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DomainName.com Executive Summary Available

In an effort to keep up with all the questions and answers, we have compiled an executive summary that covers the name, the property, the backend and more. Prospectus/summary highlights include:

- Registrar info

- Revenue

- Backend

- ICANN

- Auction Details

- Payment

- Financing

- Maintenance

- Analysis

Again, this is a compilation of all the relevant data interested buyers have been asking for since we announced the auction. We hope it will answer most of the questions floating around in the ether.

Prospectus is available to pre-qualified bidders only, please contact mike@domainconsultant.com for a copy.

Only a few more days…

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U.S. Court Rules Against FCC and Net Neutrality

A federal court threw the future of Net neutrality into doubt when it ruled in favor of Comcast in a far-reaching decision that could have implications for consumers, the FCC, domainers, publishers and the web as a whole.

The court ruled that the FCC lacked the authority to force all providers to give equal treatment to traffic flowing over their networks. The case, involving Comcasts attempt to block customers from the popular file-sharing program BitTorrent, may also has serious implications for the agency’s national broadband initiative unveiled last month.

Yet it may not be as difficult to overcome as it first seems because part of the issue is that the FCC classifies broadband as a lightly regulated service. So one answer would be to reclassify under the more stringent ‘telecommunications’ service heading.

Stay tuned, the Administration has, fortunately, made the Internet a top priority in terms of security, coverage and availability so I see no reason why that would change going forward. This fight will continue and evolve.

Full story here: US Court Rules Against Net Neutrality

For Your Consideration: Some of Our Picks for DM2

Of course there is a bias involved but I believe those who know us would tell you we shoot straight – we are domainers after all, buying and selling everyday like the rest of the community we love so dearly.

And so when we put together an auction catalog, we are acting as domainers, as ourselves, looking for names that have short AND long term value because we understand from experience that there is no better place to put your money than in something that will produce a double return once the end-user surfaces and pays.

So for the DM2 Auction, we have some personal favorites and thought we’d take the opportunity to highlight some of them, explain why we like them:

Watchmaker.com
We all watches are big business, sometimes running into the tens of thousands. This name could also be a cool brandable like a show or game or software. Love the price, so unique and catchy.

LeatherPurse.com
Super high-end, in-demand product with lots of ad competition. E-commerce/CPA ready.

CameraPrinters.com
We were shocked when this didn’t go in the live. Camera printers are leading the home printing revolution and run anywhere from $100 to $300. Cheap price on this, scoop it up – $7.50 clicks with lots of advertisers.

Holdings.com
Never before seen by the market, there are literally thousands of companies out there that use this term in their name and could end up as an end-user buyer. Works with domains or investments.

VOIPphones.com
Seven dollar clicks and growing trends make it well worth a double look. Term ‘voip’ continues to grow in awareness and usage, this is an ‘emerging’ domain that could eat up CPA too.

Segment.com
Terrific one-worder with huge brand potential for markets or stats or analysis or even health care.

Possum.com
It’s just frickin’ cool – a nasty little price on this name for a ferocious creature that could literally serve as a brandable for just about anything you can envision.

RealEstateAuction.com
Domainers should note that no name in the inventory (besides CamRoulette.com) has received more attention than this domain the market hasn’t had a chance to grab before. Could pay for itself with a single auction plus the timing is right to buy, won’t be this inexpensive again. Has a standing offer on it too.

AskingPrice.com
Another name getting lots of looks partly because of the excellent price. Asking price is the glossary term for stocks, bonds, equities as well as other commodities.

CareServices.com
Top phrase for a HUGE and growing industry sector that includes kids, pets and the elderly. Our research opened our eyes to the sheer size and scale of the ‘care services’ industry. Take another look!

Enlargements.com
Someone would have to be nuts not to grab this name: enlargements of all kinds are, and have always been, easy to sell. And now you can get over $200 for a single enlargement sale. Combine this name with some content and SEO and it’s gold. Refers to both breast and pen-ile.

Magnolias.com
Brandable AND product domain. We found tons of businesses called ‘Magnolias’ all over the map: Magnolias Spa, Magnolias Bistro, Magnolias Florals, and on and on. And of course there is the popular flower. Great opp to grab a generic gem at a killer price.

BabyBoomer.com
Singular term for one of our largest generations, yes, but did you know they date online? Baby boomer services from dating to groceries to medication and insurance are available as revenue generating sources.

Music.net
Folks, this is a great price on what is essentially one of perhaps the top ten .net’s in the www world. Don’t miss this chance to grab an 800 lb. gorilla in the search realm and beyond.

eTV.com
MEC.com is nice but for essentially the same price, I’d rather have this amazing three letter domain. Could be huge with the coming 3d TV craze – they won’t be cheap!

BitterMelonExtract.com
Domainers should be tripping over themselves to get this domain after researchers recently found that it attacks breast cancer cells. This is the exact product name with tons of ads and a price that won’t last as word spreads.

SocialMediaDesign.com
Boffo price point on this design gem for the growing social media realm and all the services that come with it – like design and development and templates and scripts, etc, etc.

The DM2 Auction is going on now and ends on Thursday, April 1st as the names close in order. Visit www.domainmadness2.comfor full details. Don’t wait, bid now!

New Study Measures and Exposes ‘Typosquatting’

A recent paper given at the Financial Cryptography conference attempts to parse typosquatting – even going to lengths to identify the main perpetrators.

And the results are more than interesting. Here is the abstract…

We describe a method for identifying “typosquatting”, the intentional registration of misspellings of popular website addresses. We estimate that at least 938 000 typosquatting domains target the top 3 264 .com sites, and we crawl more than 285 000 of these domains to analyze their revenue sources. We find that 80% are supported by pay-per-click ads often advertising the correctly spelled domain and its competitors.Another 20% include static redirection to other sites. We present an automated technique that uncovered 75 otherwise legitimate websites which benefited from direct links from thousands of misspellings of competing websites. Using regression analysis, we find that websites in categories with higher pay-per-click ad prices face more typosquatting registrations, indicating that ad platforms such as Google AdWords exacerbate typosquatting. However, our investigations also confirm the feasibility of signicantly reducing typosquatting. We find that typosquatting is highly concentrated: Of typo domains showing Google ads, 63% use one of five advertising IDs, and some large name servers host typosquatting domains as much as four times as often as the web as a whole.

Amazing to see that almost a million names are squatting on less than 3500 sites but not so surprising to see that “63% use one of five IDs.” Check out the full pdf report, includes a lot of ideas and names domainers might be familiar with.

Poll: Sex.com vs. DM2 Auction Catalog

The auction, and non-auction, of sex.com got a lively discussion going at DC – which would you rather own: Sex.com or the full DM2 Auction catalog? But, before you answer, it should be noted we are not talking apples to apples or dollars to dollars.

For one thing, there is the cost. If one adds up all the names in the DM2 auction, at starting prices, the total is roughly $5.5 million whereas purchasing sex.com would likely run you somewhere in the $10-$20m range. Big difference.

The next consideration would be diversification. Sex.com is a pretty specific category with audience needs (broad needs) while the catalog would give you varied visitors for birthdays, balloons, movies, etc plus product categories like vampires, strawberries, music and even magnolias.

Finally, one might consider resale value. We all know the resale history of sex.com, making it highly unlikely one would recoup the $15m it would take to buy without serious branding and development. On the other hand, the catalog provides one with dozens of end-user opportunities in dozens of industries.

There are more, individual factors but as a domainer and investor, I think you know where I would cast my vote.

To see the full DM2 Catalog, visit http://www.domainmadness2.com

Got an Offer? History Says Push it to Auction

Our recent call for submissions got me thinking about when might be the right time to offer up a domain in a public auction. What would be the single premo moment to put it out, get it promoted, make everyone ‘aware’ of its presence and price and value?

In my experience with public auctions, I think it is pretty clear the single best time is when you have reached that point when you have an offer you are considering taking. Adding it to the public realm at that moment, has proven to be a very profitable strategy.

See, domainers don’t benefit as much from single-buyer scenarios. It’s what you want as a buyer but not as a seller. As buyers, we do all we can to keep the ‘word’ off the street. But as a seller, you want two competing and equally motivated groups fighting over ownership.

I can prove the point with some auction history: we have consistently found that domains with existing offers tend to sell for much more once they are sent to the public arena. Prime example would be last year a seller put up the name Indiatube.com as he had a $2250 offer he was going to accept.  It sold for $10,000.

If anything, you are getting the market as a whole to validate the offer. So if you get no more bidders, then chances are the offer is solid and beyond the aftermarket. It can be an excellent way to gauge value and interest.

In the end, the right time and place to sell is a subjective choice but I would recommend that when you reach that point, when you are about to snag that offer, push it to auction, let the rest of us valuate.

Remember, ‘awareness’ can be a buyer’s worst enemy – I’ve lost many a great deal because word got out. Haven’t you?

DM2, The Auction: Call for Submissions

DomainConsultant.com is proud to announce Domain Madness 2, The Auction - the expanded sequel to last year’s highly successful event.

This year we are parring it down and looking for only a dozen or so premium names to auction. ‘Premium’ being the key word here.

For domain owners, it means taking advantage of a huge promotional campaign that will put your name in front of buyers – within and outside the industry. You’ll benefit from our huge buyer network, banners and blogs, articles and forums, PR and more. We leave no promotional stone unturned.

At nearly 70% overall, our STR remains the highest in the biz to date and partly because of the effort we put into each and every domain we work on. And now you can benefit too.

What we’re looking for
We ask that you submit no more than twenty of your best domains for consideration. Best bets are single word generics in .com, .net, .org, ccTLDs. Must include pricing as well. Again, no more than 20 per submitter.

How to Submit
Auction will be held online beginning on March 16 and ending with a live show on the 23rd. To submit, simply send us an email with your info and domains and prices. You must be able to verify ownership of course if chosen. Pricing your names is important.

Sellers not only get the benefit of rock-star promotion, they also get a great rate on the sale of the name, with highly favorable terms. Means we’re dropping our commission rate from 15% to 8% to make this event a success for everyone.

Again, auction will be open from the 16th to the 23rd with finale live from the Palms in Las Vegas. We invite everyone to join us.

Last year’s event is still one of the single most attended in auction history and this year should be no different. Don’t miss this opportunity to cash in.

Why .com must be king

It is seldom understood but in the discussion of country codes, .com should be defined as the official code of the United States. Sorry, .us.

Thusly, if the US is to continue to be a beacon of global business, the modern financial mecca, it should work to make sure that .com remains king. And partly because, simply, someone has to be king in a globalized globe to expedite free trade.

With over fifteen years of almost constant exposure, .com is not just an extension but a global brand by itself perhaps better known than even our own country phone code, +1.  If someone need be king, .com is the best candidate…by far.

There is little question country codes will continue to thrive and have a role…a regional one. They will become the best option within borders but if one is to expand outward, it must turn to the .com to gain global recognition and presence. Serving ads for a .fr in Spain doesn’t make sense whereas using a .com does.

At the moment, a  great .com is not just market share, it is instant entry, credibility, traffic, SEO and cache.  It is tapping into every single commercial, billboard, ad, etc, that has or has ever had a .com address in it. Think of the trillions that have likely been spent to market “.com” – likely more than any other commodity, product or service outside the Bible.

If ICANN had wits, it would focus on strengthening country codes and recognition, including .com as the continued realm of global economics and promotion. It should reject inclusion of anything beyond as they have already proven to be mere vehicles of the speculative field. Sorry, .pro.

There has to be a king, a leader, a marketplace for the earth’s consumers to unite and exchange. In other words, for a globalized future, we must provide a definitive address for the planet to organize and socialize and transact.

And thanks to millions of hours of ads and usage, .com is already wearing the crown.

Domaining and the Founding Fathers

First off, let’s not equate in achievement those of America’s founding fathers with that of your average garden-variety house domainer. Those men were singular in duty, spirit and sacrifice.

But there is something about the fathers that fits into domaining. Mainly, they were there at the beginning too, when land was beautiful and plentiful. In fact, many thought it would be of great demand…in but a few years.

They, like domainers, gathered as much land as they could and waited…and waited…and died.

Most people don’t know but a healthy chunk of the first US statesman were broke or deeply in debt when they passed on to posterity. Even the architect of the financial system, Alexander Hamilton, was over $100,000 in debt when Aaron Burr shot him in a duel.

Like others of their time, they fell victim  in 1792 to the first bubble and crash of the newbie country: land speculation. The fathers scooped up as much land as they could after Washington was sworn in, launching an age where land prices skyrocketed even though there was way too much free space to speculate.

Problem for domainers: the fathers were right after all. They bought and overbought and died in debt but they were right. The value of the land did go up as they had speculated, it just happened posthumously, when they could no longer enjoy the success.

Remember, the inventor and founder of Coca Cola died insane and penniless, Howard Hughes wearing Kleenex boxes on his feet.

For domainers, this is the paradox of timing a sale, cashing in. Sometimes it might not be the best price but it may be the best time, for varying reasons. From laddering to diversifying to paying taxes, there are many ’causes’ to sell – always in flux and resultant on the desired ‘effect’ of said sale.

I like to believe the ‘domainers’ of the founding fathers day were the ones who came along and bought that land before the ink on the Constitution was dry, in order to take advantage of the coming rush once it was all complete. They were the ones who sold it to Jefferson and Adams and the like.

In the end, it fits the old domain adage, ‘you might get a better offer, yes, but you might have to wait a lifetime to get it,’ a simple concept perhaps even the greatest, brightest and strongest men of our history failed to grasp.

So don’t make the same mistake, consider timing and patience a virtue…not a roadblock. Look at the landscape and the availability versus demand and decide if you can wait and if so, how long?

Just make sure it’s not too long, like the guys who, ironically, now adorn our money.

Domainer 101 – Part One

This is the first in a series of articles that discuss the domainer and the behaviors, psychology and character that generally define them. This is not scientific in nature and no animals were harmed too badly in the writing of this ’study.’

Here are some general observations and notes from years of dealing with and hanging with and partying with domainers from all over the globe, from all stripes and of varying degrees of success.

- Domainers would never pay their own asking prices.

- Because they spend so much time in front of screens, they are the worst ‘business cock-blockers’ on the planet. They will interrupt any convo.

- Domainers are night owls. Rarely do I get an email before 11am CST.

- Domainers come in chunks. The first group of real domainers were comprised of two very distinct groups: males in their mid/upper 20’s and mid-40’s.

- We introduced a female outreach program many years ago calling for ”Domainettes”. It failed.

- “Domain Conferences” should be the little example in the dictionary under “sausage fest.”

- Domain business happens below the surface. It happens in hotels and bars and clubs.

- Domainers are a very tolerant group, likely because so much of its base is global.

- Domainers party very hard, yes. But they work just as hard.

- Not all who got in on the ground floor were successful but the current core of most successful domainers can almost all be traced back to a small conference held in Beverly Hills by Dark Blue Sea and promoted by the King. I was so broke I had to sell a really good domain cheap to get there.

- BTW, domainers owe a lot to Rick Schwartz.

- Domainers love two words, “open bar.”

- A real domainer would now go check ‘openbar.com’

Again, this will be a series of observations and notes with perhaps some historical footnotes to boot. Stay tuned and feel free to submit your own.

Cheers…