March 6, 2017

Domain investors in China should buy Western Premium domains

written by

Joe Uddeme

Joe Uddeme

Domain investors in China should buy Western Premium domains

Memo to Chinese domain name investors: NameExperts.com Director Joe Uddeme thinks you’re missing a trick if you limit your portfolio to local names.

 

Most Chinese investors tend to shy away from Western-type domain names as they don’t have meaning in mainland China – names that contain vowels and the letter “v” in particular.

Are they limiting their long-term growth potential? Some would say sticking with Chinese domains is a safer investment. As seasoned domain name brokers, however, we disagree. Here’s why…

Key Takeaways

  • New TLDs are not a good long-term play
  • Aftermarket prices for .com names remain high
  • Work with a broker if you need help with domain portfolio management

 

Background – understanding the Chinese domain name marketplace

For those of you that follow the domain investor market, specifically in China, you can see all types of newly minted investors looking for the next great domain name investment. Most Chinese investors are focused on the domain names that have relevance inside of mainland China.

The most popular investments in China are the short acronym domain, or simple numeric domain names as they translate to meaning to the Chinese culture. Some examples include the following (N = number; L = letter):

15.com (NN.com)

123.com (NNN.com)

TR.com (LL.com)

TYPL.com (LLLL.com)

6N.com (LN.com)

N6.com (NL.com

 

Chinese domain investment trends

As domain investments continue to increase in China, we are seeing many investors branching out into some of the newer GTLD extensions as alternative investments including; .club, .top, .wang.

They are acquiring these names for much lower costs than the typical .com investment. Is that a solid investment? We say: no.

The Chinese investor is savvy, but they are limiting their investment opportunity. In most instances, domain investors in China are only focused on these types of names because they create liquidity and are very attractive to the Chinese on a quick-flip model (check out our guide to domain name investing).

Additionally, the Chinese investor should look at the plethora of available .com domain name inventory on the aftermarket. Tons of fantastic domain inventory is readily available. Short, generic and easy to spell English words that are solid investments.

The saturation of the internet continues to precipitously grow year-over-year, with 78% of the Chinese population now online. When you do the math, it’s easy to see the longer-term opportunity.

Should you limit yourself as an investor? Not with the .com market  stronger than ever – with fantastic acquisition opportunities and names that ultimately have a global appeal and market reach.

We believe domain investors in China will start to acquire short, generic .com domains as trillions of dollars are available for private Chinese investors. Way back in 2017, George Kirikos had a fantastic post on Twitter, referencing 12,000 startups being created every day in China.

The domain investor continues to evolve and grow. Investors should look at the longer-term investment opportunity and acquire names that are globally acceptable and not limited to mainland China.

 

How a domain broker can help

Friends in the right places are always good to have, and most international domain brokers would gladly help Chinese companies and individuals who want to buy domain names. Domain brokers help buyers of any nationality to understand current market trends and navigate the sometimes complex world of domain acquisitions.

NameExperts.com is one of the world’s best-known brokerages, offering personalized boutique services that include domain name strategy, portfolio management, negotiation and stealth acquisitions.

Vibrant Chinese city at night

 

About the author

Joe Uddeme is Director and Principal of Name Experts, one of the world’s leading domain name brokerage services. He has overseen domain name sales and acquisitions totaling more than $150 million and is renowned worldwide as a go-to expert in buying and selling premium domains. He advises clients globally. Contact us at: [email protected]

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Who can help sell my domains? A domain name broker. Experience and knowledge prove most valuable when negotiating a name with a buyer and seller. Asset sales can be difficult to navigate. Brokers work by connecting sellers with potential buyers, often on a commission basis, to facilitate domain sales—especially for high-value domains. Negotiations and contracts can be daunting. It’s also important to understand all aspects of the transaction for both buyer and seller. At Name Experts, our master negotiators know what it takes to market your naming assets successfully as a domain broker. We know wide audience who will benefit most from buying your asset and have a clear strategy to pitch your assets to them. If you’re interested parties thinking of selling names you need our services to: Value your Domain Name: Your domain name is worth only as much a buyer is willing to pay. However, there are several other factors that matter. For example, single word .com assets sell for a higher price than two or three-word names. At Name Experts, we evaluate your assets based on fifteen market indicators, as well as other market comps of similar names that recently sold in the market, so that you have a realistic expectation of what your domain name is worth. Pinpoint Accuracy: Finding the right price proper domain buyers can be tough even for true domain name veterans. Finding the right buyer that sees the value and understands the true unique selling proposition. Choosing a Sales Channel Selecting the right sales channel is a critical decision for domain sellers aiming to maximize their returns. There are several avenues to consider when selling domain names, each with its own advantages. Domain name marketplaces are ideal for listing unused domains and reaching a broad audience, while auction sites can be particularly effective for selling premium domain names and generating competitive bidding. Direct sales, where you approach potential buyers or respond to inbound inquiries, can also yield strong results, especially if you have a highly targeted domain. The best choice depends on your goals, the value of your domain, and the type of buyers you want to attract. For example, if you’re looking to sell a high-value domain quickly, an auction site might be the best fit, whereas a marketplace could be more suitable for steady, ongoing sales of multiple domains. Understanding the strengths of each channel helps domain sellers make informed decisions and achieve successful domain sales. Choosing a Sales Channel Selecting the right sales channel is a critical decision for domain sellers aiming to maximize their returns. There are several avenues to consider when selling domain names, each with its own advantages. Domain name marketplaces are ideal for listing unused domains and reaching a broad audience, while auction sites can be particularly effective for selling premium domain names and generating competitive bidding. Direct sales, where you approach potential buyers or respond to inbound inquiries, can also yield strong results, especially if you have a highly targeted domain. The best choice depends on your goals, the value of your domain, and the type of buyers you want to attract. For example, if you’re looking to sell a high-value domain quickly, an auction site might be the best fit, whereas a marketplace could be more suitable for steady, ongoing sales of multiple domains. Understanding the strengths of each channel helps domain sellers make informed decisions and achieve successful domain sales. Using Domain Name Marketplaces Domain name marketplaces are powerful platforms that connect domain sellers with a wide audience of potential buyers. These marketplaces, such as Sedo, provide a range of tools and services designed to streamline the process of selling domain names. By listing your domain at a fixed price or offering it for negotiation, you can attract buyers from around the world and benefit from secure payment processing and transaction support. Marketplaces also offer features like escrow services, analytics, and promotional options to help your domain stand out. For example, Sedo allows sellers to choose between fixed price sales, auctions, or private negotiations, giving you flexibility in how you approach each sale. By leveraging the reach and resources of a domain name marketplace, domain sellers can increase their chances of selling domain names quickly and at a competitive price, all while ensuring a smooth and secure transaction for both parties. Auction Sites and Events Auction sites are a popular choice for domain sellers looking to generate interest and achieve top dollar for their premium domain names. These platforms allow you to list your domains for auction, where interested buyers can place bids and compete for ownership. Auctions are particularly effective for selling domains with high demand, as the competitive environment can drive up the final sale price. Many auction sites also host special events and themed auctions, such as Sedo’s GreatDomains auction, which showcases high-quality domains to a large audience of potential buyers. Participating in these events can significantly boost your domain’s visibility and attract serious buyers who are ready to invest. By choosing the right auction site and timing your listing to coincide with major events, domain sellers can maximize exposure, generate interest, and achieve successful domain sales. Creating an Effective Listing An effective domain listing is essential for attracting potential buyers and achieving a successful sale. Domain sellers should ensure their listing includes all the details buyers need, such as the domain’s value, its potential uses, and any relevant history or traffic statistics. Using targeted keywords and clear, compelling descriptions helps your listing appear in search results and appeals directly to interested buyers. High-quality images or even short videos can further enhance your listing, making it more engaging and professional. Additionally, leveraging online tools like domain appraisal services and SEO analytics can help you accurately determine your domain’s value and optimize your listing for maximum visibility. By presenting all the details in a clear and attractive format, domain sellers can generate interest, build trust with buyers, and increase the likelihood of selling domain names at the best possible price. Marketing: A combination of email, phone, social media, press releases and newsletters cover our global exposure. We also have many industry-wide relationships with other buyer brokers, to help connect the dots and find the perfect buyer. Our network of domain name brokers ensures that we can provide the best opportunities for selling your domain. Negotiate: Without help from an experienced domain broker like Name Experts, you might end up leaving money on the table. We’ll negotiate for you and help you maximize your profit while protecting your complete anonymity. Transfer Service: We’ll also guide you throughout the sale process, making sure the buyer lives up to his end of the deal. All transfers are handled through Escrow.com or Escrow.domains – both are licensed and audited escrow services ideal for URLs. We help coordinate to make sure your domain name ends up at the appropriate Registrar of your choosing. Whether by Authorization code, or direct-push method–we got your covered! We will do all of this and more on your behalf, without compromising your identity or confidentiality. We’ve earned the trust of our clients with consistent performance and open communication. We work on a success fee model for any domain sale. There are no upfront fees, no up-front fees and all commissions are paid after we close a transaction. We are a website exclusively focused on listing and brokering single word .com, .io, .ai and .org URLs. Please get in touch today for a free consultation on the best price for your website, listing your premium assets and help selling names.

Why Work with Name Experts

Name Experts offers personalized domain brokerage services, assisting clients in buying or selling premium domain names with expert appraisal, negotiation, and complete transaction management while ensuring confidentiality.

Some of our most
successful stealth acquisition and sales

Aid.com

Fit.com

Mine.com

GLD.com

Jeff.com

Fora.com

Nori.com

Secure.com

Guitar.com

F*ck.com

Radian.com

MetaData.com

Prize.com

Link.com

Loop.com

Programs.com

Claim.com

Quince.com

Hook.com

QXO.com

NQ.com

Rest.com

Humani.com

Max.com

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