The Four People That Buy Domain Names
Many people think they can easily make some quick money by buying and selling domain names. While there have been times in the past when good money was made fairly easily in the domain name market, that is not the usual case at all. Finding domains to buy is rather simple, buyers can register names that are still available on the open market or they can buy domain names from any number of sources that sell already registered domains. But when it comes to selling domain names, who buys them?
There are four basic types of domain buyers out there and tracking down two of them is easy, while tracking down the third one can be quite difficult.
#1 - The Domain Flipper
The domain flipper is a short term domain owner. They purchase a domain with the intent of making a quick profit. This can mean buying a $10 domain and selling it fairly quickly for $20 so they make a $10 profit. This can also mean buying a $200 domain and turning it over for $250. Domain flippers are quite active on the market because they’re always looking for the next deal.
#2 - The Domain Investor/Seller
These two people are combined because often one person fills both of these roles. The domain investor isn’t worried about making a quick sale, they can buy a domain knowing that it may take months or even years before they are able to sell it. They also know a good name when they see it and know that if they purchase it, eventually a buyer will come along.
#3 - The Developer
There are a number of people that make their living online setting up and maintaining websites. These websites can be quite profitable. Some developers build and operate full blown complex sites while others build basic sites that provide purely informational content. Successful web developers know that the right domain name can go a long way in making their website profitable.
#4 - The End User
The holy grail of all domainers is the end user. The end user is someone who either already has or is going to establish a real world brick and mortar type business and needs a good domain name to go with it. An end user can also be an established company that is looking for the right domain name for their business or a new domain name for either a promotion they are going to run or a new part of their business that they are going to expand into. Finding an end user is one of the hardest things for a domain seller to do. End users do not regularly frequent domain buying and selling communities so they are not always readily available.
Many domain buyers that can be found in the very sites that domain sellers frequent. In fact, many domain buyers are also domain sellers too. The best way to get the highest sale price though is for the domain seller to sell the domain to either a web developer or end user. This isn’t always as easy as it appears to be though.
Posted on 29th September 2008
Under: Domain Industry | No Comments »