Domains Are Great Investments
With market s all over the place, the general public are progressively becoming interested in domain name investments. With the stock market bouncing around, and the US dollar weak, domain name investing can be a very remunerative idea. In fact domain investments have gone under the radar for most people the last 10 years, even though over the last five years the domain name market averages an 80% yearly increase in value. In the last 3 years alone the average LLL.com(L=”letter”) such as TFJ.com has gone from $2000 in 2005 all the way to $8000 in 2009. This represents an amazing return, even compared to gold in most cases. Even the country code top level domains are increasing at extremely fast paces. .cn, .fr, .es, .de, and .in are leading the way. Having said this, .com’s will always be the charm of any domain investment portfolio. When you tell your neighbor of a website, immediately “.com” comes to mind as the suffix. This is why I believe that as the other domain extentions grow, such as .tv, .me, .net, .org, .co.uk, etc, the .com’s will even turn more valuable . If a domain suchas MoneyMakerGroup.in starts receiving traffic, it is only instinctive that a large portion of people looking for Moneymakergroup.in will type in http://www.Moneymakergroup.com instead. Why? Because .com is mechanically associated with the internet. All the largest companies use .com as their extension. What are the implications of these facts on the future of the Domain Investing industry? Well, in my opinion, .com’s even with multiple keywords such as “refinancemyhousenow”.com will continue to warrant huge prices. The 3 character .coms will continue to increase in value as they are excellent for company initials. The four letter .coms will also slowly pick up pace since short is often better. I personally like the “Number followed by a 3 letter word or abreviation” .com domain names. An example would be 4her.com. These are easy to remember, yet there are literally thousands of these left to be registered. Everyone quickly went after the LLLL.coms while avoiding the NLLL.com’s. My analytic thinking of the Domain Market in General: Although we can’t continue to have 80% yearly gains in a limited market, forever, I do feel that 50-60% gains for the next 5-7 years is a good bet. There are only 1 billion people online as of today. This is out of over 6 billion people worldwide. Only a small fraction of these peopel own domain names.. One day, it is not crazy to think, that at least 80% of the world will have some sort of internet connection, while a majority will want their own website. This represents an amazing growth forecast in the domain arena..
