ImperiousDon
Established Member
- Impact
- 5
Can you give me some advice ?
I respect your experience, but for me your math doesn't work. This is a real life experience: mine. Last year I've sold 357 domains to resellers and 23 to end users, out of around 800 , making xxxxx profit for each category, all of them were hand regs. Also, who is saying that you need to pay around 10$ a piece( ex godaddy)? My average acquisition cost was just under 3$ each, with buys as low as 0,31euros...so the math is changing, doesn't? Also, from my experience the sale ratio is much higher when you sell under 100$ than when you sell over 1000$, so it's much higher than the average 2% of the industry. Of course, if you don't know what to buy, you will loose money either way.The trouble with targeting $50-$100 is that the math simply doesn't work. The best portfolios out there have an annual sell-through of around 2%. I would surmise that a hand-reg portfolio is closer to 0.5% or so if done well.
So, if you register 1000 domains @ $10 ($10k investment) and sell 5 (0.5%) of them the first year for $100 each then you are out $9500 on your initial investment after 1 year. The only winning strategy after that would be to drop the other 995 domains.
Even at a best case scenario you'd sell 2% (20) of these domains and still only recoup $2,000 of your $10,000 investment.
The only way to make a sustainable profit is to identify domains that you can sell for $1k or more
I know about the $1 link, but thats a fluke, not something you can rely on. Once they figure it out, its gone. Thats also only been around for a few months. So if you used it to build up a 1,000 domain list and sold 80% in a few months you would have had to buy almost all of them in the first few weeks since they put it up.
I just do not see how or where you are doing this. You're not selling them here AND if you sell them on the major platforms most wont take them for $35 or will eat your profits.
@Paul Nicks do you tell everyone where you get your domains?? And how ?? Do u tell everyone all your methods and secrets?? Please share them all so we can all know everything you do and make your life 10x harder
Wait, you said you sell 80% of 1000 for $35. Dont change the numbers. I sell domains for a good profit. Sold a hand reg at Afternic 3 weeks ago for $1650.I have the ability to sell hand regs st a higher profit then 35 each I'm sorry that u dont
You're very defensive right now. Sounds like shenanigans to me. Have a nice day.All I smell is hate. Well one guy could do this and I cant. This cant be true it just cant be! I didnt reinvent the dam wheel I just offered a strategy that works if done right
All I smell is hate. Well one guy could do this and I cant. This cant be true it just cant be! I didnt reinvent the dam wheel I just offered a strategy that works if done right
You're very defensive right now. Sounds like shenanigans to me. Have a nice day.
yup
Apologize for the audio quality, we'll have a better setup this year
Trying hard to see where I called this guy a liar..... If anyone sees it, let me know....Defensive yes I dont ike being called I liar or being interrogated when I'm trying to share.
.
But you didn't. You offered the insight that there is a strategy that does work without discussing what the actual strategy is. Our OP isn't able to duplicate your success without your methods, so why should we give him false hope that $50-$100 is a winning bet?
Defensive yes I dont ike being called I liar or being interrogated when I'm trying to share.
I'm not going to watch your video
But if i had to bet it all has to do with afternic and and godaddy sales nonsense.
I believe Afternic has a $15 minimum commission. Quote:The $60 minimum at Afternic for example is a big chunk of a $250 sale.
I believe Afternic has a $15 minimum commission. Quote:
"We receive a 20% commission ($15 minimum)* for sales on both the Standard Network and Premium Network."
That why I have gived an example of real life...I've done this all last year, I'm buying constantly up to tens of domains a week and I could sell right now up to 50% of my names to resellers or to low end users offers(xxx). I'm testing some other strategies right now, but I could start selling at any time at the same rate. So there is a constant supply and constant demand( you need to diversify for this reason: geos, brandables, some low cost emd's, acronyms, ngtlds, cctlds)I would say Paul Nicks summed it up quite nicely.
Sure you might have a higher sell through rate if you are selling domains for $50-100 than end user prices, but the math still doesn't make sense.
1.) You need to find a constant supply of domains that are available and in demand enough to sell.
This needs to be consistent and repeatable.
2.) Let's say you pay an average of $10 for .COM. You would need a sell through rate of 20% @ $50 just to break even. You would need 10% @ $100. Then when the next year comes you either have to drop them all or pay for renewals again.
There might be a few exceptions, but in general this type of business model is just not viable today.
Brad
In conclusion, it can be done, but you need a strategy, but the same is true for high value domains, if you overpay, you can still loose big even if it's a high value domain.
Sorry. With respect to your experience, this is not exactly right in this case. You talk about "best portfolios", while we here are talking about starting small. Talking EMD, Geo, etc. Here we can really sell just anything, for cheap, yes.The trouble with targeting $50-$100 is that the math simply doesn't work. The best portfolios out there have an annual sell-through of around 2%.