Being a domainer and a developer, it is natural for me to invest in domain names and develop them into websites or minisites. The trend for domainers is usually to develop their domain names and then wait it to get traffic and age, and resell them later on which is called “Flipping”. Here are some tips on how you could do it…
Get a great domain name
– Make money with brandable domain names –
Although development allows brandable domain names to be valuable, make sure to get a short and easy to remember domain name. What’s important is that people will remember your domain name right when you tell them (especially over the phone). What’s recommended is using generic domain names as it has more SEO points.
Develop Traffic
– Focus on getting visitors to your website / domain name –
Develop your website into something that will gain good traffic, whether it is a minisite or a full website. From here, build up backlinks thru directories, forums, social networks, blogs or other websites that is closely related to your domain name or website concept. I recommend to closely hit the keyword that matches your domain name to gain higher search engine rankings quicker and therefore pull in more search engine traffic.
Get your reports ready
– Show your Visitor Statistics / Analytics –
Make sure to prepare your Google analytics or any other similar analytics report that would be used as proof to the potential buyer on your domain name. You need to show how many unique visits you get each month. If you’ve built forums or community type of websites, then you could also highlight your member count which could raise the price.
Generate Revenues
– Increase your earnings –
Although this is not the most important thing when developing a domain name / website, it is still important for you to understand its earning capabilities and show it as proof to the potential buyer to justify your price. As a general price guideline, they normally calculate is by multiplying the yearly advertising revenues by 2 to 10 times which is the price that it’s going to sell for.
Note: I have yet to sell a domain name / website, I’ve received offers but I did turn it down as I do have bigger plans for it. These factors were questions that were asked by investors who wanted to purchase.
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