Why I Don’t Report My Domain Purchases or Domain Sales
It’s been said that high value domain sales help improve the domain aftermarket, and I don’t disagree. This has led to the question about why I don’t report my domain sales if it can help other domain investors. I want to share a few reasons about why I don’t generally report the dollar amounts for my sales and/or acquisitions.
Let’s start with the easier question of why I don’t report my domain acquisitions. When I purchase domain names, I usually have a plan to re-sell them, and quickly. If I emailed Ron Jackson or had the seller email Ron to let him know my purchase price, it makes it much more difficult to make a nice profit margin on the sale side of things. Who wants to pay $25,000 for a domain name they know I bought last week for $15,000?
The more difficult question to answer is why I don’t report my domain sales. It could be a “feather in my cap” as they say to report high dollar sales, and it could also help the industry. For instance, if I were to sell a travel domain name for $xxx,xxx, I am sure that would give a comp for someone else to use for their domain sale prices and it might also seem neat to see my name in the DNJournal sales report.
There are a few reasons why I keep my sales quiet. First and foremost, my buyers generally want to keep their acquisitions private or they wouldn’t even know about the DN Journal sales report. They either don’t want people to know what they paid and what they’re buying, or they don’t really care about reporting a domain purchase.
Secondly, since I make my living selling domain names, I don’t want to report sales and have others start buying names in the same areas I am buying/selling. Similarly, if people see me selling high value names in a certain vertical, it will increase my acquisition costs for other similar names that are on the market. To that point, I still don’t understand why those high value long tail insurance domain sales were reported last year because it likely made them all the more expensive for the buyer.
Thirdly, I don’t want a seller to know I just flipped a domain name I bought from him or her for a significant profit. It’s no fun knowing you could have sold a name for more, and I don’t want to cause someone to feel that way. I also don’t want my future acquisition cost to go up if we do business together in the future.
Finally, I don’t want people to know how much money I earn. That’s for my wife and accountant to know. No offense, but my income isn’t your business, much like you wouldn’t expect to speak with your co-workers or boss about their salary. The only thing I have said and will say is that I make my living off of domain sales, and there was no “family money” involved with my business.
I apologize if this doesn’t help the domain industry as a whole, but I can’t compromise my own business. I do list some of the domain names I have owned and sold, but that’s pretty much it. I trust you understand.
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