Nameable said:
Yeah, I've never seen anyone get so much money for crap.
All of a sudden I've been seeing domains at pool go for $3-6/ovt+ext when they are clearly bad names.
Makes me wonder if there is really a new strategy out there, or if someone with too much money to blow has gotten into the game, or if an old player like ult is just trying to throw the rest of us off.
Hi nameable,
I would guess the latter. Every major name I've wanted (and hundreds that I didn't want, but were on the lower end of mediocre) have been bought by Ult in Pool auctions.
I mean, it's so sad. Like they got a name recently that I couldn't afford to outbid them on because I am spent out this month from some other large purchases. So, they got it at a steal for only $1,200.
What makes me sick is that Ult is going to sit back and make 20 cents per day on their stupid, ugly little click page. I could've easily converted the traffic and earned $15-$20/day off of that traffic!
It makes me sick to see how much money they've wasted by parking great names to their sh*tty little page. I could make so much more with some of their names (like I'm doing with the scraps I do get).
They even paid $32,000+ for infohiway.com a few months back. The traffic that it receives appears to be about 100-250 uniques per day. If we are generous and assume a 50% CTR (which is generous for their crappy little page), and then we assume at least a 50c/click (since they probably have some great PPC agreements). We come up to $62.50/day --AT BEST.
That means -at best- they might recoup their investment in about 2 years. I can sure think of a TON of better domains for much better ROI than that. I do realize that the domain is basically free after the two years, but in the meantime; the investment is tied up. It's a mediocre investment.
They are basically making 50% return on their money per year (great by mutual funds standards), but I typically turn an annualized 500% on each and every domain I buy - minimum.
I can take $32,000 all day long every day and flip it for a 100% profit. They make me sick when I see them wasting all this money --just so that no one else can get a piece of the action.
[/rant]
-Wesley