Are some Domainers too greedy? to sell for less?

[DN BROKER]

I have renewed over 50+ .com's in the last 6 months - I always do a who is check on domains that are being released, majority of them are owned by Domainers. Their company names usually is what gives it away, Domain Management, etc.... Domain is For Sale, etc....

The minute the domain is transferred to my account, I sell the domain name with in 2-4 weeks for $100-$350 US.

I wondering what the deal is? Are these Domainers so greedy, that they set a price limit and would not sell for less?

 

[cbk]

I run across that problem very often. I think that they just do not know how to sell domains not greedy. Meaning that they for the most part to do not get offers at the price set and do not actively try to find end users and leave it alone until expired. I will give you an example I had a domain name that is the plural of someone elses domain and my name makes more sense as a business like cars.com compared to car.com he is selling his domain for $15,000 US, I approached him and offered mine for $500 he was not interested I ended up selling to someone else for $400, that happens all the time. The beauty is in the eye of the domainer not the end user and that is the problem.

 

[HomerJ]

that is a good example. if their price of $15k was realistic they should have snatched yours up for the chance to see a 30x ROI

 

[DN BROKER]

what ever the reason is, their greed is letting their domains expire and I'm selling them for a profit.

 

[amplify]

what ever the reason is, their greed is letting their domains expire and I'm selling them for a profit.

I think your method works for a small operation, but imagine having 10000 domains. The renewal of that is $70K/year. A domainer with that kind of portfolio would only have to make 5 sales a year to turn (a small) profit rather than actively seek out 500 sales at $150 each to turn the same profit. It's not about greed, it's about the margin.

 

[snicksnack]

I agree with amplify, for big portfolio holders , selling a domain with a $100 or $200 profit is not worth their time and effort.

 

[David G]

I think your method works for a small operation, but imagine having 10000 domains. The renewal of that is $70K/year. A domainer with that kind of portfolio would only have to make 5 sales a year to turn (a small) profit rather than actively seek out 500 sales at $150 each to turn the same profit. It's not about greed, it's about the margin.

Agree and don't think it's really greed. Personally I hate selling for under low x,xxx. I once had an attorney tell me he does not get out of bed for anything less than 5k. I feel the same way about domains and want to sell if it will change my lifestyle at least a little, which for me is at least mid x,xxx. Another reason I hate selling low is that I know the name is really worth a lot more to an enduser who could sell a product or service thanks to the domain and get the purchase price back very fast which makes me think the wholesale buyer got it way too cheap. That's probably why I sell so few names compared to other members here.

 

[amplify]

I agree with amplify, for big portfolio holders , selling a domain with a $100 or $200 profit is not worth their time and effort.

Exactly. If I were a big portfolio holder making 10K a day in PPC alone (6.94 a minute)-- I wouldn't spend an hour of my time to sell one domain for $100. That would be more embarrassing than just dropping it.

That's probably why I sell so few names compared to other members here.

People selling so low have to work harder than you to make the same profit too.

Eventually a domain will find its way to an end user-- it's just the one who wants to stick out the rough road that's the real winner.