Recently I’ve started to try my hand at domain trading. For those of you that don’t know what a domain is, it is the name/url of a website, e.g. Google.co.uk, ebay.co.uk etc. Domain trading involves searching and buying domains that you think may be valuable, and then trying to sell them for more. This is something I have wanted to get into for years, but I never really knew how the process worked, and what constitutes a ‘valuable’ domain.

Over the last month, I found myself with a lot of spare time on my hands, and decided to do some more research into domain trading. With the help of forums such as Acorn Domains, and some individuals in the industry (you know who you are), I started to build up an understanding of what type of domains were valuable, and what were not (I’m still learning).

I have since been registering domains in my name, that I would like to develop, or that I thought had the potential to be resold for more. I now have about 20 domains in my domain portfolio.

 I noticed that a hot niche to have a domain in at the moment was for Electronic Cigarettes, with ElectronicCigarettes.co.uk selling for £15,000 recently, and ElectricCigarette.co.uk selling for £1,750. I knew that if I could find one in this niche then I could possibly make some money. However as with any popular niche, it’s very difficult to find a domain available to register, as usually they are snapped up by somebody else. After searching for various terms that could be used for electric cigarette, such as ecigarettes, electriccig, etc, it seemed like they had all been taken. However while I was browsing facebook, I saw a status from a friend of mine. facebook screen shot

 I noticed that this person was calling them e-cigs, a term I didn’t previously search for. After searching again, I found that e-cig.org.uk was available to register, and after getting a second opinion from Frank Paul (cheers Frank!), he suggested it was worth registering. So after paying £7 to have it registered, a week later I put it up for sale on Acorn Domains, where within half an hour of listing it someone offered me £300 for it. I gladly accepted the offer, and was happy to have sold my first domain. Hopefully I will sell a few more in the future :)

8 Comments

  • Congrats Mark, nice healthy ROI on you first domain reg.

    I have a similar story on the first domain I registered however, I turned down the £300 offer and went on to drop the domain 3 years later!

  • I’d let to get into domains but for the moment I’m buying domains I think I can develop and will try and sell those which I have no success with.

    Selling a domain is a one off income but building a site with revenue can mean more profit in the future and an ongoing income.

    Nice return though for just £7.

    • I’d say watch what others are doing, and take note of what is selling well. This is what I did in the above example.

      Acorndomains has an amazing community with so many people that are willing to help. Before I regged a domain I would often ask a trustworthy member there for some feedback, what they thought of it and why etc. Feedback is critical as you could repeatedly make the same mistakes all the time until someone points it out, and it could cost you a lot of money.

      When I felt I had a better feel for domains I decided to get stuck in. After the sale of the domain in this post I got a little bit excited thinking that this was all easy. It’s not, and as a consequence I registered lots of shit domains.

      I think everyone does this to be honest, and it’s a good learning curve. It’s best not to go too crazy to begin with so that you minimise the cost of ‘learning’.

      Over time you develop more of an idea of the value of a domain. Last year I bought a domain for £xx on acorndomains, and I recently sold it for £x,xxx.

      There’s no quick way to learn, it just takes time and practice. You’ve got to get stuck in and stick at it.

      I’m still learning more all the time.

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