Saturday, April 4, 2009

There Is Money To Be Made From Dead Domain Names

Each day website owners are allowing domain names they have purchased to expire completely by accident. Yet a well informed investor who is aggressive enough can snap up these domain names and capture a large amount of existing website traffic for what is a brand new site. Unfortunately, there are many website owners today who have lost out because of this whilst there are just as many perceptive investors who have been made richer because of it.

All websites only survive if they have regular amounts of traffic being directed towards their site each day. So often when a site which has a memorable domain name and constant traffic going to it becomes available they will quickly be snapped up by some of the more savvy domain name investors around. Then often within a matter of days they have sold the domain name on for a profit.

Let us say for example a sit has become available which sells bridal gowns and other wedding paraphernalia but because the site is not user friendly or it has been poorly designed. Or because the products it is selling are over priced and has now done as well as the owner had expected so they have allowed the domain to expire.

Once the domain name on this site has expired then a person will have the chance to actually purchase it for themselves. Normally those involved in investing domain names will use the services of a domain watchdog company who will immediately inform them of any names which become available that they may be interested in. Upon hearing about the site say the bridal gown one the investor has the choice whether to purchase it or not. Sometimes they can pick up domain names for as little at $6.95 using a domain watchdog service.

Within a matter of minutes you could find yourself being the owner of a site that has plenty of traffic being directed towards it. But what you will then need to do in order to generate cash flow for it is to build a new website page with a number of related ad links placed upon it. Doing this will help to better monetize any existing traffic that is being directed towards the site.

As time passes then you as the investor have the choice of either building up the site even further which will in turn help to generate more cash for you. Or you can simply choose to resell (flip) the side to another domain name investor, domain name broker or a person who is actually interested in owning the website for themselves.

If you have an old domain name which you are considering getting rid of it may be well to place it on a site such as eBay or one of the many domain name auction sites which have now been set up online. You may well be pleasantly surprised at just how much you can sell it for using these sites. On eBay in recent times some of the more unusual domain names which have been put up for auction have sold for as much as $500 which is a tidy profit in anyones book.

However, for the more serious minded domain name investors out there they utilise a number of free and paid domain name valuation tools and services online, which can help them to make a more informed decision. Although the actual valuation prices tend to vary vastly because it depends on whether they have been either automated or manually generated by someone, it is not unusual for a domain to sell for more than its owner would have originally thought.

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