Have you been hearing a lot of people boasting about how much they make online? Do you want to start making cool money online? If yes, then this article is for you.
We will be looking at another superb way of making money online known as domain flipping.
What really is domain flipping?
Domain flipping is the act of buying domain names at a cheaper rate and selling it at a price much higher than the buying price. For some people, this domain name would sound so foreign to them and they would want to know what it really means.
What is a domain name?
A domain name is just an address on the internet that directs someone to a website, blog or forum. It is like the physical house address that enables someone to find a house in real life. It is the house address of a website in simple terms.
How profitable is domain flipping then?
This business is a very profitable one in that there are thousands of successful domain flippers. Some domains have been sold at prices you cannot imagine.
Some examples of such big sales include;
1. Casino.com at a price of $5.5 million
2. Diamond.com for $7.5 million
3. Sex.com for $14 million
4. Insurance.com for $35.6 million
5. Privatejet.com for $30.18 million
6. Internet.com for $18 million
As can be seen from these few sales, this domain flipping business is a very profitable one.
Can someone buy any domain name and flip it?
From the domain names mentioned above, it can be seen that they are actually names that companies that specialize in certain niches can buy. In domain flipping, you don’t just buy any domain name and expect it to sell at a very high price.
It is important to note also that this business requires extensive study and special expertise to be able to buy domain names that will turn-out to be gold mines.
Here are some useful tips on buying profitable domain names
✓ Do not buy long domain names: it is advised that you buy short domain names that can be easily remembered off heart.
✓ Buy domain names that can be a brand: this is in line with the tip above. Buying short domain names that can be a brand is a very sure way of improving the profitability of your purchase.
✓ Calculate the worth of a domain name before purchase: this is particular for people who buy expired domain names (domain names that were once used by a website but weren’t renewed after they expired).
You can use several tools on the internet that calculates the worth of a domain name to do so. Metrics like page authority, domain authority, etc. should be checked for before purchase.
✓ .com domains are better: although there are other domain extensions that someone can buy, I personally advise that you buy those with .com extension. My reason for this is because businesses will prefer to buy a .com domain for their company instead of other extensions.
The .com extension shows that the business is a commercial one and so, will sell more than any other extension in most cases.
✓ Extensive research: yes, in order to make it in this business, you have to research extensively. Read wide, and gather information from successful domain flippers. It is very easy to lose money in this business and so researching extensively will make increase your chances of making profit.
✓ Buy domain names that are specific: this might sound strange for a beginner. In the internet world, a term called keyword plays a very important role in SEO and also in determining the success rate of your domain flipping venture.
From the domain names above, it can be seen that each of them relates to one thing. Buying domain names that are keyword specific will increase the profit to be made from such domain names.
Where can I buy and sell domains?
There are a number of sites where you can buy domain and sell domain names on the internet. They are all good and so, I don’t have anyone that I would say is better than the other.
Some of these sites include:
✓ Flippa.com: flippa is rated as the best place to buy and sell domain names and websites on the internet. It boasts of over 800,000 registered buyers, about 5000 businesses listed daily on the website and also, a whopping some of $196,038,405 transacted on its platform.
On flippa, websites, apps and domain names are sold daily. You can leverage on the info provided by sellers on the platform to get ideas of the type of websites and domain names that sell and then start creating yours also. It is a wonderful place to learn not only about domain flipping but about starting up an online business that will be very successful.
✓ Ebay.com: ebay as we all know is one of the world’s largest auction website. Domain and website buying and flipping is one of the services they offer and has recorded great success when it comes to domain flipping.
✓ Sedo.com: this website not only allows buying and selling of website and domain names. It also provides domain parking services (the act of placing ads relevant to a domain name that is not pointing to any website). In my next post, I will be discussing domain parking and how you can make money from it.
Sedo boasts of over 2 million registered customers across their wide range of services, 18 million domains for sale, over 700,000 domains sold since its inception.
What then are the steps to be taken from buying a domain name to selling it?
This is the major section of this post in that it will be of no use if I ended this article without writing about how to go about the process.
Below are the steps to be taken:
✓ Research about the domain name: I have earlier stated that it is very important to research about the domain you wish to buy before buying it. If you are going for a new domain name, then you should consider if it is keyword specific but if it is an expired domain, then the page rank and domain authority should be considered.
✓ Buy the domain: after thorough research, you can then buy the domain name.
✓ Remove the WHOIS protection on the domain: WHOIS protection is a service that hides the details of a domain name. Some of these details include the name of the owner, contact info of the owner, etc.
Removing this protection will ensure that anyone that is interested in having the domain can easily contact you even when you haven’t listed the domain for sale.
✓ Auction the domain name: when you think the domain name is good enough for sale go to any of the websites mentioned above and auction the domain name at a price that you think is good for you. After this, then wait for a buyer to bid for it and then, you will make your profit ASAP.
Having discussed domain flipping and the great potential it has, the ball is now on your court to decide whether or not to venture into this lucrative business.
It is advised that you take up courses on this in other to be proficient enough. Reading extensively is also a plus for you.
Want to share any tip or trick that can help a newbie or have a question to ask? Do so using the comment box. I will like to hear from you