Domain flipping is the process of securing what could be a popular or desirable domain name, hopefully for a good price, for the sole purpose of selling the domain later for a higher price. This can be a very lucrative process and also a very easy one. Domain flipping for IDNs is no more difficult than traditional domain flipping. But not just any domain is going to resell at a higher price and give you a great profit. Read on for some tips for how t select domains to “flip.”
Would a Business Want It?
When purchasing IDNs it is important to think of not only the value to you and your company, but the value to someone else. A great question to ask yourself when purchasing an IDN is, “Would a business or company want this domain?” If the answer is “yes,” you’ve got a domain with a high possibility of a profitable sale, if the answer is “no” you domain is probably best for your use or your own business.
You do, however, want to go after domain names a business might want, but not a specific business name. When you attempt to secure a name like “McDonalds” not only will a registry squash that attempt most times, but if you are able to secure the name, chances are you have some legal trouble in your future from “McDonalds.”
Loans.com is a great example of a name a business would want, but does not encroach on any trademarks or business names. Loans.com now directs you to Bank of America’s website and sold for $3,000,000. What will your “Loans.com” IDN be?
Follow the Trends
Trends and fads come and go, and there are a number of ways that businesses and individuals can capitalize on them, domain names being one such way. The key to trends and domaining is the anticipation of a trend. For example when the iPhone first came out, those within in the technology world and those who followed the news, knew that smartphones were about to be huge. A domain like smartphones.com was a great idea and surely enough sold for $95,000 and is now owned by Samsung. Follow the few tips below for how to pick the best IDNs based off trends.
Securing domains like the ones we mentioned above are not a sure way to make money from domain flipping, but they can increase your chances and help you get better educated on the process.