Domain Investing is still uncharted territory for many. That’s why it is all the more enticing when the mainstream media gives it attention, such as with the recent BBC program, "The One Show". The fact that domains are valuable and have the potential to earn millions is understandably just not comprehendible for most.
Even with our appreciation for the general coverage of domain topics, we find that the teaser is always the same: “domains can earn millions”. Unfortunately, this only scrapes the surface of the topic. What goes unreported or lacks in most coverage is the fact that these million dollar deals don’t occur all that frequently.
Typically a domain on the secondary market place costs an average of $3,000 USD. Assuming a cost of approximately $10 USD per year (the average cost of registering a .com domain per year), you end up with a hundredfold doubled profit as a domain investor. While these are impressive figures, the media hardly talks about it. And this also applies to domain buyers: You do not have to invest millions to get a good domain name. Stories of million dollar deals can also frighten future buyers, who are looking for a good name for their business. What is needed is more in depth coverage on this growingly popular topic.
Speaking of million dollar deals: What does DNJournal’s Top 100 Domain Sales Chart for 2017 say, now that we’re already halfway through the year? In first place is fly.com for 2.89 million USD. Now talk about an increase in ROI: In 2009 this domain was sold through Sedo for 1.6 million USD. Congratulations to the seller!
And if you want to get an overview of companies and how much money is spent on domains, we encourage you to check out the weekly series on end user purchases, "What companies bought last week at Sedo" on Andrew Allemans, DomainNameWire.com.