There’s Always Some Self-Doubt

I would imagine the average sell through rate (STR) for most domain investors is below 3%. If you have a domain portfolio with 1,000 domain names, that would amount to 30 domain name sales per year. If the rate is much higher, I think it probably means the seller’s prices are too low. The trouble with this, in my opinion, is the difficulty in replacing these assets once sold.

Mike Cyger posted a poll on X asking people if they have self-doubt about their domain investing strategy and tactics:

Do you ever have self-doubt about your domain investing strategy and tactics?

— Michael Cyger (@MichaelCyger) July 30, 2024

For me, there is always some level of self-doubt.

My strategy has always been to make a few great sales a year buttressed by dozens of inventory-quality domain name sales. In all, I have been selling fewer than 100 domain names each year, with the amount varying based on numerous factors.

One thing I have learned is the business of domain investing is unpredictable. I could go a couple of weeks between sales, but if some of my sales are home runs, I don’t feel the need to push it with outbound marketing to drum up additional sales.

Bob Hawkes recently published an insightful article on Namepros about how the business of domain investing isn’t a quick – or surefire – way to make money. I agree with his assessment. I also think this nature can lead to self-doubt.

When I look at my business on a micro – domain name by domain name – level, I have quite a bit of self-doubt. I can’t predict when my next sale might come with any level of certainty. Beyond outbound marketing, there are no levers to pull that can easily generate sales in a replicable manner. I could reduce prices, but that doesn’t guarantee the best buyers will see the price decrease immediately. Even if I was able to drive revenue by doing this, it’s not something that will work at scale as I can’t replace the sold domain names at wholesale pricing.

All of this leads to some level of self-doubt. I don’t think this is a bad thing though. The self-doubt keeps me focused and ensures I pay attention to domain names I am targeting and the prices I am willing to pay.