Domain sales re-visited - part II

[sasquatch]

As published in June 1st issue of DnJournal.

"Just as we were finalizing our new weekly domain sales report we got an urgent note from Moniker.com/DomainSystems.com CEO Monte Cahn urging us to "stop the presses!" It turns out the news was worth waiting for as the company wrapped up the final details of a $62,500 sale of the appropriately named Stop.com. We get a little dizzy when we start contemplating numbers like that, but it sure looks like a great acquisition to us. The built-in traffic isn't particularly impressive (currently 158 with the extension in Overture) but this remarkably versatile domain opens up some awesome marketing possibilities. "Stop Smoking" is one that immediately jumps to mind
___________________________________________________________________

This domain is currently listed for sale at DomainSystems site.

I say Duke should take this domain out from the #22 spot of DNJ highest reported sales list for the year 2004, as it's obvious that it does not belong there.

Let's seriously make an attempt to try and keep the slate clean and free of half-truths, botched transactions, escrows gone bad, and other little funny apparitions.

 

[Ed30]

Let's seriously make an attempt to try and keep the slate clean and free of half-truths, botched transactions, escrows gone bad, and other little funny apparitions.

Seems like you're just holding some kind of a grudge to me. Your last attempt at "having a go" was half baked - let's not go through all this again.

 

[bidawinner]

Obviosely Monte simply forgot to remove it from Domainsystems.com ...as busy as he is answering the phones authorizing the transfer names out :laugh:

 

[David G]

It seems very odd that DomainSystems was selling so many well publicized names which were being reported to DNJ steadily in so many issues over many mos but when Cap made his report on the odd or suspect sales (of dubious value names)suddenly domainsystems seemed to drop out of the news and barely reported any sales at all for several straight weeks but now is slowly getting back in the news?

 

[ExpireGuy]

whois right? And whois wrong?
.............. bless you dnforum.....your halls are always intriguing.

 

[Duke]

This domain is currently listed for sale at DomainSystems site.

I say Duke should take this domain out from the #22 spot of DNJ highest reported sales list for the year 2004, as it's obvious that it does not belong there.

I'll check on that Cap. The WhoIs currently says the domain is being held in an Escrow account at DomainSystems. I would guess some money is still due. I'll check with Monte and if that is the case, the domain will be removed from the YTD chart until it is transferred. Though staggered payments are not uncommon (men.com was done that way) I agree they shouldn't be charted until the final payment has been made and transfer done and I have notified all of our contributors to follow that rule.

Update:

Received a reply from Monte to my inquiry on this. He said the domain was paid for and that buyer simply has it up for sale. Makes sense because the last WhoIs update was at the time the sale was reported. In the current environment the buyer could easily flip it and make 10-20 K in a few months time. Ian Andrew at DotcomAgency just made $20,000 in less than a month buying WebsiteDevelopment.com for 10K then turning around and reselling it for 30K.

 

[actnow]

I know for a fact that Duke aggressively researches the sales data.

And, Duke takes the reporting of the sale data very seriously.

Furthermore, Duke spends many, many hours a week working on this.
And, he doesn't charge YOU anything for the information.

If he charged you $ 100. - $200. a year for the service. Then, you might
have the right to question his reporting of a particular sales transaction.

He said he will look into this for you. So, you can count on him to spend more
time to assure the accuracy of his reporting.

Incidently, how come he is charging me for the report. But, giving it to everyone
else for free? :huh:

Update: He got back to you in the time I was typing the above comments. :-D

 

[David G]

I don't think anyone is questioning Duk'e integrity and work in any way, shape or form it's just the occasional reporting to DNJ on some of the obviously low or semi-worthless domains which somehow were reported as 'sold' for large sums of money. Later investigation by Cap reveals many oddities, including whois's not changed, still listed for sale, non-resolving issues, and perhaps the most odd being a name sold for substantial money but not even being registered.

....Though staggered payments are not uncommon....

Really, did not know that? I can see how a million $ name like men.com or some other very high ticket names may possibly be financed, but even then it would seem somewhat unusual?

I never even knew a domain purchase could be financed at all and never heard of it happening in the past (until that was said in a post a few mos ago), especially 4 or low 5 figure names. Do other sellers other than Domainsystems offer financing of domains for sale? If so, which ones, just curious?

In most cases how would the buyer even know that seller financing is available as an option (never recall seeing that notice on any sites). I suspect very few would even wonder about it? Plus since most are sold to larger webfirms it seems odd they would even want seller carryback financing and its resulting non-control of the name which I am sure is the case.

It seems odd a buyer would be willing to risk not having direct control and non-ownership changes just so he can get the purchase financed? Sometimes I have to wonder if the real reason the name 'sold' was because the vendor pushed the name heavily on the buyer by using financing as the primary sales tool.

Another possibility is some of those semi-worthless names were merely throw-in names not even seriously wanted by the buyer but included within a larger deal as a vendor or seller requrement? That is similar to the old 'player to be name later' baseball trade where a 2nd or 3rd rate player is included in a deal for some odd reason even though he is quite unimportant vs the star player.

 

[Duke]

did not know that? I can see how a million $ name like men.com or some other very high ticket names may possibly be financed, but even then it would seem somewhat unusual?

Uncommon wasn't the right word for staggered payments. I just meant to point out that they are occasionally used in high end deals. Having never been involved in a high end deal I don't know how many sellers would be willing to stagger payments but now that I think about it - I might finally be able to afford a 6-figure name (if they will accept $1 a day for a few decades!) :cheesy:

 

[Monte]

For clarification for the Judge and jury - Cap......

The name was purchased for resale - so yes it is for sale again by the new owner.

let's put this issue to rest. We sell domains, that is what we do, we do not report sales of domains that did not sell. We would not even report the sale if Duke didn't have a great industry rag.

 

[Cash Is King]

.

 

[Monte]

Stop.com was an outright sale so creative financing was not even a consideration with this purchase - however, you are right classicnames, we do do financing for domain sales all the time.

 

[sasquatch]

Stop.com was an outright sale.

Yeah, outright sale which shows "DomainSystem escrow account" some three months later?

The outright sale that doesn't list the rightfull owner three months later?

The "supposed" owner who doesn't do a thing to identify a name as his, and likes to sell it at the exact same place he "bought it".

The "supposed" owner who dropped $62,500 on one name, in order to resell it for more?

Wow!

Yeah Monte, give me a break.

 

[Duke]

We would not even report the sale if Duke didn't have a great industry rag.

Unfortunately I think a lot of people forget that the only reason I can present a regular domain sales report is that I receive co-operation from most of the major sales venues like DomainSystems, Sedo, Afternic, Enom Club Drop, GreatDomains and others. Providing data is extra work for all of them and they certainly aren't obligated to do it. They get some publicity benefits but most of them agreed to do it only because I was able to convince them it would be good for the industry as a whole. Having price data available helps everyone look at comparable sales (as is done in real world real estate) to gauge current market values. I think our primary contributors know that the downside of trying to slip in false sales is far greater than any potential gain. I personally appreciate the help they have all provided so that I can make such a resource available for the first time in this business.

 

[actnow]

We would not even report the sale if Duke didn't have a great industry rag.

Hey! Are you saying Duke is a "rag"? :-D

 

[Monte]

so I guess that anyone with a private registration who chooses not to identify themselves...is also in question?

Cap - I think I speak for many - you have had plenty of breaks - your plum out of them. The only real break you need is probably one of the very domain sales you are questioning.

Throw me a couple names, I will help you sell them......that is if you can bring yourself to do such a thing.

 

[Cash Is King]

.

 

[Duke]

Duke

I really appreciate what you do and think it is great for the industry. If have a donation link set up on your site or elsewhere, I would like to know so that I can contribute to your cause.

I appreciate that CN, but no need. We have many advertisers (ranging from large corporations to members of this forum) who make it possible for me to devote the time needed to produce DNJournal.

 

[Jack Gordon]

The question has been asked and answered. Let's put it to rest unless there is some actual evidence of wrongdoing.