At a time where flat is the new up it seems hard to believe that anyone could expect to sell anything for 10x, 20x or more than their initial purchase price - but in the domaining world, that its not all too hard. Domain names are relatively small investments - on average we hand reg our domains for under . Turning that into 0 or even 00 might not be quite as hard as you think.
Call yourself a domain flipper, call yourself a Domainer, call yourself a domain investor, knomenclature does not matter - it's all about growing your investments. In this post I'll outline exactly how my company was able to actively grow our investments last year. I always learn the best from example so I'll start with a great example from 2008 - StimulusCheck.us.
This particular domain website was built in June, in just about an hour. It went on to generate over 2,200 visitors in just half a year.
With every domain we develop our primary goal is to determine how we can generate traffic to our domain without having to spend any money on advertising. While it only took an hour to design this site - it was following the right process that allows for our success. So how can you do it yourself?
First - spend 5-10 minutes researching your domain name topic. If you domain is has the words fresh and flowers in it the pull-up the wikipedia entry on flowers. Read through it, get a good general understanding and then head over to WordTracker. This is an incredible tool that lets you determine how popular your keywords are, as well as related keywords. It is these related keywords that can help you make content that will indexwell with search engines. This is because the more "relevant" your content is, the higher it will rank in search engines like Google.
Using my example of a fresh flowers website I might find that when people search for flowers they most often look also for "roses" and "flower delivery" - this should guide me to then create two additional pages about each of these topics. You don't have to write a million pages, a few good paragraphs will get the job done.
If you aren't much of a writer yourself you can always find talented content writers on services like DNForum or other Domaining forums that will charge a small fee to write quality content for you. The key idea here is that you can generate strong traffic to your domains without having to spend days building a full-blown website.
Of course, by now you have the burning question...how much revenue did the site generate? This site generated in seven months yielding /month in passive income. Income-generating websites sell on-average at 27x earnings which would yield around 0 for this site - all for an hour's work and a reg fee - not bad!
This is only the first step in our long-term flips - after a year we will develop a full-scale site onto this domain and grow the revenue from /month up to /month - yielding a final expected sale price of ,350 or more. The important lesson to take-away from this article is that by taking the time to do your homework you'll end-up reducing or eliminating your advertising costs over time.
