Domaining MBA Monday: Find A Repeatable Model

Domaining MBA MondayHello, happy Monday, and welcome to another Domaining MBA Monday here on! Today I wanted to talk about a topic that certainly extends well beyond the Domain Investing world, what I’m talking about is finding a repeatable model. It can be all too easy to buy tons of domains and suddenly find yourself with lots of inventory that you can’t move.

The idea is simple yet is missed by so many new investors that burn through lots of money on domains with little-to-no liquidity. Prove to yourself that you can sell a certain type of domain before you go nuts buying in the niche. Here’s a real-life example.

Last year I had a guy contact me who had purchased a few thousand domain names, each started with the same noun, followed by another word. I don’t want to give away what word he used since I really don’t want to insult him in any way, but instead just use this as an example. So let’s just pretend the word was “Crush”, he had,,, etc.

After spending a few thousand dollars on names beginning with “Crush” he started approaching buyers. His idea was that people would love the brandable terms and he could easily make a profit. He hopped on the phone, put ads in the paper, and went door-to-door, nobody was interested. Before finding a repeatable model he had jumped ahead and “assumed” that each of these names would be easy to sell so buying them in bulk was well worth it.

While more seasoned Domainers can do this since it is only part of their portfolio, new Domainers can get into trouble with this kind of thinking. Instead, just register five of these domains and see if they are as easy to sell as you think. Do they sell in the ranges you expected? Validate your assumptions and find a repeatable model, then if you find you were right, buy more, rinse and repeat.

So before going nuts buying domains that you think will sell like hotcakes, start with a few and prove it. Then, once you discover a repeatable model go forth and conquer!

{ 4 comments… add one }

  • Adi Weitzman March 11, 2013, 7:00 am

    I would like to add one more thing Morgan. I think you mentioned this in an earlier post but I think the price is important as well. I think the temptation for newbie domainers is to price their domains super high. I totally agree to start small and try to sell a few domains before buying 1000 domains. Happy Monday!

  • Joe March 11, 2013, 11:09 am

    Have a great reason, last year purchased six domain name TLDs to think without looking at the tool Google keywords if being requested by users. Thinking of selling at low prices, then look you can type in keywords meta tag and find that there are many user-requested this is a solution for parking domains.
    But not doing my job a mistake in a position of some letters completely change the whole is not the same think to be good and do not look before you is the right place for my lack of beginner.

  • Morgan March 11, 2013, 3:03 pm

    @Adi – excellent point, thanks for adding this one on!

    @Joe – thanks for sharing your experiences, so true that hindsight can sometimes be 20/20.

  • Igor Mironyuk March 14, 2013, 1:22 pm

    I have in my portfolio six domains. are .net domains.
    But why if global monthly seaches for africa wiki – 1,900 and regional 1,600, domain is not get traffic?
    Why If is popular google seach as estates honolulu , domain is not get traffic?


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