DOMAIN NAMES Auctions: Internet Domain Names

AfterNIC (Internet domain names)

Sedo (U.K. Internet domain names)

Domain name auctions have increased in popularity over the years as quality domain names have been snapped up by eager entrepreneurs. Currently, businesses that want short and recognizable URL's are competing amongst themselves for the purchase of expired or dormant domain names. Many quality domain names were snapped up early in the internet boom and have not been resold frequently enough to establish a base price.

The laws of supply and demand are working well in the domain name arena, if fact one can say with a vengence. Recently, the URL www.auction.com was sold for $1,700,000.00 to a firm that auctions bank owned real estate.

Establishing a proper market valuation of the domain name can be difficult for the unsuspecting seller. However, by using auctions, buyers and sellers can agree on a fair market price. The buyer will set the price for an item they want to buy. Buyers compete amongst themselves to establish the true market value of a domain name.

Before going to auction it's always wise to have appraisers review your domain name specifics in order to quantify the best possible price you can expect in an auction. If you can afford it, have 2 or more appraisers review the site to give you an unbiased opinion on the site metrics/valuation.

Choose an auction site that will provide you the greatest visibility that is possible, for the smallest auction fee. Keep the auction open as long as possible, at least 30 days in order to get the greatest exposure.

If you have an appraisal, set a minimum reserve price in order to meet your expected sales goal.

Once you have sold your domain name, be prepared to enter 100 day escrow period, where the legal owner of a domain transfers title to the new owner. It is at this time all transfer and renewal fees need to be paid in order for the official transfer to take place.

Auctions allow you to quickly establish a fair market value for an item that is traded infrequently, espically domain names.

Happy Bidding !