Thoughts on the Auctions – Strength in Tough Times
While the financial markets are in the midst of turmoil, and much of this country is facing difficult times, I think the results of the opening day Moniker auction, Rick Latona’s auction and Aftermarket.com’s auction show the strength of the domain industry. I don’t think the final tally for each auction was remarkable, but I think the auctions were very solid in such tough times.
There were some strong names offered for sale, and the reserve prices were mostly reasonable, allowing the market to set the sales prices. With several hundred bidders watching either online or in attendance, there were plenty of people looking to find good domain deals. A large majority of the names that were offered were sold, showing that if you price your name well, the market will deliver a fair price. Selling to end users might be more lucrative, but at the moment, end users might not necessarily have the cash.
This afternoon, Moniker is hosting their premier auction event. After spending quite a bit of time studying the auction list, I believe Moniker is poised to have a stellar day given tough outside market conditions. There are a considerable amount of names on the list that have great reserves (low or none at all), and these names are going to be sold for a fair price. I don’t think we will see huge numbers like the $10 million auction last year, but that’s completely expected given the current market conditions. My prediction is that they break the $2.5 million dollar mark, which would be indicitive of a solid market – not necessarily strong, but solid.
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