For people not following the aftermarket domain name industry, the closing prices of the domain names Connect.com and NTFs.com might come as a surprised. However, for those watching the change in attitude by corporations and venture capitalists, the prices seem low.
Companies now realize that a domain name can make or break a project. They know that a dotcom domain (.com) is the ultimate premium and in general, successful people follow the pattern of other successes and that wake up call is driving prices higher and higher.
The good news for buyers is that the majority of domain sellers haven’t updated their pricing in years and if they have it listed as a buy now domain, buyers can get the name without triggering an updated price from the seller.
Buyers also have a higher chance of getting 100% approved financing by sellers. The Dan.com platform was recently acquired by GoDaddy and a lot of premium domain owners allow payment plans via the Dan.com platform. For companies not sure about a project, they could buy a six figure name using a payment plan and if their idea fails, they could stop making payments and move on.
We found that the majority of times when people prefer to go with low quality domains, or worse, domains in extensions that are not dotcom, it comes for bad advice and a refusal to follow what successful companies do. Obviously people have a bias when the price of something is above what they were expecting.
Ask yourself if the cost of investing your serious efforts, sleepless nights, money and creativity is worth doing if the foundation of your company is built on something low quality.
The job of a domain broker is to try to figure out how to acquire a name on terms you can be happy about. Most domain brokers charge no upfront fees and only make money if they manage to get you your domain.
If you are confident in your idea, you have to give your idea a fair chance. You want to hire quality designers, developers, marketing experts and you want to built it all on a strong foundation, a quality domain name.