A new report sheds light on the health of the domain name aftermarket for short .com domain names.
Domain name valuation service EstiBot and short domain name brokerage GGRG have released a report on the state of the market for short domain names.
The report calculates the total market value of all domain names within the LL.com, LLL.com, LLLL.com, LN.com/NL.com, NN.com, NNN.com, NNNN.com, NNNNN.com namespaces. It also gives a prognosis on the health and liquidity of each market, as well as the 5th percentile price. The 5th percentile represents two standard deviations below the mean sales price, so this is effectively a floor price for domain names in the category. (The report does not provide median prices.)
Despite having only 676 possible combinations, the report values the total market of LL.com domain names ($2.7 billion) at more than any other category because of their high realized prices.
The report values the 17,576 LLL.com namespace and the 456,976 LLLL.com namespace at the same $2 billion each. This suggests that LLL.com names are worth about 25 times as much as LLLL.com names.
Unsurprisingly, the report finds that many short domain name categories have registered sharp price declines this year.
What goes up…..
We knows that LL and LLL.com will sure sell.
And even the LLLL.com still selling around $250-$350 at low demand out of possible 456,976 supply
LLLL.com have a low sell thru rate around end users for the most part these names that sell around $250-350 range are around 2% annually on the high end.
They are a traders games, the letters are obscure outside Chinese, they didn’t pop above $350 with the Chinese hype run up.
I saw you couldn’t even sell your MAJ.com during the Chinese hoopla, if ever was a time in recent history that was it.
Don’t get caught up in what you think, and what you think you know, the market will surely correct you everytime.
I do not believe that the report, when it comes to NNNN.com, has any accuracy. I have sold close to 20 NNNN.com domain names to date from my portfolio, and I do not see any offers that support a floor price of $12,000, even if the domain contains the number 4 or 0. As a matter of fact, I would buy such a domain name immediately.
Second, the prices for domain names in this category have been very stable. I don’t see any domain name that is selling for less than $20,000 regardless of the number combination. The data provided does not reflect what the Chinese pay to each other when they purchase this category of domain names. The most recent NNNN.com domain names I sold are 0301.com and 0302.com, sold for $24,800 apiece. Ironically they both have 2 zeroes. Also the highest known purchased NNNN.com domain name, 0123.com, was sold for $252,000 rejecting the idea that 0 or 4 are jinxing numbers to the Chinese. I also heard from a Chinese broker that this propaganda is loved by Chinese investors enabling them to purchase cheap domain names from western domain owners.
So if you own a short domain name, don’t listen to this report and bargain your hardest to get the best price possible.
Clearly a bubble about to burst.
if you got a good name, YOU GOT A GOOD NAME, and it will sell pricey.. no matter if is LL, LLL, LLLL, LLLLLL, NN, NNN, NNNNN, NNNNNN, I think we all should agree on this by now…