Buy and Sell Domains, How to Earn Good Profit with Domain Names

Published: 12 Aug, 2023

Who doesn't want to make a good profit in business? Everyone does! But sometimes people make mistakes and end up in trouble. This happens in the business when you buy and sell domains without guidance.

Buying and selling domains also called domain flipping is a cool business that you can do from home using the internet. If you're new to this online business, there are important things you should know:

• The best places to buy domains.
• Where to sell them.
• How to transfer a domain to a buyer.
• Deciding the right price to sell domains.
• Watching out for trademark issues when buying and selling domain names.

You don't need a lot of money to start. If you want to make more money online, consider buying and selling domain names. You might have heard stories about domains bought cheaply years ago and now being sold for millions. Sounds exciting, right?

But it's not easy. You might struggle to make money and end up wasting time and money on the wrong domains. To succeed, you need a plan or guide to run your business well.

Here are 5 tips to profit from buying and selling domain names:

• Focus on a specific area.
• Look for names that are really valuable.
• Check if a domain name is available.
• Decide how much a domain could be worth.
• Make your domains visible to the public.

Let's take a closer look at each tip.

1/ Narrow Down Your Focus When Choosing a Domain Name

When you're looking to buy a domain name, you'll notice that there are a ton of domains already registered and many options for new domain extensions like .ai and .app. This can get overwhelming, especially with so many choices available. If you're planning to sell domains, it's smart to limit your focus.

Start by considering what you already know well. Do you have knowledge about pets, cars, homes, education, healthcare, or something else? Pick a field you're familiar with as a starting point.

Here's what you should avoid doing:

Don't target potential buyers solely based on their income level without understanding the industry.

For instance, you might think that selling domain names to lawyers is a good idea because they tend to do well financially. However, if you're not familiar with the legal field, you might miss important rules set by organizations like the American Bar Association that regulate legal advertising. This means the domain names you sell might not be useful to your target buyers.

Stay focused on fields you know well. Your success will be much higher if you stick to what you're knowledgeable about, rather than buying domains in industries you're unfamiliar with.

2/ Finding Valuable Domain Names: How to Choose Wisely

 

When you're looking to buy domain names, it's important to make sure they'll actually bring value to the buyer. Imagine you're the buyer and someone is offering you a domain name – would it truly benefit you? Ask yourself these questions honestly: If it would be beneficial, why? If not, why not?

Let's go through a real example.

Imagine you know a lot about the cosmetics market and you come across a discount offer for a domain like cosmetics.com priced at $100. This deal might seem great, but only if the online store selling cosmetics is successful, has a lot of competition, and cosmetics are in high demand. Consider these points:

- How much profit does the store owner make per product?

- What domain names are your competitors and other retailers using?

- Are they investing in advertising? If so, how much?

- Will the chosen domain name help them establish authority in the market?

If you can confidently answer these questions and have a deep understanding of this specific niche, then you'll know whom to approach and how to convincingly show them that the domain will contribute to their business growth.

3/ Finding Available Domain Names: Your Step-by-Step Guide

 

Now that you've narrowed down your options, let's see how you can find those domain names. The first thing to do is check if the names you're interested in are available for purchase as new registrations.

If those names are already taken, don't worry. You can explore the aftermarket, where people who currently own the names might be willing to sell them. You can also find domains that have expired on ExpiredDomains because their owners no longer plan to use them.

To make your search even easier, take advantage of the Domain Name Generator. This tool helps you refine your search for the specific names you want. You can narrow down results by factors like price, top-level domain (like .com, .net, .org, .club), keywords, and more filters. This way, you can quickly sort through the many domains available in the aftermarket and find the perfect domain names that align with your goals.

4/ Determining Domain Name Value and Pricing: Your Essential Guide

 

When you've chosen a name, the next step is to figure out if the price is reasonable. To do this, you can start by entering your chosen keyword and using some special tools to find a list of similar names. Check out the prices these names were sold for and when they were sold.

It's crucial to price your domains appropriately. You can use three common strategies:

1. Setting the Price: If you're not in a hurry to sell right away, you can set a specific price for your domain names.

2. Auctioning: Follow the auction approach by letting potential buyers bid on your domain, and sell it to the highest bidder.

3. Making an Offer: If you have a unique domain name in a specific field, you can reach out to potential buyers and make offers to those who might be interested.

By using these strategies, you'll be able to determine the right price for your domain and increase your chances of successful sales.

 

Related: Ultimate Guide To Make Money Through Expired Domains: A Beginners Guide

 

5/ Getting Your Domain Names in Front of Buyers: A Simple Guide

 

When you're ready to showcase your domains for potential buyers, there are a few things to consider. Before you post your domains, keep these points in mind:

Is the Platform Trusted and Well Known?

Make sure the platform you're using is trustworthy and well-known. You want to be confident that you'll get paid, and the buyer will get the domain they paid for. Choose platforms with good ratings and recognition from trusted sources like the Better Business Bureau or a reputable government licensing organization. This helps build trust in your domain selling brand.

Is the Distribution Network Popular and Strong?

Getting your domain name in front of the right buyers is crucial. List your domains on a popular distribution network to ensure they're seen by millions of potential buyers each month.

When selling domains, it's important to approach potential buyers who could benefit from the domain name. Reach out to them and discuss if they're interested. Avoid sending spam emails; instead, engage in meaningful conversations with those who would genuinely appreciate the opportunity to own the domain.

Remember, selling a valuable domain name to the right buyer is more important than just making a profit. Imagine finding a treasure map and using it as decoration instead of following it to find the treasure. Similarly, your domain's value is best realized when it's in the hands of someone who sees its potential.

Additional Learning Resources

As you venture into domain reselling, there's always a learning curve. Seek advice from those who've gone before you, participate in online forums, stay updated on industry trends, and reach out to support teams for guidance.

Attending conferences can also provide quick knowledge boosts and networking opportunities with fellow professionals. These events give insights into industry tools, services, and vendor offerings. Gathering knowledge this way will help you make smarter investments and get the most out of your time and money.