Things to Look for When Finding End User Buyers
I’ve discussed at length methods I’ve used to sell domain names to end users. Sometimes my efforts are successful and pay off, and other times, they do not. Here are a few things I’ve learned which may help you the next time you try and sell a great domain name to an end user buyer:
Many competing companies: In industries where there is a lot of competition, having a good domain name can make a company stand out from its peers. Whether it’s because of the SEO or because the company wants to “own the brand,” there will always be at least one company that wants the category defining domain name, even if the category is somewhat small. As long as there are many competitors, at least one company will want your exact match keyword .com domain name.
Small and large companies within target: I have found that there should be a good mix of small and large companies in a vertical to best sell a non-ultra premium, but category defining, domain name. It’s difficult to get to the decision maker with a huge corporation, but it’s quicker with smaller companies – especially when it comes to decision making. Boiled down, it would be tough to sell a soda domain name when you are only pitching Coke, Pepsi, Dr. Pepper…etc rather than an industry with a mix of companies.
Generic domain names are owned by companies: One thing I noticed when I made the successful end user sale I wrote about was that many of these companies didn’t use their brand names in their website urls. They used descriptive terms such as their area + their industry. When I saw that and had an industry keyword, I knew at least one company would want it, and I was right.
Companies selling that product or service: If you have the exact match domain name of a product or service, it’s likely one of the companies would want to buy it. Although a lot of companies aren’t completely knowledgeable about SEO and/or Internet marketing, many will recognize that this particular type of name would have value to them. It’s your job to convince them of this.
High profit margin on product or service: Similar to above, if that product or service is profitable, it’s more likely they will be interested in the domain name. If a company makes $1 profit per customer and they don’t sell many of these products (and it isn’t considered a loss leader) they probably won’t (or can’t afford to) spend a lot of money for the related domain name. If a new customer will net them big bucks, they can and will be able to justify a higher expenditure.
Own the same domain name in another extension: If a company owns the exact same domain name as you, just in a subpar extension (.net, .info maybe .org), it’s likely they would have wanted the .com if they could have bought it. Maybe the .com wasn’t for sale and the company didn’t know how to inquire about it or maybe they couldn’t afford the .com in the aftermarket when they bought the other extension. Whatever the case is, you know they like this term, and will probably want the .com. Just be cautious if the other extension is developed and there is a potential that the term isn’t generic enough. They may use your solicitation email as a sign of bad faith in a UDRP proceeding.
What else do you look for when selling domain names to end users?
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