Afternic “Stalking Horse” Auctions on My Blog
Over the years, I’ve inquired about many domain names that are owned by Buy Domains and listed for sale on Afternic. There are many names I’ve tried to purchase but I couldn’t reach an agreement on price with the company.
I am planning to test out a unique type of domain auction on my blog in conjunction with Afternic, and I would like your feedback before I start them.
I am going to choose several domain names that I’ve wanted to purchase from Buy Domains, and I will put them up individually for auction. I will place an agreed upon “stalking horse” bid on the domain name, which is essentially the reserve price. Readers of my blog can outbid me, but I cannot bid any higher than my opening bid. If nobody outbids me, I will get to purchase the domain name at my offer. If I lose, the person with the high bid will get to purchase the domain name. Bid increments and payment terms will be specified at the time of the auction.
Here’s an example to illustrate how this will work:
I saw XXXXXXXXX.com at Buy Domains last week, but the $4,088 asking price was higher than I wanted to spend for this name. I will place a $1,000 stalking horse bid on this domain name, and it will be on auction on my blog for three days (perhaps a week). If I am outbid, the winner will get to buy the name. If I am the high bidder, I will be able to buy the domain name for $1,000.
Essentially, I am putting my money where my mouth is, and Afternic is taking a gamble that there will be interest in the domain name beyond my offer.
I would like to know what you think of this idea. Please comment below.