Don’t Overpay for Domain Names: The Importance of Patience in Domaining
We’ve all been there. You’re scrolling through domain drops and auctions, feeling a little discouraged because it’s been a slow week. Then, you see a promising name with a nice ending that’s expiring that day. Since you haven’t bought much lately, you start convincing yourself that the name is better than it actually is. You get into a bidding war with another buyer, and before you know it, you’ve “won” the auction for 5x or 10x more than you originally planned to spend.
Or maybe you get into an ego battle over a name and end up paying way more than it’s worth. Then, two days later, you see a handful of amazing names that you can’t afford to bid on because you blew your budget on that one overpriced domain. Or, you spend too much on a bunch of mediocre names, only to see a broker’s newsletter advertising a single, superlative name that you could have had if you’d just been more patient.
One of the most overlooked aspects of patience in domaining is when it comes to acquisitions. Every domainer has financial constraints and needs to make sure they’re getting the most out of every dollar they spend. There’s no way to predict what names will be dropping or expiring next month, or even next week, so it’s crucial to avoid overspending when things are slow.
We all know the saying “buy low, sell high,” but for those of us in the brandable domain space, I’ve always felt that if you can buy low, you’ve already won half the battle. Sure, you haven’t “popped the champagne” until you actually sell the domain, but if you’re confident in your buying strategy and have a good track record, you know that day will come. Whether you need the cash and flip it for a quick 2x profit or decide to be patient and wait for that 200x return, you know you made a smart decision when you bought it.
Even if you have a healthy domain budget, you can’t expect to add hundreds of brandable domains to your portfolio every month from drops and auctions. You’d either be overpaying for names or making subpar purchases, neither of which is a winning strategy.
So, the next time you get caught up in an auction for a domain name that you know is overpriced, take a deep breath and step back. Remember, there will always be more names. Take things one at a time. Patience is key to success in domaining.
Here are some additional tips for avoiding overpaying for domain names:
- Set a budget and stick to it. Don’t get caught up in the heat of the moment and bid more than you can afford.
- Do your research. Make sure the domain name is actually worth what you’re bidding on. Consider factors like brandability, keyword relevance, and search volume.
- Don’t be afraid to walk away. If you’re not comfortable with the price, don’t be afraid to let the domain go. There will always be other opportunities.
- Build relationships with other domainers. This can help you get access to deals that you wouldn’t otherwise know about.
- Be patient. The right domain name will come along eventually. Don’t rush into anything.
By following these tips, you can avoid overpaying for domain names and increase your chances of success in the long run.