Everyone has to start somewhere when it comes to investing in domains. Sites like namepros is a great resource for beginners and experts alike. Before you decide to buy a domain, you should look at some of the common mistakes beginners make before purchasing your first domain.
- Not all premium domains are premium – The word premium is used a lot in domain auction/selling sites. While they call all these domains premium, only a small amount of domain names are premium.
- Valuation tools – Tools like Estibot are a great resource in getting an idea on what a domain name could be worth. While Estibot is a great tool when it comes to valuation, do not expect it to give you the exact value of a domain. There are many factors in why a domain might be worth more or less that an algorithm will not be able to calculate.
- Trying to sell a domain when it is registrar locked – New domain buyers might not be aware that editing the registrant information will locked their domain for 60 days. This system was put in place to help prevent a hijacking of the domain. In the event that it is hijacked, the registrar will be able to retrieve the domain.
- Do some research before buying a domain – There are a lot of tools out there that can be use to find information about the domain you plan to buy. You might want to use some SEO tools to help you evaluate the value of the domain.
- Do not hide your Whois if you are planning to sell the domain – If you are planning to sell a domain, it might is better to leave your whois information unhidden. When your whois is unhidden, it will allow a potential buyer to see your contact information and possibly negotiate a sale.
- The hype of new TLDs – There is always a lot of hype behind new TLD and their potential. While some TLD see moderate success, a lot of the new TLD fall flat. You should always do some research before buying into a new TLD.
- Auctions – When you are selling a domain through an auction, you should always include a reserve price. You do not want your domain sold for less than what you hope to get out of it.
- The length of a domain name – You should be careful when choosing a domain name for yourself. Your domain name can contain words like Doctor, and Dentist, but do not go for something too long. For example, cosmeticsdentistinmanhattan.com would be too convoluted to read or remember.
- Avoid Typosquatting – Typosquatting is a form of cybersquatting where the individual relies on a typo to get clicks on their sites. These websites would attempt to deceive and take advantage of the unknowing user. Websites like Twtter.com and wikapedia.com were both fined for $156,000, so it is in your best interest to avoid typosquatting.
- Park all your undeveloped domains – Parking your domain is not going to make you rich over night, but it is still a great way to make some money out of your unused domain names. Checkout our list of parking websites before making a decision on which parking company to use.
If you have any questions please feel free to leave a comment on or use our contact page.
I don’t think that domain valuation tools is ever going to help on getting idea on the worth of domain names. I have a question, how do you differentiate premium domain names with other domain names? I think you missed something, buying or registering trademark infringement domain names.
Premium domain definition is very subjective. One domainer could say premium is only a .com with one word (present tense of the word cash.com vs cashed.com) and is worth more than x number of dollars. Another domainer could say its the price he sold his name for. Bankaholic.com is not a common one word name its actually a made up non dictionary term but sold for $15 million. FB.com is much shorter and sold to facebook for half as much ($8 million). At the end of the day any domain is only worth what someone is willing to pay for it. Length or tld or keyword are only parts of an overall pie of valuation. Before china investors starting investing heavily domains with numbers were worth much less now because they are used as short hand for words 88 means bye bye they are worth much more. The meaning of premium will never remain the same and will always have different meanings to different people.
Yes buying trademarked names is also a common mistake made by new domainers. We have addressed that in this article