March 25, 2020

Most Expensive Domains Ever Sold

written by

Joe Uddeme

Joe Uddeme

Most Expensive Domains Ever Sold

If you’d had the foresight to register a domain name like golf.com or hotels.com when the internet first started, you’d have been sitting on a goldmine. Domain name valuation expert and broker Joe Uddeme investigates.

 

What Are The Most Expensive Domains Ever Sold – An Expert Analysis

In the vast landscape of the internet, domain names serve as the digital addresses that guide users to websites. Think of a domain name as the online equivalent of a physical address; it’s how people find you in the vast expanse of the web.

Whether you’re a business, a blogger, or an individual, having a memorable and relevant domain name is crucial for establishing your online presence. Domain names are not just about being found; they are about being remembered and trusted by your audience.

Domain names sell for a wide range of prices, from just a few dollars to millions, reflecting their value and market demand. A relevant domain name can improve a site’s visibility and attract organic traffic by aligning with users’ search behaviors and preferences in different search engines.

In this guide, we’ll look at some of the many factors behind domain name values and explore those that sold for the highest prices.

Key Takeaways

  • Serious bidders always assess the potential return on their investment before bidding.
  • The most expensive domain name ever sold for just under $1 billion.
  • Short, memorable names command a higher premium than ever.
  • Domain names can be traded like shares – with fortunes being made (and lost)!

What Makes Valuable Domain Names?

A domain name’s value is influenced by several key factors. First and foremost, rarity plays a significant role.

Just like rare collectibles, domain names that are unique and scarce tend to be more valuable. Demand is another critical factor; a domain name that is highly sought after by businesses or individuals will naturally command a higher price.

Revenue potential is also a major consideration. A domain name that is easy to remember and directly relevant to a business or brand can drive significant traffic and, consequently, revenue.

Brand recognition and online presence further enhance a domain name’s value, as a well-known name can attract more visitors and establish trust. The concept of an ’empty domain’ highlights that true value lies in memorable and brandable domains rather than random letter combinations.

The length and structure of a domain name are also important. Shorter domain names, especially those consisting of a single word or a combination of two words, are generally more valuable. Avoiding hyphens, underscores, and other punctuation can also help maintain a domain name’s value.

Market conditions, however, can make seemingly meaningless combinations valuable, as seen with some of the most expensive domain names sold in 2023.

Lastly, the domain extension, or top-level domain (TLD), can impact value. The most valuable TLDs are .com, .net, and .org, as they are widely recognized and trusted by users.

The Most Expensive Domain Names Ever Sold

When it comes to the domain market, some domain names have fetched astronomical prices, reflecting their immense value and potential. Here are some of the most expensive domain names ever sold:

  • Cars.com: In 2014, Cars.com made headlines when it was sold for a staggering $872 million. This domain name, purchased by media conglomerate Gannett, is now the cornerstone of a highly popular online car marketplace. The sale of Cars.com underscores the significant value that a premium domain can bring to a business, especially in a competitive industry like automotive sales.
  • Business.com: Another record-breaking sale occurred in 2007 when Business.com was sold for $345 million. Acquired by RH Donnelly, a company known for its online white and yellow pages directories, this domain name has become a vital asset in the business information sector. The high price tag reflects the domain’s potential to attract substantial traffic and generate revenue.

Homepage screenshot of Business.com, the domain name for which sold for 5 million in 2007.

  • LasVegas.com: The domain LasVegas.com was sold for $90 million in 2005, making it one of the most expensive domain names ever sold. Purchased by Vegas.com, this domain is now a leading online travel agency specializing in Las Vegas vacations. The sale highlights the value of domain names that are closely tied to popular travel destinations and local commercial online searches.
  • CarInsurance.com: In 2010, CarInsurance.com was sold for $49.7 million to QuinStreet, a vertical marketing and online media company. This domain name’s high value is attributed to its relevance in the lucrative insurance industry, where having a memorable and direct domain can lead to significant traffic and conversions.
  • Insurance.com: Also in 2010, QuinStreet made another major acquisition with the purchase of Insurance.com for $35.6 million. This domain name, like CarInsurance.com, is highly valuable due to its direct relevance to the insurance market. The sale of Insurance.com further illustrates the importance of premium domain names in driving business success and establishing a strong online presence.
  • 360.com: In 2015, the Chinese internet company Qihoo 360 acquired the domain 360.com for $17 million. This strategic purchase was aimed at expanding Qihoo 360’s brand identity with a .com domain that complemented its existing .cn presence, showcasing the company’s growth in the online market.

Homepage of 360.com, a domain name that sold for  million in 2015.

These sales demonstrate the immense value that premium domain names can hold, particularly when they are short, memorable, and directly relevant to high-demand industries.

As the domain market continues to evolve, the demand for valuable domain names shows no signs of slowing down, making them a critical asset for businesses looking to enhance their online presence and drive growth (check out our guide to domain names for start-ups).

Domain Sales and Market Trends

The domain sales market is a dynamic and constantly evolving industry. With the rise of online businesses and e-commerce, the demand for premium domain names has skyrocketed.

Entrepreneurs and investors are increasingly recognizing the immense value that a memorable and relevant domain name can bring to a business. As a result, domain sales have become a lucrative business, with many looking to buy and sell valuable domain names to capitalize on this growing trend.

Current Market Trends

Currently, the domain sales market is experiencing a surge in demand for short, memorable, and brandable domain names.

Companies are willing to pay top dollar for domain names that can help them establish a strong online presence and increase their brand recognition. The record-breaking price paid for Cars.com is a testament to this.

The increase in new top-level domains (TLDs) has also expanded the options for businesses and individuals looking to register a domain name, providing more opportunities to find the perfect match for their brand.

The market is also seeing a domain name trend towards more transparency and regulation. Many domain registrars and brokers are working to ensure that domain sales are conducted fairly and securely.

This increased transparency has helped to boost confidence in the market, attracting more investors and buyers who are eager to safely participate in the domain sales industry.

NameExperts.com: Experts in Domain Names

Our Two Top Tips for Choosing the Right Domain Name

  1. Keep it Short and Simple: A short and simple domain name is easier to remember and type. Additionally, consider investing in a premium domain to enhance your brand’s credibility and visibility.
  2. Make it Relevant: Your domain name should reflect your business or the content of your website. High-value domain leads can attract your target audience by directing them to informative and resourceful websites tailored to their interests.

Choosing the Right Domain Name

Selecting the perfect domain name is a critical step in building your online identity. Here are some additional tips to help you choose a domain name that will set you up for success:

Remember that a domain name isn’t necessarily with you for the long haul. Businesses often make the strategic decision to sell domain names to enhance their financial position and focus on their primary ventures.

  1. Consider the length and structure: Shorter domain names are generally more valuable and easier to remember. Aim for a single word or a combination of two words.
  2. Avoid hyphens, underscores, and punctuation: These elements can make your domain name harder to remember and type, potentially decreasing its value.
  3. Choose a valuable TLD: Stick with widely recognized TLDs like .com, .net, and .org to maximize your domain name’s value and credibility.

Domain Name Valuation

Evaluating the value of a domain name can be a nuanced process, but it’s essential for making informed decisions when buying a domain name or selling one.

High-value domain sales often involve significant transactions, with factors such as TLD dominance and branding potential influencing the value. Here are some steps to help you assess a domain name’s value:

  1. Research the market: Start by researching the domain market to understand the demand for your domain name and the prices of similar names. This will give you a baseline for valuation. A skilled domain broker can help you here.
  2. Evaluate the domain name’s potential: Consider how well the domain name aligns with your business or brand. A name with strong brand recognition and online presence can generate more revenue. Expensive domain sales often reflect significant financial investments in premium names.
  3. Consider the domain name’s length and structure: Shorter names with a single word or a combination of two words are typically more valuable. Avoid names with hyphens, underscores, or punctuation. Notable sales, such as Business.com for $345 million, highlight how clear, simple names generally have the highest value.
  4. Evaluate the TLD: The TLD can significantly impact value. Stick with .com, .net, or .org for maximum recognition and trust.
  5. Use online tools: Leverage online domain name appraisal tools to get an estimate of your domain name’s value. These tools can provide valuable insights and help you make an informed decision.

By following these steps, you can accurately evaluate the value of a domain name and make strategic decisions in the domain market.

Whether you’re looking to buy, sell, or simply understand what your domain name is worth, these guidelines will help you navigate the process with confidence.

Domain Flipping and Investing

A red arrow nestled on three gold blocks, indicating how domain name valuations can increase with time.

Domain flipping and investing involve buying and selling domain names with the goal of making a profit. This can be a highly lucrative business, but it requires a deep understanding of the domain market and the ability to identify valuable domain names.

Successful domain flippers and investors use a variety of strategies to find and acquire valuable domain names.

Some of these strategies include researching popular keywords and trends to identify in-demand domain names, using domain name generators to find available names that match specific criteria, and monitoring domain name auctions and sales to find undervalued domain names.

Additionally, negotiating with domain name owners to purchase names at a discounted price can also be an effective strategy.

Once a valuable domain name has been acquired, the flipper or investor may choose to sell it immediately or hold onto it for a period of time in the hopes of selling it for a higher price in the future.

This strategic approach to buying and selling domain names can lead to significant profits, making domain flipping and investing an attractive option for those with a keen eye for valuable domain names.

The Importance of Domain Security

Large blue hand with the outline of a man facing it, indicating the importance of security in domain name brokering.

Domain security is a critical aspect of online business and e-commerce. A secure domain name can help protect a business’s online reputation and prevent cyber attacks. There are several steps that businesses and individuals can take to ensure domain security.

First, it’s important to register a domain name with a reputable registrar. Using a secure domain name extension, such as .com or .net, can also enhance security. Implementing domain name system security extensions (DNSSEC) is another effective measure to protect against certain types of cyber threats.

Monitoring domain name activity and watching for suspicious behavior can help detect potential security issues early. Additionally, using a domain name registrar that offers additional security features, such as two-factor authentication and domain locking, can provide an extra layer of protection.

By taking these steps, businesses and individuals can help protect their online presence and prevent domain-related security threats. Ensuring domain security is essential for maintaining trust and credibility in the digital world.

 

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 $125 million and is renowned worldwide as a go-to expert in buying and selling premium domains. If you’d like help with buying or selling a domain name, contact us at: [email protected]

Subscribe for More Domain Buying & Selling Advice

Related posts

Close up of a man in white shirt at a laptop (only arms seen), as if he is searching for info about domain names
What Is A Domain Name and Why Do I Need One?

Domain names are one of the foundations of every global brand – they’re your calling card online. In this post, domain name expert Joe Uddeme explains how they work and how to secure the right one for your business.   You probably know more domain names than phone numbers these days. Think of all the news sites you know the address of – plus Amazon, Apple and all those big brands whose website URLs you can guess because nine times out of ten, it is their brand name + .com. While the world of domain names is easy and familiar at face value, behind the scenes, there’s a lot more going on. If you’re getting ready to buy a premium domain name – one costing in the thousands that will be memorable and potentially valuable for a business in the long term – you need to have a solid grasp of what you’re getting into. To stop you from confusing domain names with websites or even website hosting services, this post is a great place to start. Key Takeaways What is a domain name How does a domain name work How to choose the right name for your business Securing a name that will keep your business on track   What Is A Domain Name? To put it simply, a domain name is the address of your website. It is the phrase or word that you will type into your URL bar of your browser to find your website. For example, our website is https://nameexperts.com/ You can purchase domain names through a domain registrar, through a hosting provider, or let a domain name broker help you. What is the DNS? You can’t really answer the question, “What is a domain name?” without addressing DNS. Domain names are part of a large network called the Domain Name System (DNS) and it is managed by the Internet Corporation for Assigned Names and Numbers (ICANN). The ICANN is a non-profit organization responsible for management and maintenance of the DNS, as well as regulating domain registrars. How Does the DNS Work? When you type a domain name into your browser, your computer will check if you’ve previously looked at that domain. If not, then your browser will contact the local DNS server to pull it up. Your local DNS server breaks down the domain name into sections. We’ll use our name again as an example. There are three parts to nameexperts.com – www., nameexperts, and .com. The .com is known as a top level domain (TLD) and the local DNS server will search for this section first, and then serves to find all the details of your domain name and send that information back to the browser you’re using. There are obviously a lot more technical steps to it, but that’s the basics of how the DNS works. Let’s talk more about what you really need to know – what types of domain name extensions are available.   Different Types of Domain Name Extensions All domain names are made up of a website name (nameexperts), and a top level domain (.com). Though the extensions can vary, we think it is useful to know the differences between the types of top-level domains available so that when it’s time to choose your domain name, you choose the right one. The two types we are going to talk about today are Generic Top-Level Domains (gTLDs) and Sponsored Top-Level Domains (sTLDs). Generic Top-Level Domains (gTLDs) Normally, the best course of action is to choose a reputable TLD like .com, .net, or .org. But because these are so popular, there are millions of domain names that have been registered to date. So the name you want might be taken (read our post: “How to buy a domain owned by someone else”) – or it may be hard to find a name that works. Here are some of the most generic TLDs: .com (commercial) .info (information) .org (organizational) .net (network) .biz (business) Sponsored Top-Level Domains (rTLDs) In addition to gTLDs, there are also some top level domains that are sponsored by organizations or agencies for very specific and often exclusive use. Here are some examples you’ll recognize: .gov (used by the US government) .edu (used by educational institutions) .int (used by international organizations) .mil (limited to US military entities only) Subdomains We thought we should also mention subdomains. A subdomain is also known as a third level domain and is an extra part of a domain name. They are viewed as separate websites by the search engines, so creating subdomains can help improve your site’s SEO. Specifically, a good time to use a subdomain is for a blog. It might look like https://blog.nameexperts.com.   How To Choose The Right Domain Name Now that we’ve answered what is a domain name, we want to help you choose a strong domain name that accurately reflects your business. Ideally, you want to be easy for your target market to remember and be something that is timeless. Your domain name broker can help you find the perfect domain name and get you started with the process that goes along with it. Begin by doing some research on keywords that are relevant for your business. Whether it’s the name of your business or another keyword that relates to your business and you want to rank for it, this type of domain name will help improve your site’s SEO (search engine optimization). Another tip is to keep your domain short and memorable. You want it to stand out but be easy to remember – try to keep it to three words or less. You also want to make sure you avoid numbers and hyphens. People won’t remember where they go and they might mistype. Which leads us into another tip for choosing your domain name, make sure it is easy to spell. Shy away from words with multiple spelling variations or one that might be difficult to pronounce. Think long term. You want a domain name that supports the growth of your business and will last for years to come. Changing your domain name later can really hurt your business.   Working With A Domain Name Broker – The Easy Solution Getting your domain name right is crucial for your business or organization. It can help define your brand and form a lasting impression on your audience. Do your research, and then if you’re serious about securing a seemingly unavailable name, reach out to a domain broker. We can help you buy and register a name – even if it belongs to someone else. We can also advise on strong alternative names for your business. NameExperts.com has a selection of highly commercial names available for sale at any time. At the time of writing, these included eight.com, proud.com, fate.com and nickel.com.   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. Contact us at: [email protected]  

Man and woman in casual setting look at a laptop, as if investigating best places to buy a premium domain name
Best Places To Find a Premium Domain for Sale

A great domain name usually has a price tag to match – it’s why we call them ‘premium’ domains. In this post, domain name expert Joe Uddeme explains where to find high-value names that can help your business grow.   Premium domains are the best type of domains because they are memorable and tend to draw a lot of organic traffic. They are short, catchy, and quickly feel familiar – with a high potential to become popular web addresses. They also present great branding opportunities for up-and-coming businesses. The best places to find premium domains for your business include: Name Experts GoDaddy Sedo Network Solutions Domain.com Namecheap In this post, we’ll look at each of these and discuss their pros and cons. Key Takeaways: The steps to take when buying a premium domain Brokers and marketplaces for premium domain names Discover some FAQs about premium domain names

Close up of a man signing a piece of paper with a laptop in the foreground.
5 Things to Consider When Buying a Domain Name

Looking for some quick tips about securing and buying a domain name for your business? Here’s our expert guide to domain buying, covering everything from hidden fees to privacy protection.   Purchasing a domain name is an exciting thing for a new business, but there’s much more to it than simply finding the ideal name. Before you begin, there are a few things you ought to know. It’s always worth remembering that not all businesses selling domains (known as domain registrars) are the same. Some use tactics like hiding fees or promoting your data to earn more cash, which may have an enduring influence on your enterprise. In this post, Name Experts Director Joe Uddeme – a seasoned domain name broker – flags up some common things you should watch out for.   1. Look out for hidden charges As with any purchase choice, cost can be a big element. It is easy to be tempted into buying a domain at a really low cost. But don’t be fooled: a few domain registrars provide promotional pricing at an extremely low price but then hide a lot of fees in the contract, lock you in, and charge high renewal prices. Generally, be aware that registrars offering rock-bottom domains may have additional, less-than-ethical techniques to make money. These strategies include: Adding in hidden prices: Many registrars rely on the fact that most individuals do not read the fine print. Before you make a domain purchase, review the Buyer’s “Terms of Service” for any questionable terms, duties, or fees. Be sure to check what the renewal rates will be, and be certain you are only buying what you need and want. Making you pay to edit your WHOIS or RDAP listing: Watch out for registrars that charge an “administration fee” when you need to edit your WHOIS or RDAP records. Registrars will often try to “upsell” or “cross-sell” you items you don’t require. For example, they might recommend you purchase extra domain endings that are extraneous instead of helpful (for instance, .info or .co). Or, they might offer to package your domain with a bunch of other services you might never use. Charging transfer charges: Make sure the “Conditions of Service” don’t have “transfer-out” charges for moving your domain name to another registrar. These fees could be exorbitant and they violate ICANN policy (ICANN is the non-profit corporation that oversees the use of Internet domains). Beyond the cost, a few registrars make it nearly impossible to perform a transfer by making the transport procedure cumbersome and hard to navigate. It’s a good idea to check into how easy the transfer process is before deciding upon a registrar.   2. Protect your privacy Unprotected data is vulnerable to being mined by spammers and scammers. Start looking for domain registrars that offer privacy protection for free. Be cautious about dealing with registrars that charge a premium for “privacy solutions,” particularly any who offer to place their details on these registries instead of yours, which covertly gives them possession of the domain.   3. Guard your info Beyond failing to protect your personal data from public records, some registrars actively sell your information to third parties like marketing associations. Some registrars even mine the WHOIS database and then send false renewal invoices, getting visitors to unknowingly transfer their domains. Be certain to find a registrar that promises never to sell or misuse your client information for marketing purposes. 4. Focus on transparency Look for registrars that offer transparency in their pricing. You should, for example, be able to readily find your renewal prices, as well as the processes for transferring or canceling your domain name registration. Some registrars offer cheap registration during the initial purchase, but then charge flat-rate costs to renew your domain the following calendar year. They also might make it very difficult to cancel your order. Start looking for a registrar with upfront pricing info and terms of service to avoid surprises later on.   5. Differentiate support from sales Some registrars don’t have support staff but instead have salespeople who are trained to sell you add-on services you may not need – all in the guise of friendly customer support. Look for a registrar that offers courteous and professional support and help, not one that sees you as a cash register they keep trying to ring. With careful study before you opt for a domain, you can side-step some unfortunate traps and make sure your domain name — and your business – are in good hands for many years to come.   About the author Joe Uddeme is Director and Principal of Name Experts, one of the world’s top 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. Contact us at: [email protected]

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

Need help buying or selling premium domains?