displayed links in another language.

Since this local business is definitely the only company in the world with this particular name, I monitored the domain name via GoDaddy. Within a couple of years, the domain name expired and deleted. Because I grew up shopping at this business and appreciate what they do I backordered the domain name and won it.