All investors want to get the best price for their domain name, but we often only see a bunch of low offers, nothing substantial. We look at the domain sales sites and we see names similar to ours that go for much more than the offers we are seeing for our domain name. We wonder why? Why do other people get higher amounts for the same type of name? Well, I’ll tell you why and give you some tips on how to maximize the value of your asset.

Shortage

We all know that scarcity drives the value of the domain name. How many articles have you read on “There are only 676 2-letter domain names.com, and there are 17,576 3-letter domain names.com, and so on …” It is common knowledge that scarcity creates value, so , personally take advantage of the shortage?

Tip No. # 1: privacy protection

Privacy protection can be purchased from your registrar for your domain name. The cost is usually around $ 3 per year. Most seasoned domain investors know this already, but putting privacy protection on your domain name will actually increase the value by 10-30%. How is this you ask? Shortage! Domain investors often search for cheap domain names by emailing domain owners who do not have privacy protection on their domain assets, because their contact information is public knowledge. Investors often view these domain names as names that can be acquired relatively easily and at any time. When you remove your contact information from the public sphere, no one can reach you to ask about the name, instantly making it more rare. You ask “OK, well, how do I sell my name if no one can contact me to buy it?” This brings us to the next point.

Visibility

Investors must ensure that their domain name is available for purchase in order for a sale to take place. The more investors want to own your name, the more your asset value will increase. If your name is not visible, know that one will know that it is available. So “How can I make my domain name scarce while maximizing my asset’s visibility in the domain investor market?”

Tip No. # 2: seek professional help

Aftermarket websites and / or industry professionals on average charge higher prices for domain names. Why is this what you ask? Because they have access to large buyer networks and have a lot of investor traffic on their websites. They understand the market intimately, knowing the prices that investors pay in each domain category. Professionals can guide you through the investing market and provide you with insider information on market trends and the best deals. “Well there are tons of aftermarket brokerage and auction sites. How do I pick the right one for me?”
Understand your investor audience

It is important to know what types of investors are buying domain names in the same category as your domain name. If you have a short numeric domain name, then you know that the buyer you are looking for is probably Chinese. However, if you own a one-word English domain name, your best option is to find a buyer in an English-speaking country. Some names derive their value almost exclusively from investment potential, while others have more value to end users. Many domain names cross over in the western and eastern domain markets and investor / end user markets, but understanding where your specific domain name fits in is essential. So you’ve decided to hire professional help and have an idea of ​​which segment your domain will have the most value for, now what?

Tip No. # 3: find the right partner

Find a broker or after-sales service that meets your needs. You want to find a service that specializes in providing visibility to the right types of investors for your specific domain name. Each type of service has its pros and cons.

First, we will discuss the after-sales sites. Most after-sales services are comprehensive and tend to have the largest audience as well. Places like Namejet, 4.cn, Sedo, Afternic, Flippa, etc. they have a large amount of traffic, so you can take advantage of the large number of investors that enter the site. Most of them have options to auction your domain name, which puts investors in a position of having to bid to obtain the right to buy your asset. The challenge with using these services is that they have so many domain names for sale that your name can get lost in the system. They do not provide a personal touch to guide you in selling your name. They are also passive services, so no one is approaching specific buyers who might be interested in your name, the investor would simply have to stumble upon your name to see it. These services tend to be more expensive (typically around 15% fee) than other options. Lastly, if your name doesn’t sell, the public can see the highest bid for your domain name and that price will be set in the minds of investors when you try to sell your domain name at a later date.

The second option is to hire a broker. Brokers actively communicate with buyers they know personally and have an interest in their specific type of domain name. They can provide a personal touch, such as evaluating your name and helping determine which investment market to target to attract the most interest. Unlike auctions, if your name does not sell, they do not reveal the highest bid so that the value of your name is not set in the eyes of the market. Brokers tend to deal with a smaller portfolio, which is why their name appears more prominently. They tend to be less expensive than aftermarket sites (they generally charge around 10%, but most brokers are willing to negotiate fees based on name and relationship). The challenges in dealing with a broker is that their network of buyers and the traffic to their websites tend to be much lower than that of after-sales services.

So there you have it, if you want to maximize the value of your domain name, then you want to find the right combination of creating scarcity, increasing visibility, and understanding your investor audience. By using these quick and easy tips, you can expect to see a significant increase in quality offers for your domain name and squeeze the most cash out of your asset. Have a great day and good luck!