A comments to another post on Minus.com selling for $115K inspired this post which is about the business of domain investing.
Here is the comment that sparked the idea for this post:
“”yeah like you can pick and predict the next lotto numbers”
“these forums and threads need to have stories of people losing money.”
“I want to see stories here headlined, “Another 300 people lose over $10,000 this month”
“I guarantee you for every lotto winner there are 1000s of people losing money; unfortunately, silently, because all these stories are all one sided, choosing only to show the lotto winners.””
This commentator is not alone.
They look like domains as a lottery ticket, where if you get lucky you sell one once in a while.
If you want to think of domain investing as a hobby or as a shot in the dark, a lottery ticket that’s your choice but its not a business plan.
Just like the lottery those who play it most are the one’s who can afford it least.
Domainers who think this way are most likely to registrar crappy domains thinking they may get lucky once and hit it big.
Domain investing however is like any other kind of investing.
If you buy shares of stock do you think of it as buying a lottery ticket?
Or do you do research on the company, figure out the market, look at the charts and the fundamentals?
Or do you just pin up the Wall Street Journal stock quotes page to the wall and throw darts and buy whatever the dart hits?
Domaining is no different.
Invest for the long haul.
Yes you may get lucky and sell a domain a month after you acquire it but its not going to happen with regularity.
If you buying a domain with knowing you would have to sell it or drop it when the expiration is up, you probably shouldn’t buy it or register it to begin with.
Now a lot of people what to talk about timing and/ or luck.
Hey if you have enjoyed success in your life you probably have had some good timing and/or luck and/or karma and/or God on your side, or whatever you want to call it at some point.
But also you make your own luck to some extent.
Wise decisions led to luck.
The more good decisions you make, the more likely you are to be lucky.
Yes there are lottery winners.
1 in 14 million I think are the odds for the Florida lottery.
Don’t forget that many people who have won the lottery have lost it all later in life, gambling, drugs, divorce bad investment.
Bad luck following good?
Or just bad decisions making for bad luck.
If all you’re going to depend on is luck to get you through life; well then good luck to you.
For the rest, do your homework, make a plan, stick to a winning plan, adjust a losing plan and work really, really hard.
And may the force be with you.