domain sniping? (.COM R)
mordecai
2,204 Posts
anyone ever had success sniping a domain? there's one I'd like to get but its been taken every time i've checked.i think there are services online to watch domains maybe? anyone with experience in this please helpthanks in advance
Comments
3 Tips on Negotiating the Purchase
If you determine that investing in a new domain name makes sense, you still need to come to terms with the seller. The process will depend on a number of factors, including the seller???s status (e.g., an existing business that???s using the domain name versus a squatter who???s merely holding it as an asset) and the maximum amount you???re willing to spend.
Here are three tips on how to approach the negotiation:
Tip #1. Get to know the current owner
McCarthy recommends opening negotiations with an exploratory -- not a transactional -- approach. Rather than contacting the owner with an immediate offer to buy the domain name, begin a conversation by determining what the owner???s interests might be.
Use the first conversation to assess how important the domain name is to the seller???s business or whether they???re just sitting on it because they think it has value. For example, McCarthy???s first conversations with the owner of Goldstar.com helped him learn that the owner was recently retired and that the domain name supported a small online operation that marketed a few books the owner had written and promoted his daughter???s music career.
Tip #2. Respect the current owner???s business
If the current owner is using the domain name for business purposes, respect that operation even if it???s on a much smaller scale than your business. It???s not a good idea to start off negotiations by insisting that your business has bigger plans or a greater need for the domain name; that can turn off the seller.
McCarthy spent time in his first conversation describing why Goldstar Events was interested in Goldstar.com. He explained what his business did and listened to the owner describe his history with the name -- including previous offers he had rejected -- and his current business situation.
???If you take that approach, you may find you have a common interest. I told the owner I felt like I could bring something to him and his domain and wanted him to feel good about whom he was selling to.???
Tip #3. Prepare to compromise
Compromise is essential with any negotiation, but it???s especially important when dealing with a seller who???s merely holding the name as an investment.
-Don???t react emotionally if a seller???s first price is way too high. Understand that there are many reasons why a seller believes the domain name is extremely valuable, but explain the financial constraints you???re operating under as well.
- Look for ways to explain why you may be the most likely -- or only -- legitimate buyer in the marketplace. Sellers can negotiate from a position of strength because the domain name is a unique commodity, but your business may be in a position nearly as unique that makes you the best possible buyer.
Goldstar was in the position of being the company with the most name recognition in the marketplace and felt comfortable that the domain name market isn???t as overheated as it was during the dot-com bubble of a few years back. ???Very few people are spending recklessly for domain names these days, and most sellers realize that, too.???
- If the offer is too high, make a counter-offer that???s closer to your original limit. Remember that a seller who???s merely holding a domain name as an investment has no other way to make money from that asset than with a transaction. They???re motivated to close a deal, too.
???Be committed to talking that out. If the seller asks for $50,000, and you were thinking more like $10,000 to $15,000, that???s still a good day at the races for the seller. They have no reason *not* to make $15,000 off you that day.???
In the end, McCarthy spent slightly more than he originally budgeted, but he was able to close the deal by splitting the difference between the seller???s asking price and their counter-offer. By analyzing the potential short- and long-term ROI of the investment, he made that decision comfortably.