When done right, the domain trade is an enterprise that lends itself to particularly lucrative deals. The tactic is simple: domain names are purchased with the prospect of reselling them for a wide profit margin. But the trick of this trade lies in securing domains that may later be valuable to well-endowed buyers, such as a large company. We have laid out all the important facts and terms on the topic, including some of the highest sale prices on record for a publicly traded .com domain.
Here's an old post on search engine roundtable that claims google's policy is to discount previous backlink juice when a domain changes ownership. I'm not convinced whether this is actually true or something Google says to discourage excessive domain buying / 301 redirecting for SEO benefit. The comments above seem to give varying opinions on this matter. Would be great to get to the bottom of that one!
When a domain name that was previously registered expires, it goes through a grace period that allows the previous registrant one last chance to reclaim their domain before it becomes available to new buyers. If the previous registrant still has not renewed their domain after the 77 day deletion process, the domain name will officially expire and enter the Aftermarket.
Parking: While your domain is just sitting there waiting for its new owner, you might as well take advantage of it. Parking sets up automated advertising on your domain so that you earn money every time someone views/clicks on an ad. This could be especially useful if your domain is an expired one that’s already receiving traffic. Services that offer parking include Sedo, GoDaddy, 1and1 among many others.
But in general, the best and easy way to sell a domain is to go with a marketplace. There is many popular marketplace dedicated to selling domains including Flippa and SellDom to sell your domain (full disclosure, I’m working on SellDom). The advantage is to leverage the popularity of that kinds of services in hope that someone will find your domain and buy/make an offer.
In the grey hat SEO world, the thought is that you can take a domain that is keyword driven, do a quick optimization to get the site ranking, and sell it off at a profit. It could, and does happen daily. How much time is invested in optimizing a site to get to page one, vs how much the site will sell for? (remember that quote at the beginning of this article?). Let's put it into simple math:
Very good article and overview explanation. However I would not recommend buying names with bitcoin, ripple, etc in them. Not only will it be oversaturated those names are brands and can / will be trademarked and you can still be hit with a UDRP. Only register generic names like buycrypto.com, buyingcryptocurrency.com, theblockchain.com, etc. There are tons of opportunities and no need to infringe on a brand name.
These should be more than enough to get your domain in front of tons of potential buyers. If you did a good job picking an awesome domain, you should have no problem (eventually) selling it. You need to be very patient as it could take months or even more to land a decent deal. A lot of domainers sit on domains for years before actually selling them. This is why it’s best not to obsess over a domain and simply move on with buying and listing others (or going back to your day job if this is a side gig) once you've listed the initial one.
Hi, I’m Mark! I’ve been an online entrepreneur, writer, website flipper and more for over 8 years now. Having faced the highs and lows of the online marketplace first-hand, I’ve learned quite a few things along the way. I’d love to share all those learnings with you here on this blog! Buying/selling websites can be great fun, provided you’re aware of the right tactics and know how to implement them correctly. My posts will help you do just that!
I OWNED DOMPERIGNON.ORG, incredible, but true. Lost it, back in the days when internet in India was not a readily accessible utility. And I was a casual domainer. You had to go to a cybercafe. Did that late in the day, towards the expiry of the domain. No chance of renewal. The domain is now with the owners of Dom Perignon and is redirected to domperignon.com!
There is always a learning curve in buying domains with the purpose of reselling them. Don’t hesitate to ask a lot of questions to those who went before you, participate in forums such as namepros.com and dnforum.com, keep abreast of industry trends via resources like domaining.com, and reach out to the Afternic and GoDaddy Aftermarket support teams.
Each of the third parties we integrate with charge for getting metrics for a domain. DomCop pays for their API to get this data for you and therefore you do not need to purchase additional accounts to get these metrics. One DomCop account will do it all. As new players enter the market, we integrate with them so that you always have the best and most comprehensive set of metrics to help you decide which domain to buy.
If you are feeling ambitious, you can link each of your domain names to its matching “buy it now” purchase page at one of the marketplaces. Another more sophisticated option would be to “park” your domain with one of the leading domain parking companies, such as DomainSponsor or SmartName and enable their built-in “for sale” message and contact mechanisms.
There's a lot of guesswork that goes into domain name investing. It's not enough to purchase domain names that are currently popular. Just like a stock, coming too late to the game won't be profitable. You have to think of the future, instead. What domain names might be profitable in the future? Is there a new product or service that may become a huge hit? Where is the future headed?
Check backlink profile: If you’re not familiar with what backlinks are, they’re basically any public website that “links” to the domain in question. Since there are numerous shady tactics in the SEO world, expired domains’ backlink profiles should be examined carefully. Check if too many links are coming from the same domain or if links have weird anchor texts/use foreign languages. You can use a tool such as ahrefs for these purposes.
Link popularity: the link popularity is a parameter that is used to quantitatively evaluate incoming links to a website. This is measured depending on the number of links to a domain according to the mantra 'the more incoming links, the more important the site'. Link popularity is generally determined by the PageRank algorithm. The PageRank only plays a minor role in determining the domain’s relevance.
Parking the Domain Name: When you park a domain name, every time someone enters IHateCold(.com) into their web browsers, a page with a few ads and sales info is shown. So you’re letting the visitor know that the domain is for sale and you make a few cents on the ads displayed for views. There are several domain parking services for when their buying and selling domain names, but I’ll go into that in another post.
Here's a test I have in process. I bought an old $5 closeout domain from Godaddy TDname expired auction. I put a quick minisite up and linked to it with a crazy anchor text phrase. The domain is ranking for that crazy term now. It's gone through one pagerank update and I'm waiting for a second to come. Then I'll redirect the domain to another minisite. I suspect the second site won't rank for the anhor text, but we'll see.
Sellers should also learn to identify premium domain names. Dictionary names are premium domain names. Domain names with dictionary-singular names are the hottest on the Web, and buyers are willing to pay a lot to purchase them. Names, such as search.com or askme.com, will get buyers more easily than long domain names. It is also important to note that unhyphenated domain names have more value. Even product-related domain names also can enable sellers to earn substantial profit. Once a seller has a certain degree of knowledge about the domain, he can start searching for buyers.
Get appraisals for your domain names. When selling, you will want to know what kind of price you should expect to get for your sites. There are a variety of websites that offer free appraisals for valuation. This includes larger domain auction sites such as Sedo.com, GoDaddy.com, and DomainIndex.com. These of course are only estimates, but they can give you a good idea of what certain domains might be worth.
There’s an important distinction to make here between domain flipping and website flipping. The latter mainly refers to buying and selling full websites. By full websites, I mean websites that actually have content and more often than not have traffic and revenue. When buying and selling websites, the domain name matters less as the main value there is the content, traffic, revenue, history/reputation, sustainability and growth opportunities. The same can’t be said for domain names where you’re just selling “the name” and hence it’s all that really matters.