Oversee.net CEO dispels five myths in the domain name industry.
Today at DOMAINfest in New York, Oversee.net CEO Jeff Kupietzky tried to dispel 5 myths about the domain name industry.
1. The PPC Market is Dead
-Oversee.net now has 1 million domain names.
-28% rise in visitors year-to-date on their portfolio
-15% increase in revenue per click
Kupietzky says the market is “maturing”, but not dead.
Opportunty: Buy traffic names and lower prices, partner with those investing in development and alternative monetization.
2. Mainstreet has Come and Gone
-CNBC dedicated 5 minutes to airtime in middle of day to an interview with Kupietzky about domains. “It’s really the beginning of mainstreet paying attention”.
-Major media organizations will have live television feed at auction this afternoon.
Opportunity: bring more information about our sales to the public. Bring more transparency on price and data to encourage more buyers.
3. There’s a trade-off between content and monetization
-Thinking is if I add content (develop my domains) I give up on my PPC revenue
-Example is Degrees.com, which Oversee.net owns
-Barrier to get good content has decreased substantially. Examples include AOL, Associated Content, DemandMedia, Epik
-Oversee.net progressing from one word category-killer .com domains, now moving to profitably developing domains with three words in other TLDs.
Opportunity: Invest in build-outs that provide value to end users and advertisers.
4. Mobile apps will kill domains space
People forget there are two main purposes of domain name: address locator, but also a brand. More focus on brand than address locator. Brand value is very important. Need to find a way to leverage the trend of move to apps.
LowFares.com has one million registered users. Oversee.net just launched a mobile application for LowFares.com.
Opportunity: Look for category-defining brands, invest in new medium
5. There are no good domains left
There are plenty of domains available in secondary market (aftermarket). Example BoardGames.com, which was bought for $450,000. Owning the brand name, which will be a hub for online and offline gaming, this domain was a bargain.
Still lots of domains being bought on one platform and then flipped for a lot more within a year.
Opportunity: Buy more, co-develop, partnerships for acquisition and development.