Recent car shopping experiences are similar to buying a domain name.
you into this domain today?
It’s time to replace my Acura, so I’ve been car shopping lately. I’ve checked out all the regulars, but decided it was worth stopping by the Hyundai dealer since everyone is raving about its Genesis. The Genesis is an upscale sedan priced around $35,000 — much less than comparable cars. But it’s being sold by a dealer used to selling $20,000 cars, and it shows.
From the moment I walked into the Hyundai dealer, I was in a different world. No sparkling showroom like Lexus and Acura. Cramped space. A receptionist who was busy reading a book. An old, decrepit building. It felt like I was at a livestock auction.
The Hyundai dealer used every trick in the book to sell cars to people who probably couldn’t afford them. They had open air offices, salesperson tallies on a big marker board, etc. They handed me a visitor form to fill out, asking such gotchas as “what do you want your payments to be”.
It was a miserable experience. Over the weekend I started reflecting on it, and realized how it’s very similar to the domain name sales process. People on the outside of the industry look at it with disdain and suspicion, and much of that is rightly deserved. A classic example is the sales process where domain owners ask the “what do you want your payments to be” question. Not in terms of financing as it is at the car dealer, but sizing up the pocketbook of the buyer.
The salesperson in me says it’s smart to figure out how much the buyer can pay. But to the outside world, it looks slimy. It reinforces the perception that domain owners are “squatters”, just holding out to fleece a deep pocketed person who wants a domain.
The domain industry needs to shift gears. Shift away from that used-car-salesman feeling to a Lexus or Acura car dealership. Lexus and Acura are still sales machines, but they operate in a clear and transparent manner.
Johnny says
Very good points….I never thought about it quite that way.
DR. DOMAIN says
I want to avoid “giving the store away”…Class or no class.
Troy says
Keep in mind that some people are much more comfortable with the transparent approach instead of the luxury approach.
Andrew Allemann says
Troy – I’m saying the luxury approach is transparent.
Adam says
I think like the automotive industry, there is room for both business models. And like the automotive industry, you will pay more for not having to deal with smarmy salesmen. Also, examples would be nice.
Jon says
New cars are commodities, good domains are not. New cars are depreciating assets, good domains may very well appreciate over the next 5-10 years more than any other asset class.
I don’t think sellers of good domains need to do anything. Buyers of good domains are the ones that need to act like luxury car salesmen – they need to sell that their offer is better than continuing to own a good domain.
Andrew Allemann says
@ Jon – I’m not saying that you have to sell your domains 🙂
Perchboy says
Good points all around.
Elevating the sales situation sounds great. As part of that, I also admire ethical domain sellers who don’t cybersquat and avoid the X rated stuff.
D says
You should tell him “I am prepared to give you $100 for this car” like most domain buyers does
Erik Zubkov says
these days when it its time for me to buy a car i go to the same guy that i have bought cars from each of the last 3 times, based primarily on trust but also overall buying experience – i tell him what im looking for, he comes back to me with 4 or 5 viable options and i make the decision. granted i have gotten better “bargain deals” in the past from other dealerships but because of the cheap suit approach i wont go back. just like buying domains. i use a broker. he doesnt play games and i’m not necessarily looking for the most desperate seller. the buying experience is so smooth that i wont consider buying domains anywhere else. those of you making a living buying/selling domains should take note. you can either grease your hair back and turn your customer into a pretzel trying to squeeze him for evey last dollar or you can offer your client a fine cigar and allow him the opportunity to purchase domains from you based on how well that cigar smokes. those who find the silver lining in that will undoubtedly create a frictionless environment where your buyers are so impressed that they are willing to pay a few bucks more to be impresses again…. and again…. and again.
J.R. Jackson (Internet's $8-Million Man) says
Very good point. I’m going to test a new method of selling some of my domains where I actually give them a price upfront and then some payment options over th ecourse of x-months.
J.R.
yesthatwouldbeme says
Domainers castigate auction houses for not attracting big corporate end-users and clammor for outreach to small businesses and then don’t have their domains priced and can’t give a straight answer when asked how much it is. The irony is thick… does anyone think corporate america wants the email runaround when attempting to acquire a nice generic domain?
imagine the car lot where none of the prices are listed on any of the cars and the salesman can’t give a straight answer on how much the new sedan is…. how long would that dealer stay in biz?
Ozie Jackson says
Domainers don’t have a great reputation with cybersquatting allegations and all but I guarantee you that car salesmen, luxury or otherwise, reputations are worse.