When the internet was burgeoning in the 1990’s many people began making a considerable amount of money from the business of domain names – domaining.
Similar to real estate sales, a person would buy up all the domain names or URL addresses of websites in the hopes that another, usually larger business would then purchase the domains at a higher prices.
There was a considerable amount of money to be made back then, in once case a person who had purchased the domain www.drugs.com for a small amount of money sold it for over $800,000 from a large corporation.
But with the great expansion of the internet since those times the idea of making a profit of domaining or domain flipping seems to have gone by.
Or Has It?
Nowadays domaining is much more complicated and carries a much greater risk of being stuck with many unwanted domains and you’re not making a profit.
For those who do make money in domain flipping often they view the expired domains as their area of choice.
Keep a Sharp Eye Out For Expired Domains
Most domains that expire are worthless but there are those that are worth a great deal if the domain was valuable or is sought by other companies.
Keeping a sharp eye out for expired domains, can earn you some money.
This Only Relates to Domains: The Shorter The Better
Whether you choose to invest in expired domains or new ones that might have potential, remember that the shorter the address of the domain the better.
For those new, read my tips on how to choose the best domain name.
Foreign Markets Can Be Interesting
Another good option is searching for foreign markets who have yet to be fully saturated with domain such as the UK and Germany for example.
This countries still have some open areas similar to the conditions in the United States before the tech bubble collapse of 2000.
Domaining Is a Rough and Tumble World…
Domaining is a rough and tumble world and you must not only be fast in making decisions, you’ll also have to take into account those who are less than honest. There are plenty of hucksters who will actually trick you out of a small amount of money using an old but reliable technique.
For those who just happen to purchase a domain that may be viable for another company, they often get offers of a great deal of cash to purchase their domain but it carries a catch.
If you pay just a small fee, they will have the domain “appraised” to assess its true value. You pay and the “assessment” comes in at an even higher value than the offer, but suddenly the buyer has lost interest, but does have your “fee”.
That is a straight scam that domaining can bring in, you must be on your guard for such offers since the actual value of a domain is based only on what someone is willing to pay for it.
All in all, there is still money to be made in domain names, but you’ll have to learn your craft and know when to move on opportunities quickly if you are to make a profit.
Have you ever tried to flip the domain?
Share your experiences with us and leave a comment below.