As the proverbial check is in the bank, I can now discuss my first five figure sale via Frank Schilling’s Domain Name Sales platform.
It’s been a remarkable year in sales, achieving exceptionally higher numbers than I did in the past, via Sedo. I’m currently clocking sales since the end of October 2012, when I moved my entire domain portfolio to DNS.
When investing in any domain, my modus operandi is very specific:
- The domain must be .com, .net or .org – either single word dictionary, or a two word compound .com.
- Other TLDs or ccTLDs are acceptable, as long as the keyword is short, positive and brandable. However, my investments are kept to a minimum.
- Short domains, such as LLL or LLLL are usually acronyms, that must pass the test of brandability, legibility and age.
- Aged (pre-2000) domains across most TLDs.
In this particular transaction, I sold an almost 14-year old domain that I owned for 3 1/2 years, having acquired it via Sedo for approximately $500.
Domain Name Sales achieves much higher rates of inquiry conversion, due to the ability to customize the “for sale” banner. I will expand on this in another article, but for the particular domain I received several inquiries during the 12 months of parking it at DNS – all were quoted at five figures.
The great back-end provided by DNS allowed me to:
- Research my buyer.
- Negotiate using custom templates.
- Follow-up when there was no response.
- Engage in a manner that assured the buyer of my established professionalism even further.
The initial quote was met by my buyer’s claim that he had “researched the domain market” and that similar domains would sell for approximately $4,000.
At that point, I waited a few days, then provided them with a short but specific list of domains that were sold at consistently higher prices, ranging from low five figures to six figures. I provided this information in a manner that displayed my knowledge of the domain market.
Furthermore, I explained the intrinsic meaning of the acronym, as a further analysis of maintaining a large buyer audience; this put my buyer on the spot to make a decision for the domain, although he was “examining alternatives.”
The myth of such alternatives can only be dispersed by the seller’s firm but explanatory description of why this domain is best suited for the task. Essentially, when selling a domain name one is acting as a brand creator, a salesman and a customer of the eventual brand. I did all three in a manner that encouraged my buyer to consider my asking price very seriously.
I did offer a discount at that point, as an indication that I’m flexible, yet not bending over backwards over the sale. My buyer came back with a counter-offer, very close to the price I felt comfortable selling at, and the deal was finalized.
The rest of the process involved going through Escrow.com which was smooth as expected, and transferring the domain to a new account with Fabulous. The buyer was very happy with the acquisition and stated the following words, that stand out as a great reward in excess of the funds – both to me, and to DNS and Escrow.com:
“Thank you kindly, all seems to be working great. Thanks for the way you handled the transaction.”
For an industry that receives a lot of negative publicity by the media and very rarely flaunts words of appreciation, the buyer’s satisfactory comments were remarkably positive, and a great reminder that domain investing is a business on the verge of a global expansion.
CONGRATULATIONS is in order, Acro!
I hope to see the release of the domain name soon,if not prohibited by NDA; it helps to know the name.
Congrats on the sale! Inquiries for me using DNS have been fairly regular but no sales yet after 1 year. It’s still a great system and if a sale is to happen, it will happen there. Will you get to reveal the domain name and price in this transaction?
Congrats – interesting to hear how these sort of sales materialize.
Domenclature – Thanks. The name isn’t under NDA but I don’t have reasons to disclose it; the ccTLD is available and disclosing the domain & location of the buyer would potentially hurt their plans with the domain.
Rob – Thank you. I’ve had several mid to high four-figure sales at DNS, and this one topped the cake, right in the end of October. Sales averages are much higher than when I was at Sedo, and did I mention: no commission to be paid! 😀
Leonard – Thank you very much; I’ve learned a lot from sales that did not materialize! 😀
I’m curious about your thoughts on what DNS has added to the mix to help you close the eventual sale.
Congrats on the sale ! Good to know you moved your buyer from mid 4 fig to 5 🙂
Interesting you’re not willing to disclose the domain, especially given your rationale is completely unbelievable. Your buyer spends 5 figures purchasing your domain and does not spend 9 dollars to register the ccTLD that may be of value to them? One has to question is this a recount of events or an infomercial. The latter seems more likely given the details provided.
Congrats on your success. I use the DNS sales team brokers who handle lots of inquiries (far more than I would ever imagine) thanks to the fabulous and powerful DNS platform but unfortunately a disappointingly low number of actual sales as a percentage.
The few sales may be due at least in part to current slow resale market conditions caused by all the the new tlds coming out soon. In fact, some potential buyers indicated that concern when they inquired or upon follow-up.
Do you feel by acting as your own broker you can do better with more sales vs hiring the DNS brokers or using their recommended outside brokers? If so in what ways, such as phone calls or more personal contact, etc? Please explain.
Adam – I already pointed that out in the second group of bullet points. DNS provides an additional wrapper of authority to manage your sales directly, or through a broker.
Sakis – Thanks. That move is consistent with my mantra, “if you don’t ask, you don’t get.”
Real Deal – It’s an infomercial alright: about how doubting Thomases like you, attempt to ruin it for the rest of us.
David – Thank you. In a recent article, I described exactly how the DNS brokers bring value to the overall experience at DNS. Personally, I prefer to handle most inquiries by self-brokering, assigning some selectively. I use DNS and Domain Guardians.
Congrats on your sale and thanks for sharing. DNS is great platform for listing and selling your domains. They are consistently making improvements to bring new features for their partners.
Drinks on you Theo. I’ll be in Vegas for Affiliate Summit and you’ll be buying drinks. 😉
Wish you’d disclose your sales some bro!!
Well done. I particularly like your professional selling attitude.
Good domain buying points and congrats on your grand sale.
Congrats on this sale. It’s difficult to believe all that you say about DNS in this post but it’s also heartening to read because it shows just how much Frank is willing to do to ensure that some domains actually do sell over at DNS each month.
AbdulBasit – Thank you. I agree with your findings on constant improvements.
Jason – Beer’s on me then.
Andy – I disclose as much as I deem necessary to explain how things work in this industry. But I sent you a message!
Kassey – Thank you, much appreciated.
Irfan – Thanks. I try to share useful information, once in a while. 🙂
Savio – Thank you. Believe me, I never fluff things up, even if you disagree with me or how I say it.