Site Flipping - Investments That Pay Dividends (Part 1)
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by: SmashMasterson
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Domain names have never really been the most sought after investments and that goes for Marketers too. Domain investing has never really been properly understood and the outlying factor that seems to turn people away is the understanding that accidental traffic will be the only visits the site gets, meaning that you can't really expect to make much in the way of profit.
The importance played on domain names has never been very high as most people including myself thought that for example that PokkyBoy.Ws was as good as Property.Com if they both had identical content. I have recently discovered that this is just a myth and I will start to reveal all with just a few questions on the subject. Firstly Would you consider Google.com or Cellphones.com to be the the most valuable domain name, but strictly on a valuation basis?
I expect most of you have answered Google.com as it does stand out just a bit, but incredibly it is not the correct answer and this is why. Google is as we know just the brand of a search engine and it is not very often used as a keyword. The important thing that comes out of this is that when you own a domain name, you have total power over your keyboard.
I have several domains like Google.com, all cute, super fun-to-say, and memorable, but with no real definition. None get more than a few visitors a month - accidental, random traffic, at best. And since "Google" doesn't historically mean anything, there's almost no way to monetize a name like that without millions and millions of dollars worth of branding, and years of reputation building. At best, a domain like Google.com - but with no existing name recognition - might earn a few dollars a year in click revenue and sell for a few thousand at auction.
But what if you owned CellPhones.com? How many visitors would you get then, and what might they be looking for? Welcome to the wonderful world of type-in traffic, also known as direct navigation. Based on established type-in click-through metrics for the domain industry, and my own personal experience, a domain like CellPhones.com probably gets between 3000 and 5000 type-in visitors a day or about 125,000 visitors a month. (Find out more in part 2)...coming soon.
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