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Could IDNX Indicate Financial Crisis Is Over?

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For many people throughout the world, the past few years have caused quite a bit of economic hardship. In concert with the world economy, the domain market took a tumble towards the middle or end of 2008, and it hasn’t yet fully recovered. Domain names have been selling, but the prices haven’t been nearly as heddy as 2006-07.

That said, the financial crisis that has impacted billions of people may be over… at least according to a press release distributed by Sedo  this afternoon, and posted below.

I think the signs of an improving domain market are great news for domain investors, and I agree that the market has certainly rebounded significantly since the end of 2009. I wouldn’t declare the end of the financial crisis with so much uncertainty in world affairs, but it’s nice to see the domain aftermarket is rebounding.

Here’s the press release:

Big Week in Domain Aftermarket

Both Sedo and Afternic posted big numbers in the domain aftermarket this week. There were also several mid to large sales I followed that closed on NameJet as well. Close to $5 million in domain sales were reported at Sedo and Afternic, not including any sales that closed in private.

According to an email from Sedo, the company closed $3.5 million in sales last week, with over 1,200 transactions reported. 31% of the sales on Sedo were buy it now listings.  At Afternic, the company closed just under $1.4 million in total sales last week. From what I can see, there weren’t really any blockbuster sales reported.

I don’t want to make a prediction that we’re in the midst of a recovery, but I do want to point to the IDNX. The stock market is touching highs dating back to the financial crisis, and the domain market seems to be recovering in the same pattern. I am seeing the same with my own sales, as I detailed last Saturday. Hope you are seeing similar things.

Here are the top 10 sales from Afternic last week:

apartmentlistings.com $87,500.00
TECH.pro $25,500.00
acuto.com $13,000.00
medicals.com $9,000.00
BathSheets.com $9,000.00
seedbed.com $8,800.00
languageclasses.com $8,500.00
askalex.com $7,900.00
aboutmeditation.com $7,500.00
webbuilding.com $7,288.00

Here are the top 10 sales from Sedo last week:
kboing.com 150000 USD
landmarkgroup.com 50000 USD
e-liquid.com 25000 USD
romeapartments.com 15000 USD
tev.de 15000 EUR
medlaser.com 14000 USD
tanga.de 13599 EUR
graniteworktops.com 10500 GBP
sucre.com 10000 USD
cdnreviews.com 10000 USD

Sedo Using “Facebook-esque” Landing Pages

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A friend sent me the link to a Sedo  parked landing page, and I think it’s interesting to see. I haven’t come across a similar Sedo lander, so I assume it’s either a test or something the company recently launched for parking clients.

I don’t want to link to the parked page because of TOS issues, but as you can see in the screenshot, the landing page for FairCredit.com has the look and feel of a Facebook page. I would imagine it could pose some additional risk for trademark and/or typo domain names since that can appear a bit misleading. For instance, if you owned Facebok.com and used a lander like this, it would be confusing to visitors.

From my perspective, this is probably a high performing landing page because people who are accustomed to visiting Facebook pages will likely instinctively recognize the layout and navigation. It’s reminiscent of the survey landing pages  that look similar to big brands  like Facebook and Google, but it’s obviously not collecting personal information from visitors like those surveys.

Has anyone else seen similar Sedo landing pages? What are your thoughts on them?

Thanks to NameBio for the tip.

DealDash Buys Swoopo Domain Name

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A few years ago, I learned about Swoopo, an interesting type of online auction website that had bidders pay for bids. As I recall, there was some controversy surrounding the type of auctions on the site, because a $100 item that sells for $10 could conceivably have hundreds of dollars worth of bids to get to the final sales price.

You can read a couple or articles about the controversy surrounding Swoopo  here and here. There are plenty of others that I could find, but I think those two articles summarize the issue pretty well.

According to an entry on Wikipedia, “in March 2011, Swoopo’s website became inaccessible, and a notice page claimed that Swoopo was experiencing “technical issues.” On March 26, 2011, Swoopo’s parent company filed for bankruptcy. There is no information regarding whether the site will reopen or permanently close.

It looks like the later part of that excerpt has been answered when you have a look at Sedo’s weekly sales report (via TheDomains.com). Last week, Swoopo.com sold for 10,000 EUR (roughly $13,000 USD). When you visit Swoopo.com, the domain name forwards to DealDash.com, which appears to be a penny bid auction website.

According to the DealDash website, “DealDash is the longest running penny auction site in America. DealDash ´s Buy it Now option removes the risk of losing from penny auctions by allowing losing bidders to purchase the product at a fixed retail price and get a full refund of all the bids lost in the auction.”

This seems to be a wise (and cost effective) acquisition for Deal Dash, since there seem to be a significant number of references to Swoopo and quite a few inbound links. I don’t know if the company purchased any other intellectual property, but the domain name was a smart purchase.

January Great Domains Auction Results

Sedo’s  Great Domains auction ended last week, and the auction netted over $115,000 in domain sales. I was a bit surprised that Zimbabwe.com didn’t sell at its reduced price. I guess it might be tough to monetize. Don’t forget to check out the Sedo 2011 Market Study when you have a chance.

The full list of sales is below.

goldchains.com 32000 USD
economize.com 10099 USD
sucre.com 10000 USD
mayan.com 9000 USD
balletshoes.com 8500 USD
gentler.com 5100 USD
interviews.net 5000 USD

Sedo 2011 Market Study Now Available

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SedoSedo has released its annual 2011 Market Study with insight into the domain market and activity during the last year. The full market study pdf can be downloaded (for free) by visiting Sedo’s website.

Off the bat, one of the most impressive figures is Sedo’s total sales for 2011: sales volume totaled $84,431,965. According to the company, “.co and .me entering the top ten sold top level domains (TLDs) for the very first time.” The company also offered additional insight into pricing strategy, especially as it relates to Buy It Now pricing and the SedoMLS Network.

Here are several highlights from the just published report:

  • 39,951 sales occurred in 2011, the majority of which took place in the first half of the year.
  • The .com extension continues to dominate, accounting for 44% of all sales. In second place was .de, with 18% of all sales.
  • Top sales for the year included Gambling.com for $2.5 million and Dudu.com for $1 million.
  • Buy Now sales accounted for 35% of all sales in 2011. In Q4 2011 alone, Buy Now sales made up close to 40% of all sales, indicating a steady increase of around 5% per year since 2009.
  • Median prices of nearly all TLDs increased and average prices were stable. The .co and .me extensions showed the strongest increases in median and average prices.
  • The most popular domain name length was eight characters, represented by sales like Gambling.com
  • 47% of sales during 2011 were priced at under $500, and a majority of those were Buy Now domains.
  • IDNX, the first standard price index for the domain industry, shows that the domain market remains closely correlated to the NASDAQ 100 and IT stock numbers. (IDNX -1.5% and NASDAQ +1.7%)

I have not read the full report yet, but it’s something I plan to do very soon. I think the information in the report is invaluable and can help you buy and sell good domain names.