Quote:
Originally Posted by Doc Com  ... A zero supply does not equate to demand if the names are being horded.
By some estimates, 42 million .com and .net are nothing more than parked.
This my, friend nameslave, is why Economics 101 is 100% bunk in domaining. The supply and the demand can be artificially inflated by domainers ... |
Sorry to say, but judging from your long but incoherent post, isn't it obvious that you don't quite understand demand and supply well enough.
I remember when some "smart" people bought up the remaining 3-letter .biz and .us, prices DID go up a bit. But when demand fails to feed, it's now back to square one. More amazingly, some even TRIED to pull the same stunt on 4-letter .com; but I couldn't even wish them good luck.
In other words, there's simply no way to manipulate a near perfect market (as in .com), where few would be resourceful but dumb enough to try play God's Hand, and the "group buy" strategy doesn't work.
When a speculator buys a domain (either as new registration or from the aftermarket), it IS demand. There really is not a clear line between end-users and speculators. I have "investors" paying 4 - 5 figures and end-users sub-hundred.
"Zero supply" of course does not equal demand, but the buyout effort which made it so does. As long as those speculators keep renewing, there is a demand. The same is true for those 42 millions .com and .net (if your numbers are correct): people are willing to spend more than $250 million dollars on domain registration, and you don't call it demand?!
That Econ 101 rule (of demand and supply)
OF COURSE works for domain names. The thing is whether you truly understand how it works ... or not.