After a major business setback, Michael Gargiulo spent close to $1 million to acquire VPN.com.
Imagine creating a website that is generating $1,500-$2,000 a day and then getting hit with a lawsuit claiming trademark infringement and cybersquatting. That’s what happened to Michael Gargiulo. Making things more complicated, he was leasing the domain name from someone else. Despite settling the lawsuit and abandoning the business, Michael looked forward instead of backward. He negotiated to buy VPN.com for close to 7 figures. Hear Michael’s story about buying the domain name and why he thinks this category killer domain name is worth it.
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Great show, Thanks..
Thanks for listening!
Ha – I’m at 14:20 right now and Andrew just mentioned how an exact match can be three words. Don’t forget: I could show you a three word emd .com that’s worth 9 figures if I was willing to call attention to it. 🙂
Enjoying this, will now continue…
Good point John. In general though, the longer the domain, the less valuable.
Now, if the keyword itself is a highly searched keyword it doesn’t matter how long it is, the domain will always be valuable.
Thanks Michael. Indeed it is the “in general” part that should be underlined in what you’ve said. The zone outside that “in general” is far bigger than it seems most domain investors realize at all.
As I illustrated from experience further down below, people will also search for the very “.com” itself when the multiple word authority phrase is long, including using versions of it with various forms of spacing. It doesn’t even have to be the single “best” phrase either, but merely one of the best.
Okay, I’m at 19:12 now and Michael G. is recommending that people use brokers when trying to buy, especially if they are end users. Let me tell you, as someone who is an end user myself but also a domain investor – I hate when brokers approach me cloaking buyers. I’ve been approached by one of the famous buyer services for the same domain twice in recent months, and I’ve pretty much told them I want to negotiating in the light of day.
Another good point. I don’t like sellers to know who I am when I approach them. If they look me up and see that I own many other exact match .com domains my price goes way UP to buy whatever domain I am trying.
Its just a way to keep information out of the negotiation that may impact how the seller looks at a deal.
23:49 – 24:01, The benefits “…far greater than I could…have imagined”
Just like the Hotels.com guy said later about the ~$11m they paid being such a bargain in hindsight.
Not surprised at all. When I’ve seen someone posting in the blogs with VPN.com in the name link, I guess this very guy, I’ve always been struck by what a great domain that is, the best I’ve ever seen in anyone’s screen name link. Even just the other day I saw it and almost said something then.
God stopped making great domain names. Only the few of us that understand the value will will the branding war over the next 50 years.
Your brand will be everything. Products will matter, but how people perceive your brand AND your products will matter a lot more.
25:29, the Google discussion re EMD’s:
This fellow goes into what I discovered years ago as an end user looking at traffic stats, when SE’s still allowed you to see the searches:
• People search for the domain itself, not only the keyword.
And guess what else?:
• It doesn’t matter how long it is. It can be a super long four word .com, and *if that the best authority keyword or phrase*, then people search for it intently. That’s also why I was not surprised when a company listed on the London Stock Exchange tried to buy my super long four word .com that I was merely using as an end user with no thought or effort to sell.
And guess what else? Yes, there’s more:
• No only do they search for both the keyword or phrase and the .com domain itself under such conditions, including if the best one is four super long words, but they even search for the .com domain with multiple variations of format that include different uses of spacing, like so:
ExampleExampleExampleExample.com
ExampleExample ExampleExample.com
ExampleExample ExampleExample .com
ExampleExampleExampleExample .com
Example Example Example Example .com
And so on, and so forth. Get the picture?
People who only do “domaining” instead of end using have no idea. This is why the best of the long domains by “domainer” standards can often be and are often not only just as valuable as many of the best short .com’s, but sometimes also more valuable than many of them as well.
…Example Example Example Example.com
ExampleExampleExample Example.com
ExampleExample Example Example.com…etc.
26:09 “…the thing that most people forget…”
This was a great interview, and great service to the industry.
Whenever anyone wants to refer people to material on the value of great domain names big and small, you can start with this podcast and with my recent comment here: https://onlinedomain.com/2018/02/22/domain-name-news/%ce%b1-domain-name-worth-buyer-willing-pay/#comment-230456. 🙂
Thanks again for listening John. I hope others find this as useful and valuable. You only have to buy a great domain ONCE!
Cheers.
Enjoyed the conversation