How to Profit with Domain Name Speculation

Domain Name speculation has become big business. According to recent study, the average domain name bought and sold by domain name speculators realized a 377% profit. In addition, the average domain name was sold in 12.5 months.

Domain name speculation involves finding domain names that appear valuable, and waiting with the domain in hopes that someone will want to purchase it in the future. With a great domain name like business.com, this can yield huge returns. Business.com was sold for over $7 million!

When domain name speculators buy a domain name, they generally put up a page indicating that the domain is for sale. This becomes a sort of free advertising, whereby someone interested in that domain name will naturally check out the site to see if it is a competitor, or if the domain can be purchased.

But selling the domain is not the only way domain name speculators make money. In addition to advertising that the page is for sale, most domain speculators park their domains with a domain parking service. These services store a simple website for free, and place content sensitive advertising on the parking pages. They share advertising revenue with the owner of the domain. In this way, domain name speculators get free website hosting for their domains, along with occasional advertising revenue.

There are important considerations that must be taken into account before embarking on a domain name speculation career. While it is always advisable to purchase any really high quality domain name available, actually making a stable income from domain name speculation can require significant resources. It will cost a considerable amount to purchase the domain names necessary to make a stable income, and it is certainly no get-rich-quick opportunity.

As a domain name speculator, you should carefully analyze the domain name registrars and communicate with them about bulk purchasing opportunities. A domain name speculator will be buying many - perhaps even hundreds - of domain names daily, and should therefore find the best discounts on domain names. Many registrars will allow for domain names to be purchased in bulk at substantial discounts. Taking advantage of these opportunities will likely be the difference between success and failure at this type of enterprise.

Deciding which domain names to purchase can be challenging. It is very difficult to find high quality .com names. But don't rule out country-specific extensions. As countries get their own extensions, a new world of high quality available domain names is opened up to speculators. New top level domains are being created all the time, and most recently a .jobs domain name was created. A name like computer.jobs could prove very valuable in the long term.

While a lot has been mentioned of purchasing names like Mcdonalads.com, this practice is not particularly productive. Trademark laws allow corporations with trademarked names to take domain names that violate their trademarks. So rather than getting a big paycheck for registering a company's trademarked name, you're likely to be served with a lawsuit demanding you forfeit the name to them.

Domain name speculation should be viewed for what it is: an investment opportunity. Like all investments, the returns will be predicated on the wisdom and decision making skills of the investor.

Rex Ryan maitains the website:

http://www.domainnamesnews.info

More Resources

Unable to open RSS Feed $XMLfilename with error HTTP ERROR: 404, exiting

More Domain Names Information:

Related Articles

Domain Name Trademarks
As your Internet business grows, the value of your domain name increases. The issue of a domain name trademark should move to the top of your list.
Selecting a Domain Name Registrar - How to Avoid Getting Burned
When it comes to registering your domain name you want to pick a domain name registrar that will work with you, help you choose the best domain name, not overcharge you, and provide you with all of the information you need to make the best possible decisions regarding your registrar account. There are thousands of domain name registrars on the net and most of them offer the service legitimately and at an affordable price.
Domain Names - How to Choose, and Register One
What is a domain name?A domain name is the address of your website and it looks like this: (http://www.ebizmodelsyoucancopy.
Do You Have a Good .Com Name? What is One So Important!
A domain can leave an imprint on the mind of a prospective client. Just like a catchy phone number, it is easy to remember and can be send out loud in a rhythm.
Eu-Domains For Everybody
Cologne,10 July 2004. ICANN accredited registar Secura announces today, that the company is accepting applications for the sunrise and real time period of eu-domains (https://www.
Selling a .co.uk Domain Name via Sedo
Selling a .co.
Domain Squatting Explained
The one thing that annoys me most about the topic of domain names is when trying to find a domain name for a new site only to find most of the names I come up with are already taken. Even more annoying is that these names are not being used for a site that relates to the domain name.
What Questions Should You Ask Yourself When You Select Your Domain Name for Your Home Business?
So you want to be an Internet superstar, work from home and earn six figures cool we are working on doing just that.In previous articles we have discussed figuring out what you want to do for your home business another term for this is finding your niche.
Understand the Domain Name System
Ever wonder why DNS systems came into existence? Efficiency. Every computer has a distinct IP address, and the Internet needed an elite method for obtaining these addresses and for managing the system as a whole.
The Value of a Good Domain Name
Domain names to the internet are the as necessary as wheels on a car. All websites need a domain name; it is how your website is found on the internet by your potential customers.
Why El Cheapo Domains Will Cost You Money
You want your own online business? Good because it's one of the most fun things you can do with your spare time and can be very profitable.Remember that just because it's an online business doesn't mean that you should treat it with any less professionalism or seriousness than you do your daytime job.
.info Freedom Frenzy
Whether you're someone that registers domain names on a regular basis, or you're a person looking to register one domain name for your website or business, then it's likely that you've encountered the free .info registrations taking place at several registrars.
Warning: Your Domain Name Could Infringe On Trademark Rights!
If you have or are about to purchase a domain name, YOU could be in trouble and you don't even know it yet..
Domain Names More Choices than You Think
When you are choosing a domain name you will probably be looking for a .com or maybe a .
The net-Domain: Backbone of the Web
We do not always realize that figures are just quantity and can deceive about quality.In spite of the fact that the net-domain is only the No.
Domain Name - How To Pick One
Picking a domain name should be easy, right? Why, I'll just use my business name. Not so fast, Sparky.
Is Your Domain Name On Someones Wanted List?
A good domain name is, and will always be, essential for any online business. If you ask me, the internet is still only just evolving from infancy.
Domain Names
Domain names are relatively straightforward! Or at least that's the theory!!The domain name is also, but technically not quiet correct, known as the website address.Using an ISP's domain name can look amateurish in an e-mail addresses, it is much more so with websites, giving the impression of hanging on another's coat tails.
ICANN Registrar: Great promotion by is-domains!
ICANN accredited registar Secura is announcing today, that the company offers is-domains to persons and companies outside from Iceland.The is-domains, which are the domains from Iceland, belong to the domains, which become more and more attractive.
What You Need to Know About Choosing A Domain Name
Aside from the nuts and bolts of where to register your domain name and purchasing a good economical hosting service, there are a few things to know about buying a good domain name, that only experience can teach. Here are a few tips to get you started on the right foot:1.