Domain flipping can be very profitable for some people, that others made a career out of it. Domain flipping is the process of purchasing a domain name with the intent of quickly selling it at a significantly higher cost.
This business is very much similar to house flipping, where a home is purchased and fixed up to be sold later for a quick profit. But, unlike house flipping, the domain flipping is less hassle, because there is nothing more to be done with the domain name to increase its value.
The key to be successful with this business is being in the right place at the right time so you acquire a valuable domain name before it is given a premium price. Here is how to do it best
Find an available domain name
Register the domain name
Find a buyer
Create a landing page
Sell the domain name
Many people think of domain buying and selling to be one of the easiest methods of making quick money. Perhaps, you may have heard of someone buying a domain name for under $3000 and then selling it for $25,000. A quick $22,000 profit! Such stories can be very motivating! But these deals don’t come as easy as they seem! Ask anyone who flips domains for a living and he/she’ll tell you the amount of hard work and skill that goes into it.
All good domain names are already taken. You can still buy two word or three word domain names incorporating your target keywords. Moreover, there are millions of domain names out there which haven’t been used at all and are bound to expire soon. All such domains keep coming back to the domain marketplace. What more, there are useful tools available to research and filter through such expired domains.
Nowadays, a large majority of domain flippers are well aware of the risks involved in owning trademarks related domain names. So they stay away from them as much as possible. Domain names have been on sale ever since the Internet revolution began during the 90s. Just because some entrepreneurs had the foresight to buy profitable domains before the rest of the world caught up with the trend, doesn’t make them domain hoarders. Domain names are just like the real estate sold in the off-line world. Anyone is free to buy/sell as many properties as one likes if his/her means permit.
Social profiles are bound to replace the domain names inevitably. Some people in the advertising and marketing industry have expressed fear that considering the way social networking portals are taking over our lives, businesses will soon operate from these websites and stop building their own websites altogether. Although such fear is justified to a certain extent, if looked at thoughtfully, the benefits offered by an independently hosted and controlled website far outweigh the promise held by social profiles.
On the contrary, the boom in social networking portals has resulted in people investing more and more money in independent websites. The former is actually playing an important role in directing traffic to the businesses’ self-owned websites. One can be successful at domain flipping by hand registering domain names and then quickly selling them to the end-users at huge margins.
Flipping domain names is an active trade that requires your complete time and attention. Anyone who thinks that he/she can just buy a few domains, list them at the popular domain buying/selling portals and watch the money flow in, is highly mistaken.
The term flipping implies a sale that is done in a flip, or in a quick and sudden manner. You cannot be considered a domain flipper if all you do is just list your domain names and wait for years for them to sell. At its core, domain flipping is about spotting the right opportunities at the right time, involving strategic buying and selling of websites for profit.
Furthermore, selling domain names involves networking, people skills, marketing, research, negotiation skills and much more. Unless you strengthen all these areas, you may not make a lot of money from domain flipping.
It is said that it’s difficult to earn online. While it may sound true to you, it’s not always true. I have personally made pretty enough money from my online activities as well as flipping domain names. Don’t think small. Think bigger than what you can imagine. If you can dream, you have the ability to make it a reality as long as you have a burning desire.
Domain flipping is a business that can certainly bring you some quick money. But for a better and much bigger business model, you need to invest your time and learn the best strategies to be a winner. One of the easiest ways to make money online is by buying something for a low price and selling it for a higher price. It is even better when you don’t need to pickup or ship a product.
Every website has a domain name – and the choices are very limited with .com, the most popular domain name. As a result, you have to look at other domain names, and there are many, from .net to .me to .ltd and more. You also have domain names by the country or by the type of organization (.org).
Knowing what people might be interested in the future could just help you zero in down the right domain choices.
And people have got rich by doing just that. Consider this:
- Insure.com was sold for a whopping $16 million in 2009
- Privatejet.com was sold for $30 million in 2012
- Vacationrentals.com got sold for $35 million in 2007
If you are a novice domain flipper, then you should keep your budget low till you become more experienced in the tricks and strategies. Invest your time and energy in purchasing profitable domain names and then choose the best buyer or else you might face losses. Do not let the right opportunities slip away. Research and negotiation skills will help you.