Technological developments and the Internet have brought us new ways to generate income for ourselves: one is flipping, a method that allows us to make money from buying and selling domains and sometimes even websites for sale.
To remind you that each domain is unique, that is, there may not be two domains with the same name, which is basically the basis that creates the economic value of the domain. Anyone who purchases a domain owns it and if there is another person who desires the particular domain and for whom it is valuable, they may be willing to pay it higher than the normal value of a domain (the cost of registering a new domain). This is essentially the essence of flipping, buying a cheaply priced domain and selling it for a higher price, in order to profit from the price differential. The cost of registering a new domain, assuming that the requested name is available, is a few dollars. But then the value of the domain can even reach hundreds of millions of dollars. The most famous example is the cars.com domain, which sold for close to $900 Million. Anyone who really manages to get attractive domains on the cheap can certainly make a living from that.
How to make a flipping domain?
- In the first step, find a domain worth buying; you can try to look for domains related to a particular product, brand, etc. You can try to see if the domain is available or find opportunities on sites that sell second-hand domains.
- In the second step, you need to analyze the domain and see how search engine friendly it is, whether it has a short and easy name, is it relevant, branded, etc.
- Once you have chosen the domain you must purchase it and register it on your behalf.
- Now you need to find the buyer for the domain, which means a buyer for whom the domain has value and is willing to pay a higher amount, higher than what you paid for the domain. To do so, you can offer it for sale on designated sites, or even build a simple homepage in the domain that offers it for sale.
- The final step, once the buyer is found, is to transfer the domain ownership to the new owner.
Investing in websites
The Internet is nothing new in our lives, its commercial use started in the 1990s. Many years have passed since then, but the Internet is still growing and has not yet reached its full potential. The Internet has revolutionized all areas of our lives and still today there are many kinds of revolutions related to Internet innovations. Initially, we got the topic of innovation, mainly because of concerns about making financial (internet payment) transactions with websites, but today this has become acceptable and even for many people more secure than billing over the phone, the Internet is a very large business scene and what is no longer there.
Why do Businesses Want to Invest in Websites?
Websites provide a number of benefits to businesses and almost every business, even the smallest one wants a promoted and invested website. In many cases, the website is the sole source of revenue for the business, i.e., it is a business based solely on internet activity, for example: Fiverr, Flippa, ShareASale, Upwork, etc.
Businesses investing in websites enjoy advertising tools and a way to raise awareness about the business. Many of us who need a product or service use the web search. For example, ordering a movie ticket, ordering a pizza, buying an apartment and car, searching for a florist and placing an order, buying music, buying clothes, etc. – these are actions that can be done today through the Internet. A florist that has a website can reach a larger audience compared to a store that does not conduct internet activity and depends solely on customers reaching the point of sale.
Not only does the Internet allow business to reach a larger audience, the Internet also allows any small business to conduct international operations without huge logistical expenses.
Also the websites allow you to provide added value for the customers. The website can provide complementary information and service for the customers. For example, a company that provides technology products can use the website not only for sales, but for providing customer support service.
And finally, there are businesses that conduct all their online business. For example, online stores that save all the expense of setting up a store and running operations and instead manage to make sales with a ridiculously costly website that sends its products by mail or through couriers to customers.
The great potential of the websites has made the world of websites for sale online an in-demand product in itself, a product that has a market for buyers and buyers. Often, some people choose to invest in an existing website and use it for their business activity, while enjoying the seniority and audience of the site.
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