Is It All About The "Domain" or the "Seller"???

[SeatBeltPads.com]

When I look at domain sales report I often have to ask myself this question, is it the "domain" or the "seller" that has gotten the domain to be sold at such a price.

In this community, where most users are and have (successfully for the most part) been purely speculating on 3C Domains, GEOs and category killer one word domains - I guess there has been a pricing system in place for some time - one that I can no longer afford to deal within; partly due to the reason I don't think mere rarity of their numbers is a good long term investment reason - when these domains are rarely sold to end user - or ever developed; something that I cant respect much if you are sitting on high price domains.

Otherwise we are talking about brandables, keyword generics and 2 word domains. And in this case I would have to say that it is almost always the "seller" that determines the end price - and I dont mean just the price the seller sets - but a seller that can git'r sold at that price.

I know I for one have always been intregued by the incredible selling skills of Rick Shwartz - and I would go so far to say that it isnt even that he's a great domainer - hes gotta be just a great seller period - Im pretty sure he could sell a used napkin for a few G's. Consider this; if I or anyone else here had posted RoomDividers.com here at $1k would you have bought it, how bout in the $100 and under section, or even offered free in the expiring soon section - would you have picked it up? I would bet my bum no one would have. No matter what backup was provided as to its potential end-use value.

So all in all (opening a car of worms here) I kind of feel that we have created a market here at DNF where we think we are playing it safe by trading 2-3c domains back and forth between each other at increasing prices for years on end - without these domains being seen as so valuable by any other end-user or commercial buyers - is there a potential bottoming out or fall out on these - seeing that they have almost exclusively been a speculative investment for so long? (considering todays economy)

 

[Rockefeller]

Both, depending on the domain

 

[allanh]

I agree mostly with the OP.
That's why you see many LLL .com sell for more than a good LL .com
But then again, it takes a salesman to sell things.

 

[Sonny Banks]

60% the domain
40% the seller

Endusers are the key to success.

 

[gawnd]

Domain or seller? I'd say neither, its the buyer.

 

[james2002]

Mainly domain.

If Rick or whoever sells PropertyCrapdomain.com ,who will buy it for big money.

RoomDividers.com is good domain.

http://www.google.co.uk/search?hl=en&safe=off&q="room+dividers&meta=

Over 2 million exact results with lots of sponsored results. Also there are good search volume and PPC value. There are many domainers who know which domain is good and which is bad.

 

[Theo]

A sale completes when celestial bodies say so

 

[DNPlan]

Domain or seller? I'd say neither, its the buyer.

Above is the best and most accurate answer ...

Ultimately, a domain is only worth what someone is going to eventually do with it. I might have an idea for a domain that makes the domain worth $X,XXX to me ... but someone else might have a much better idea or much deeper pockets and willing to invest those dollars into its development and to them it may be worth much more...

This is simply a function of the long-term ability to monetize a domain ...

Now there might be short-term "investors" who are speculating about the long-term value of a domain, but ultimately it is that long-term value ...

Greg

 

[dcristo]

Domain or seller? I'd say neither, its the buyer.

What's the buyer going to do with a shit domain?

 

[robmac]

I agree with you seltbeltpads. Most of it is emperors clothes. bit like the ol LLLL.com, the only reason the prices get pumped up is selling between domainers. I watch to see what happens to a domain I sold and 90% of the time they are parked and just resold to another domainer.

 

[Biggie]

it's always the seller imo!


having a good or great domain means nothing if you don't know the value and don't know how to translate that value to potential buyers.

the reason rick can sell in the high ranges is because he knows the value of a visitor who uses type-ins to search for products.

this "direct navigation" traffic, as coined by the industry



as for LLL.com and one worders

the same applies....

many here just sell to each other, each time marking up the price until it gets sold to a domainer who knows where and how to market it and he takes it out of the "reseller recycle pool".

it's evident that many still don't know the values of their domains, as they seek out "bot appraisals" or they get an offer, then post..."how much should i ask?"


a name like "roomdividers.com" probably never would have sold for even "4 figures" here, because most here are cheap-lowballers, or they wouldn't know what to do with it if they had it.

even if it was making $100 a month, offers probably would come in around $2k or less.

nobody here is willing to shell out money for names like those, cause they don't see the upside or have no confidence that they can make the huge flip.


you also have to be in a position to "hold' a good name for the right buyer and again, that's why i say it's all on the seller.

it's up to him to research the name and it's potential applications, then locate suitable potentials to offer the domain to.
he then can show how these visitors use this domain to find the product that a particular company sells.

selling one "room divider" can result in $$$ for each sale, and a domain with ctr of 25% potentially means "1 in 4" visitors may buy something.


confidence is a big factor as well.

 

[DomainMagnate]

it's all about the buyer

 

[SeatBeltPads.com]

Mainly domain.

If Rick or whoever sells PropertyCrapdomain.com ,who will buy it for big money.

.

Have you ever seen the domain newsletter by one particular hi-profile domainer? Its full of crap domains for XXX-XXXX and ppl buy them up b/c they think if its coming from him - they must be worth it - so yeah I agree with Biggie - projecting yourself with that sorta confidence is crucial - also starting with lots of investment cap and being rich to start with to aquire those big domains in the first place might have something to do with it - just to get you in that big boy circle where you can demand any price.