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Old 01-15-2004, 06:21 AM  
lock
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Join Date: Jul 2003
Location: Australia
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my current thoughts on domain values.
so many factors these days go so unappreciated. The original cost of a domain should be considered and length of time registered also with domains originally costing $35 x years the amount of traffic the wholesale value of traffic available. Even buying to sell is a good decision but with the right business plan.


At present with the market as it is a domain is most likely worth as much as its traffic. Non english speaking web traffic at wholesale 10,000 hits are worth $1 and english speaking 10,000 hits for $10. A newly registered domain is selling for $10
but has 0 hits unless that was getting unknown type ins it would need to hit the figures above to make whole sale traffic price.
Type ins would be a more likely success to a smaller active resell amount. Branding is where the real money has been known with domains selling for $1000s

we assume an english domain with 10,000 english speaking hits is worth more than $10 it is but you can pay that for traffic. To be selling something is what it will take to make it worth more and for that it needs a webmaster.

$10 will be lucky to buy you an hour of labour on the web.

If your buying keyword domains for type ins you will need to point them to programs to pay for the domain and investment.
EG if you bought NYdating.net LAdating.net you would want ot actually be directing them too dating sites to make up the investment.

After saying all this it is brandnames that have gone for the big dollars a small company offline with a name suddenly does well meanwhile the domain is owned buy another business in another country same name smaller market. They get offer big dollars to sell.

For every domain you buy i would recommend some sort of develepment or traffic redirection to spend 100K on names alone
would mean you have millions to achive your goals of development it would be best to invest a lesser amount on domains alone. A domain is said to be worth 4 months its income
i personally would see value of up to 2 years its worth.

Better to buy build sell. It would be better to buy a few run them with the prfits hire more man power to run more to their full potential. Buying tonnes of names eg 100k would be tough to last 12 months before another 100k are up and make 100k of sales.


On another thought a question that pends every year is to which domains should we reregister and which do we let lapse and see what happens and register it later if needed. Every domain i tried this with got snapped up in days of becoming available.
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