How to Profit with Domain Name Speculation

Domain Name speculation has become big business. According to recent study, the average domain name bought and sold by domain name speculators realized a 377% profit. In addition, the average domain name was sold in 12.5 months.

Domain name speculation involves finding domain names that appear valuable, and waiting with the domain in hopes that someone will want to purchase it in the future. With a great domain name like business.com, this can yield huge returns. Business.com was sold for over $7 million!

When domain name speculators buy a domain name, they generally put up a page indicating that the domain is for sale. This becomes a sort of free advertising, whereby someone interested in that domain name will naturally check out the site to see if it is a competitor, or if the domain can be purchased.

But selling the domain is not the only way domain name speculators make money. In addition to advertising that the page is for sale, most domain speculators park their domains with a domain parking service. These services store a simple website for free, and place content sensitive advertising on the parking pages. They share advertising revenue with the owner of the domain. In this way, domain name speculators get free website hosting for their domains, along with occasional advertising revenue.

There are important considerations that must be taken into account before embarking on a domain name speculation career. While it is always advisable to purchase any really high quality domain name available, actually making a stable income from domain name speculation can require significant resources. It will cost a considerable amount to purchase the domain names necessary to make a stable income, and it is certainly no get-rich-quick opportunity.

As a domain name speculator, you should carefully analyze the domain name registrars and communicate with them about bulk purchasing opportunities. A domain name speculator will be buying many ? perhaps even hundreds ? of domain names daily, and should therefore find the best discounts on domain names. Many registrars will allow for domain names to be purchased in bulk at substantial discounts. Taking advantage of these opportunities will likely be the difference between success and failure at this type of enterprise.

Deciding which domain names to purchase can be challenging. It is very difficult to find high quality .com names. But don't rule out country-specific extensions. As countries get their own extensions, a new world of high quality available domain names is opened up to speculators. New top level domains are being created all the time, and most recently a .jobs domain name was created. A name like computer.jobs could prove very valuable in the long term.

While a lot has been mentioned of purchasing names like Mcdonalads.com, this practice is not particularly productive. Trademark laws allow corporations with trademarked names to take domain names that violate their trademarks. So rather than getting a big paycheck for registering a company's trademarked name, you're likely to be served with a lawsuit demanding you forfeit the name to them.

Domain name speculation should be viewed for what it is: an investment opportunity. Like all investments, the returns will be predicated on the wisdom and decision making skills of the investor.

Rex Ryan maitains the website:

http://www.domainnamesnews.info

---

Domain Squatting Explained

The one thing that annoys me most about the topic... Read More

Is Your Domain Name On Someones Wanted List?

A good domain name is, and will always be, essential... Read More

Domain Names - How to Choose, and Register One

What is a domain name?A domain name is the address... Read More

Selling a .co.uk Domain Name via Sedo

Selling a .co.uk Domain Name via SedoThis is a recent... Read More

E-Business: Domain Names - Bad Faith

Ian McMillan registered the internet domain name TrivialPursuits.net and won... Read More

Instant Traffic Using Expired Domains

Every day thousands of domains 'expire' and are put back... Read More

How to Register an Expiring Domain

Understanding the process and options involved with registering an expiring... Read More

A Little Secret About Public Domain Treasures

I bet this little secret is going to get YOU... Read More

Dot Com or Dot Net, Which is the Best Domain Name to Settle for?

When seeking domain names most people get confused over whether... Read More

Public Domain - Internet Gold Mine

With the advent of the internet and the ease of... Read More

ICANN or I CANNot that is the Question

Well, it seems we should all be very busy registering... Read More

Investing in Great Domain Names when They Come for Sale

Domain names are not just online identities anymore they are... Read More

Get Your Own Domain Name Or Die Online

Would you buy from someone with an "@yahoo.com" e-mail address?... Read More

Public Domain Works Are Closer Than They Appear

Searching for public domain works can be a tedious job... Read More

How to Sell your Website

There are hundreds and thousands of websites on the internet... Read More

How to avoid copyright infringment in your domain name

One of the most important aspects of choosing a domain... Read More

.info Freedom Frenzy

Whether you're someone that registers domain names on a regular... Read More

Domain Name Trademarks

As your Internet business grows, the value of your domain... Read More

How to Conduct a Domain Name Search and Why Your Domain Name Matters for Long Term Branding

Creating a website is not just about designing your pages... Read More

What is Domain Name Backordering?

Domain names are the hottest net-real-estate on the internet. It's... Read More

How Do I Get My Domain Name Appraised?

What's your domain name worth?Perhaps it is better to ask... Read More

Its Raining ccTLDs

By now you've probably noticed the onslaught of unfamiliar domain... Read More

Domain Name: Why Do You Need One Anyway?

I come across sites all the time that are obviously... Read More

Think All the Good Domain Names are Taken?

Have you heard of the other tlds (top leve domains)... Read More

How To Make Great Money Part Time Buying And Selling Domain Names - Part One

This truly is the business to get into in 2005.... Read More

WhyYouNeedThatPerfectName.com!

"What's in a name? That which we call a rose,... Read More

Domain Name Registration and Privacy

The internet is a wonderful thing, except for a few... Read More

Expired Domains Explained

It is annoying to find that you have a great... Read More

How To Boost Affiliate Profits Using Secret Domain Tricks

Want to increase your affiliate link click-through rates and profits?Then... Read More

Choosing a Domain Name - One of the First Stops for Your New Website

So, what is a domain name, or simply a domain?... Read More

Internet Domain Registration ? Top 10 Most Frequently Asked Questions on Domain Name Registration

Here are the top ten most frequently asked questions regarding... Read More

The Growth of ru-Domains

The registry of ru-domains reports, that the number of domain... Read More

8 Tips for Choosing a Domain Name

If you're just starting out on the Internet, choosing a... Read More