domains Properties.com is now $125MM

[invincible55]

Just read a tweet from Rick Schwartz:
https://twitter.com/DomainKing
They laughed at me when I said #Domains were worth $15,000 back in 1996.
They laughed harder at $100,000
They belly laughed at $1MM They laughed til they peed at $10MM
They laugh until WE do it.
Properties. com is now $125MM
Please keep laughing!!

 

[Alessandro Couteau]

Show me another industry that has such a passive sales process. If this industry had some serious outbound sales people that pitched premium names we would have a million dollar sale every day.

Southwest Airlines made me an offer of $100K on the name SW.com ... in less then a year the name sold under $800K in China - it’s back up for sale

Nvidia, Google, Microsoft, Apple, Facebook all passed on the chance to own Ai.com - did not even ask the price ^

I got an offer of $3,000,000 in cash for VR.com from HTC ... the owners passed ^ the name is still for sale

I represented Blue.com, the Blue Man Group passed on it

I represented 77.com, 777.com and 77Bank in Japan passed on the name

I represented HH.com, Hermes, Hilton Hotels, Hyatt all passed ^

I worked on 123.com - 123-reg.co.uk had interest but we could not come to a resolve

I represented WW.com - presented to weight watchers (no contract) “I was a rookie then” Weight Watchers waited a couple years and bought the name

All in all, I have seen and worked on 25+ LL.com and NN.com domains ... I have spoken to all the top dogs and for a hot minute even had an EBA with Afternic, “contracting” ...

I have sold a few names in all extensions, both .com and GTLDs, I even sold https://mortgage.loans for $400K on a payment plan, however the buyer had financial problems, could not keep up w/ payments and the name was returned back to our ownership, but we made money, hence the six figure appraisal today

Let me tell you this, even if you have a truly million dollar name, it’s not easy to sell, don’t have any delusions about this industry, I once upon a time did

Now I realize patience is key and time is your best friend

 

[Kingslayer]

People are buying NFT art for millions of dollars and are investing millions in random startups with nothing to offer.

The only reason we are not seeing a million dollar domain sale every hour is because not enough people that own premium names have adjusted their prices.

I disagree have you tried to buy a single word .com lately? Let me tell you if you do, most enquiries you send don't reply and when they do they want 7 figures (sometimes 8), the 'top domian section' on NamePros is also reduced in quality compared to 2 years ago, people know what these domains are worth now.

I've just bought a single word .com for 6 figures and felt i was lucky to get it for that.

 

[Omega Assets]

People DONT search for a "property" on earth ... This would work only if you are a UFO..

Strange, because according to Estibot and Google people do indeed search for the keyword "property" unless aliens use our search engines.

Estibot.com:

Google Ads | Keyword Planner Tool:

 

[Omega Assets]

He also said he sold property and that "the price eclipse the Voice. com sale PLUS equity & more" so sounds like a monster deal.

Whilst 'properties' is a great domain and a potential multi-million dollar domain, it's not 'property', so what ever deal he's agreed for 'property' property is the star on top of the Christmas tree and the stronger domain of the 2, so i do have my doubts he can get $125m for properties, but you never know, only he knows what negotiations have been like on that domain, but one thing is for sure you can never underestimate guy.

I think it also has to do with the "type in" traffic both domains receive. Property gets about 120,000 visitors per year and Properties gets about 750,000 visitors per year on those domains, as per Rick's own statement. See screenshot.

And then factor in how much does 1 house, land etc. cost? So one potential client (visitor) is worth a lot. And then we can see why these domains have so much value. Not to forget all the marketing/advertising costs these domains will save for companies. "Free" traffic.

 

[AEProgram]

I disagree have you tried to buy a single word .com lately? Let me tell you if you do, most enquiries you send don't reply and when they do they want 7 figures (sometimes 8), the 'top domian section' on NamePros is also reduced in quality compared to 2 years ago, people know what these domains are worth now.

I've just bought a single word .com for 6 figures and felt i was lucky to get it for that.

Single words (real words) deserve 7-8 figures and those are mostly owned by people that know to price them like that. I am referring to strong two word keyword names. I am happy to see the prices moving up for those but they are really still being stolen in many cases from uneducated sellers. Obviously not all sellers can wait, and I don't talk about them.

 

[Keith]

Southwest Airlines made me an offer of $100K on the name SW.com ... in less then a year the name sold under $800K in China

Nvidia, Google, Microsoft, Apple, Facebook all passed on the chance to own Ai.com - did not even ask the price ^

I got an offer of $3,000,000 in cash for VR.com from HTC ... the owners passed ^ the name is still for sale

I represented Blue.com, the Blue Man Group passed on it

I represented 77.com, 777.com and 77Bank in Japan passed on the name

I represented HH.com, Hermes, Hilton Hotels, Hyatt all passed ^

I worked on 123.com - 123.co.uk had interest but we could not come to a resolve

I represented WW.com - presented to weight watchers (no contract) “I was a rookie then” Weight Watchers waited a couple years and bought the name

All in all, I have seen and worked on 25+ LL.com and NN.com domains ... I have spoken to all the top dogs and for a hot minute even had an EBA with Afternic, “contracting” ...

I have sold a few names in all extensions, both .com and GTLDs, I even sold https://mortgage.loans for $400K on a payment plan, however the buyer had financial problems ... we made money, hence the six figure appraisal

Let me tell you this, even if you have a truly million dollar name, it’s not easy to sell, don’t have any delusions about this industry, I once upon a time did

Now I realize patience is key and time is your best friend

You can always negotiate down but never up.

Also, 2 LL are far overrated as they don’t say much. 3L, one word and 2 word are just better and more valuable imo. It’s certainly fair to ask $10 million or more for the right 2 word domain.

 

[wwwulff]

I think 125 million is realistic ......... in the year 3050

 

[slader23]

Southwest Airlines made me an offer of $100K on the name SW.com ... in less then a year the name sold under $800K in China - it’s back up for sale

Nvidia, Google, Microsoft, Apple, Facebook all passed on the chance to own Ai.com - did not even ask the price ^

I got an offer of $3,000,000 in cash for VR.com from HTC ... the owners passed ^ the name is still for sale

I represented Blue.com, the Blue Man Group passed on it

I represented 77.com, 777.com and 77Bank in Japan passed on the name

I represented HH.com, Hermes, Hilton Hotels, Hyatt all passed ^

I worked on 123.com - 123-reg.co.uk had interest but we could not come to a resolve

I represented WW.com - presented to weight watchers (no contract) “I was a rookie then” Weight Watchers waited a couple years and bought the name

All in all, I have seen and worked on 25+ LL.com and NN.com domains ... I have spoken to all the top dogs and for a hot minute even had an EBA with Afternic, “contracting” ...

I have sold a few names in all extensions, both .com and GTLDs, I even sold https://mortgage.loans for $400K on a payment plan, however the buyer had financial problems, could not keep up w/ payments and the name was returned back to our ownership, but we made money, hence the six figure appraisal today

Let me tell you this, even if you have a truly million dollar name, it’s not easy to sell, don’t have any delusions about this industry, I once upon a time did

Now I realize patience is key and time is your best friend

Solid advice....imho if anyone has a truly valuable domain they should HODL for dear life as the competition for good names at the wholesale level has increased to crazy levels in recent months. Renew for 5-10 years and wait for the right offer.

 

[AEProgram]

No, I don't think it's a lot.

However, one also needs to consider the fact that there are not many startups that are about to spend 10 million on a starter marketing package.

The advertising department at Google, FB, TikTok, LinkedIn, Bing, IG, YouTube, Taboola, Twitter and hundreds of ad creative / advertising agencies beg to differ.

In 2020 startups raised 300 billion dollars. 7000+ early stage startups raised 22 billion.

One of the big expenses for most startups (possibly true for most businesses) is advertising and marketing.

https://news.crunchbase.com/news/global-2020-funding-and-exit/

The data is there, but its hard to get domain prices to adjust to the spending and demand of startups if everyone keeps pricing their good domains like its 1993.

Another tip, a lot of people have ideas but need names. A lot of people get ideas when they see names. I begged Dan and others to start an affiliate program so we could do what the rest of the developed internet world does and get millions of people to promote names.

This industry is the most left behind industry as far as promotion, lead capture and all else is concerned. If you guys want me to make a post about this with ideas let me know, I prefer not talking to myself too much.

 

[Omega Assets]

The amount of traffic to a domains value is a lie. Traffic is archaic and irrelevant.

Strange, because I owned domain names receiving traffic to real estate related keywords, which were later developed by a real estate broker, and indeed a percentage of the traffic converted into real sales.

 

[Omega Assets]

Just saw this update on LinkedIn that property.com is now under contract for minimum $36 Million USD.

 

[Kingslayer]

He also said he sold property and that "the price eclipse the Voice. com sale PLUS equity & more" so sounds like a monster deal.

Whilst 'properties' is a great domain and a potential multi-million dollar domain, it's not 'property', so what ever deal he's agreed for 'property' property is the star on top of the Christmas tree and the stronger domain of the 2, so i do have my doubts he can get $125m for properties, but you never know, only he knows what negotiations have been like on that domain, but one thing is for sure you can never underestimate guy.

 

[Omega Assets]

I think it also has to do with the "type in" traffic both domains receive. Property gets about 120,000 visitors per year and Properties gets about 750,000 visitors per year on those domains, as per Rick's own statement. See screenshot.

And then factor in how much does 1 house, land etc. cost? So one potential client (visitor) is worth a lot. And then we can see why these domains have so much value. Not to forget all the marketing/advertising costs these domains will save for companies. "Free" traffic.

Show attachment 190264

I guess Rick valued both domains property.com and properties.com equally at $125 MM because he also factored in the "omnipotence" of property.com (which gets less traffic, but is still more powerful as a domain on its own)

The amount of traffic to a domains value is a lie. Traffic is archaic and irrelevant.

Here is what @Rick Schwartz wrote in his own words on Linkedin today:

"Every business needs to ask ONE question.

"What is the Lifetime Value of a new customer?"

A #Domains value is directly related to that answer.

A #DomainName has to perform ONE function. Attracting NEW customers.

Lifetime Value x New Customers per day x 365 x Years

Just ONE new customer a DAY with a Lifetime value of $1000

$365,000 per year x 10? or 20? or 30 years

$3.65 MILLION over 10 years at ONE a day!

What if it is 10? or 100/day??

Just do the damn math CEO Geniuses!!

That is an easy way to value an Exact Match Domain

So here is a hint Mr. CEO genius.

Buy the name over a ten-year period and get it for FREE!!!!!

Actually, it will pay for itself each and every month and then some.

There is no easier, faster, or smarter way to grow your company Mr. End-user.

WAKE UP!!

It's FREE!!"

 

[Omega Assets]

Rashedx is right.

I predict Rick is taking both domains to his grave. Like Music, Realty has had it's a*s hammered out 15m X.

There is zero disruption. i.e. if you owned taxi.com, who would care? who wants to compete against 2* 800lb gorillas in Lyft and Uber + thousands more. Low margin business, like a restaurant. The smartest brains in the world want to focus on freakishly big ideas & problems.
Show attachment 192188

Run the math, $125m valuation you have to assume the company acquiring the name is spending 10% of gross revenue. Rick can bank on "old money" or "crypto" money to be the saving grace.

Pre-seed the company needs to be valued at $1b+ then cut Rick % on the cap table. Personally, only "old money" would be interested in entertaining Rick with that deal. I hope it happens for him.

New money is virtually impossible at this point. How many Ycombinator entrepreneurs are starting businesses to "solve" property listings/marketplaces? Sweet FA

Peter (ZERO-TO-ONE) Theil isn't cutting anyone a cheque to compete in this market that's the real problem and nor is anybody else for that matter.

I suspect any ESG related domain-like Carbon.com will do the big numbers. The ship has sailed on these two names.

Domainers in general drink way too much Kool-Aid

Here a relevant post by @Rick Schwartz today on LinkedIn:

"Do #startups and CEO's even realize they can get 1-word #Domains worth millions of dollars targeted to their sector with a lifetime of traffic and leads and put NO MONEY down??

They can grow into the lease as the company grows.

WTF is wrong with these people?? They lack many business skills. They will spend $10 million to advertise with less response and think nothing of it. Puff it's gone!

These folks today think SHORT TERM and they are in a LONG TERM business. Sad!"

 

[The Durfer]

i actually like the plural in this one, what real estate company runs off of one property? They need properties to make a business. Kudos to this one.

 

[AEProgram]

At the end of the day, the domain is only worth what someone is willing to pay for it

Everything is only worth what someone is willing to pay for it. Every good domains has a buyer, they just have not been pitched yet or they didn't think of the idea yet that will make them go to the name.

 

[AEProgram]

What's next? Will we see a Billion $ .com sale in our life time? - I think it's likely.

The way inflation is going we might see a trillion dollar domain sale, enough to buy you dinner for two.

I do hope that domainers understand that a lot of what dictates a price is how much money a startup raised. The amounts being invested now in startups are not normal. Raising 30 million is now considered a small round of financing. Do you think a 15k domain purchase for the startup about to spend 10 million on a starter marketing package is a lot?

We are our own worst enemy, we price things without taking into account major changes happening all around us.

 

[nononsense123]

The advertising department at Google, FB, TikTok, LinkedIn, Bing, IG, YouTube, Taboola, Twitter and hundreds of ad creative / advertising agencies beg to differ.

In 2020 startups raised 300 billion dollars. 7000+ early stage startups raised 22 billion.

One of the big expenses for most startups (possibly true for most businesses) is advertising and marketing.

https://news.crunchbase.com/news/global-2020-funding-and-exit/

The data is there, but its hard to get domain prices to adjust to the spending and demand of startups if everyone keeps pricing their good domains like its 1993.

Another tip, a lot of people have ideas but need names. A lot of people get ideas when they see names. I begged Dan and others to start an affiliate program so we could do what the rest of the developed internet world does and get millions of people to promote names.

This industry is the most left behind industry as far as promotion, lead capture and all else is concerned. If you guys want me to make a post about this with ideas let me know, I prefer not talking to myself too much.

Looking forward to that post! This discussion needs to happen!

 

[Mary Muse]

Source: DotDB(.)com

~342,000 domains containing the word "property"
~107,000 domains ending with the word "property"
~60,000 domains beginning with the word "property"

~212,000 domains containing the word "properties"
~176,000 domains ending with the word "properties"
~6,300 domains beginning with word "properties"

They're both powerful, relevant keywords however you slice it. I do love the omnipotence of singular "Property" though..

 

[AEProgram]

many names are still for sale either because they are overpriced or the owner does not want to sell

Show me another industry that has such a passive sales process. If this industry had some serious outbound sales people that pitched premium names we would have a million dollar sale every day.

 

[Kingslayer]

I was having a think about this yesterday, why would anyone announce a deal before it’s done especially for the amount of money this supposedly is? You just don’t do that for various reasons, the main 2 being 1) it’s unprofessional and 2) you risk losing the deal as the other party are going to read these tweets.

I respect what Rick has achieved in domains, but my gut feeling is I don’t think we are going to hear anything about the sale of property dot com this week or next week, I hope I’m wrong and nothing will please me more to be wrong, but I just think it’s just a marketing ploy for both domains.

Rick is very unorthodox in how he does business (going against the norm), knows the power of the internet, how this will forever stay on the internet (promoting) and it’s something I’ve seen him do in the past (ie saying something is happening and it doesn’t happen).

Once again I hope I’m wrong and nothing will please me more to be wrong as I love seeing ultra-premium domains going huge amounts of money, but I do have my doubts.

 

[White Fang]

I agree that Property.com is the top name because it is the generic, umbrella term for real estate and lends itself to a wide variety of applications. Whereas Properties.com connotes a FINITE number of properties. Similar to when a domain guru stated that University.com was more valuable than Universities.com

 

[Omega Assets]

Traffic is a lie.

Property is plural, singular, and shorter. It’s simply a better option.

That said, prices shift on the fly and today’s ask is all that matters.

Why is it a lie?

 

[vincew]

I hope Properties.com sells for $125 million. More than that I hope the sale makes the national news in the US, China, and all around the world. Let me hear David Muir say........

"Forget crypto. Rick Schwartz, also known as The Domain King, sold Properties.com today for $125,000,000. It's the largest domain name sale ever."

This would help the industry.