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Why Business spent $590,000+ on domain names

Why Business spent $590,000+ on domain names
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Why I’ve spent $590,000+ on Premium  domain names

Premium Domain Names are The Internet Real Estate, If You own it, You are simply a winner.  Premium Domain Name Definition is THAT:  A premium domain name is a domain that is already owned by a person or registry. Its cost can be significantly more than a typical domain purchase — anywhere from hundreds to hundreds of thousands of dollars — due to its perceived higher value.

Having a memorable domain name is like showing up to a party dressed to impress: it immediately sets you apart.

One of the most frequent comments I get when discussing the business of Countryi.com goes along the lines of: “Wow, I wonder how you got that domain?”

No secret to it – Countryi.com cost me $45,000.

And that’s just one domain. Others include:

  • $26,000 on SouthAfricanImmigration.com
  • $15,000 on SouthAfricanImmigration.net
  • $9000 on USNEWSUSA.com.

And spent huge amounts on Domain names like:

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Domain Names

this and many more.

 

Why have I spent so much on domains? It gave me a leg up on everyone else.

Along the way, I’ve bought a myriad of domains – Cricketi.com, HostnHotisng.com, SEOiSEO.com, Domainnamesi.com, Themesi.com, Englandi.com, TopNewsUSA.com, USNewsUSA.com  (yup), and many many more.

Some I built up. Some I sold. Some I even forgot I owned (e.g., I bought Pakistan.com for a few thousand dollars in the early 2000s, and I think I accidentally let it expire).

And that’s just the .com domains. I’ve purchased a vast amount of ccTLDs, mostly when I felt the desire to move to a country.

Domains are like real estate…

A domain name is akin to real estate – you have prime locations (e.g. fund.com), you have solid ones (e.g. an money.com), and then you have the rest (e.g. whothehell .com).

(There’s an entirely separate discussion on buying domains based on someone’s trademark/established brand, but we’ll leave that alone here).

On a basic level, you can treat domain names akin to real estate

Real estate versus domains

What sets domain names apart from real estate is that you have no property tax. Provided you pay the renewal fee every year (roughly $15/year), you’re good. There’s no appraisal and no adjusted property tax – you’re locked in at $15/year.

It is possible to take a worthless domain on its own (e.g. google.com) and have what you build on it worth billions. There’s a real life analogy to it – you can buy property in the middle of nowhere, build something amazing on it (e.g. a theme park), and suddenly the land is valuable.

But to use our theme park analogy, would the land it’s on still be worth anything if the theme park completely disappeared?

Nope.

So it’s important to remember to disassociate the value of a domain versus the value of the business built on it.

I could buy premium property in Manhattan, start up a business that miserably fails, and then still find it easy to sell my property. That’s exactly what a domain is.

Unlike real estate, a domain name has no property tax; just a simple $10/year renewal fee

“Just like the word.”

Phonetics matters. Euphony matters.

There is cachet in names. Just like we immediately associate “LV” with high quality/expensive, many people associate a single word domain (that is easy to remember) as high value.

There is power in names.

When I first started Examine.com and would tell people that it was “JobFindJobs.com” I would often get asked how to spell it.

“Just like the words.”

Invariably, the next question would be “that must have cost a lot.”