Over the last few years I’ve had countless articles about domain auctions and their inability to add “sweet spot” domains to their live auction list. By sweet spot I mean domains that would sell in the $2 to $5K amount and draw multiple bidders due to their low entry point. While there is no doubt that the bills are paid by the 6 and 7 digit domain sales, I believe they can get rid of the “friends and family” domains off the list and swap them with some lower priced, more attractive names.
Let’s start with the positives. Their are some fantastic names in the DomainFest Live auction. Let’s look past the reserves and just look at the quality of names. Data.com, Social.com, Suv.com, Skills.com, Diamantes.com and AutoRacing.com. All names that are certainly worth hundreds of thousands of dollars and with the right clientele could easily meet the reserves. It’s the kind of names that people are going to build million dollar businesses around and are worth investing the higher capital in order to make the brand stand out. Everyone will remember social.com, it’s certainly a million dollar name. Five million? That’s a decision for someone else. My decisions stop at three million. Now let’s look at some of the names that are wasting space and only there as favors.
I could be wrong but there are a few names in here that look very out of place in a major live auction. Names like ETCQ.com, ilounges.com, seoagencies.com, pilsners.co.uk, TourFinland.com, and xsws.com. Then there are the names that are unusually high priced for their quality that could be replaced as well. Two that stand out for me are twitrbackgrounds.com at 100-250K reserve and SpeedPPC for $250K to $500K. Perhaps I am missing something, but I don’t see this level of value in either name.
The job of building an auction is difficult, but there is no doubt in my mind there will be 50 names on the extended list more deserving and more capable of generating sales than the names listed above. I do realize that in order to get some of the top names the owners will often ask that another of their names of lesser quality be thrown in the main auction. A kind of two for one deal that’s necessary to get the six digit domains on the block. Perhaps this is what is happening at many of these auctions and that is understandable. All business has these types of deals. I’ve had to do a few favors in order to get a few favors. I’d just like to see a few more domains for people such as myself. A person looking for a quality $2 to $10K domain. Every auction I’ve seen except Domain Roundtable leaves those to the extended auctions. I’ve also noticed that auctions involving Adam Strong seem to have more of these types of names as well. Adam seems to get the value of these names. They may not have pay the bills value, but participation value. And I think you need both.
Disclaimer: I have no names in the auction nor is Oversee advertising on this site. I will also not be bidding on the names that I discussed in the article to prevent the appearance of driving prices down to buy them cheaper. AND I think the guys at Oversee do an incredible job with the conference and highly recommend you go.