Domains Names are the original NFTs (2 Viewing)

You can tell that my looking at just this year's sales of Help.com for $3,000,000 or Room.com for $1,500,000. Even a late comer tld .ai appears to be hitting the charts with multiple high-priced sales including the $700,000 sale of You.ai.

And who doesn't remember the $15,000,000 sale of NFTS.COM, or $10,000,000 sale of Connect.com - both sold in 2022.

Canadian tld .CA showed a lot of promise, but other than a handful of big ticket sales, the overall .CA resale market has been a disaster.

You'd think with time, the value of .CA names would go up, but unlike .COMs, investing in .CA has not resulted in any meaningful returns. In fact, in most cases, it has been a total loss. Same amount of money invested over the years in .COM or brick-and-mortar real estate in Canada would've resulted in much better returns.

Do you agree or disagree? Share your experience.

First question I'd have for you is, do you invest in .com also? Do you have firsthand numbers to compare? That's the only way you'll know because reported numbers are tiny fractions of all sales, even in .com. So if you look at the small fraction of .ca sales actually reported, there's just not enough data to make real decisions like that.

However, there are clear differences between .CA and .COM. .CA (or any other tld) doesn't have the depth that .com has. And a top .ca sale is a small fraction of what the .com would go for. But most of that wholesale vs end-user pricing is relative. The one factor that is_not relative is carrying costs. The price of renewing 1,000 .com isn't that much different than holding 1,000 .ca. So that's the killer. You can't justify holding as many low quality .ca as you can for .com.

You can definitely make a living from .CA domains, but it aint easy. You need a balance of volume, quality, negotiating skill and patience. Some got in early and got'em cheap. Some (like myself) came in later, but bought a lot in the aftermarket - either on individual domains or from guys selling their portfolios because they gave up. Some have patiently invested in expired domains. It is a slow process to grow to that critical mass.

I think most .ca domainers do it as a side business, very few of us make a full time living from it. In fact, even the guys who could make a living soley from .ca domains often have another job anyways. I guess they do simply because they can, as the income from a high quality domain portfolio is fairly passive, obviously not completely, but a pretty minimal amount of work.

And when it comes to the numbers, everyone is different based on the portfolio size and quality of their domains, how stubborn they are in negotiations, recognizing if you have the best buyer for the domain, etc... The more desperate you are for a sale, the more likely you sell something cheap when you could have gotten 10x more for it. So its a delicate balance of making a sale when you need to cover costs, but also knowing how to maximize your sales when you've got the perfect buyer for the right domain.

And I can assure you there are multiple 6 figure .ca sales every year, they're just not reported.

Yes, those mysterious unreported sales. Every year there are multiple millionaires minted in Canada by selling those secrete 6 figure domains. So, someone sold one or two to a US or European company for big bucks - big deal.

Maybe I have to spell it out more for some of the readers out there. I was talking about the promise and potential of .CA and where we are today. To put it more simply, all you have to do is look at how much an LLL.CA go for as oppose to an LLL.COM. If you had bought an LLL.COM in 2003, you'd be making many multiples of that amount today. LLL.CA, in that same time period, has actually lost value. LLL.CA has been a disaster. On top of that, the way the search engines have shifted over the years hasn't helped the matters much. There is also a whole new generation of internet users out there who type domain names in Google search bar.

I get the skill set you need and how it can help to get more for your .ca, but it's not enough. The market is just not there. I think we all know the number of years it took RBC to buy RBC.CA.

If we didn't have ownership restrictions imposed by CIRA, maybe that will help improve the overall market.

Would you believe me if I told you the value of EVERY .ca (and even .com) really only sits at registration fee?

No domain is worth more UNLESS someone wants it.

Domaining is a waiting game for the right end user. Sometimes you get lucky and you can hunt down an end user but I don't care how good one thinks a domain is, at the end it only has registration value (or TBR value) unless there is someone wanting it.

So all the domains sold at auctions and such are sold on speculation but unfortunately speculation only has a small chance of success.

The most successful domainers have either large, or extremely good, catalogs and they have the patience to hold the domains. With this patience comes funding, you can have all the patience in the world, if you cannot fund the renewals you still suffer.

So saying .ca has little to no value is not correct in my opinion. Do you know what sells less for me? I have hundreds of .nets that were part of larger catalogs I bought and I have never sold one. In fact I have never had a single inquiry on one. By comparisons I get inquiries most every day on my .ca's

Instead of deleting your for sale topics try to leave them up, the domains will index on google and eventually an end user will stumble across one of the listings. Now the only thing that comes into focus are the negotiation skills of the buyer and the seller. Ones success depends on how well one can negotiate without driving away the potential buyer.

It's a complicated process and a balance that most successful domainers have cultivated over many years of selling.

I used a specific example of LLL.CA vs LLL.COM over the last 20 years. The reason I did that so we can avoid a philosophical discussion around what it means to invest in domains or be a domainer.

LLL.CA vs LLL.COM - last 20 years

.COM has a market share of 36.50%
.CA has a market share of 0.61%

You're comparing apples to oranges.

If you invested $5000 in 2003 in a .com, you'd be much better off than the same amount invested in a .CA.

.CA has just not aged well. What you have here is a genuine lemon.

Again, if CIRA opened up the registration to people outside Canada, it might bring new life to .CA.

CDN said:

If you invested $5000 in 2003 in a .com, you'd be much better off than the same amount invested in a .CA.

.CA has just not aged well. What you have here is a genuine lemon.

Again, if CIRA opened up the registration to people outside Canada, it might bring new life to .CA.

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I've sold a lot of lemons

MacMan said:

I've sold a lot of lemons

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Me2

Coincidentally, I received the last payment of 12 for a lemon I squeezed at $14,800

MacMan said:

Coincidentally, I received the last payment of 12 for a lemon I squeezed at $14,800

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Congrats! Nice sale (I think?) lol, hard to tell without knowing which lemon it was!

MacMan said:

Coincidentally, I received the last payment of 12 for a lemon I squeezed at $14,800

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Talking of Lemons, both Lemons & Lemon.ca are for sale!! Must be pretty up there!!

Eby said:

Talking of Lemons, both Lemons & Lemon.ca are for sale!! Must be pretty up there!!

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My point exactly.

.CA is a lemon. Sure, you can squeeze it every now and again and make a delicious glass of lemonade, but it is still a lemon.

Eby said:

Talking of Lemons, both Lemons & Lemon.ca are for sale!! Must be pretty up there!!

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I remember trying to buy Lemon.ca in Jun 2018, I was also looking at Lime.ca

Did not manage to get either but did end up getting Lyme.ca

As far as Lemon.ca being a lemon goes..... OMG, I would love to own that Lemon

Is lemon.quebec a lemon? citron.quebec?

Both are available if anyone's wondering.

mcm said:

Is lemon.quebec a lemon? citron.quebec?

Both are available if anyone's wondering.

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.quebec is a lemon tree.

CDN said:

.quebec is a lemon tree.

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Agreed

Take the .ca market and divide it by 10

That is .quebec

Pretty slim market

mcm said:

Is lemon.quebec a lemon? citron.quebec?

Both are available if anyone's wondering.

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Someone went ahead and purchased citron.quebec!

Best of luck to the buyer!

MapleDots said:

Agreed

Take the .ca market and divide it by 10

That is .quebec

Pretty slim market

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mcm said:

Someone went ahead and purchased citron.quebec!

Best of luck to the buyer!

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Not me. If I had the money to start my own tld (top-level domain), I would never use .quebec. My first choices would be either .qc or .pq. That's just me, but what do I know.

mcm said:

Someone went ahead and purchased citron.quebec!

Best of luck to the buyer!

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How is it that someone can buy citron.quebec and not buy lemon.quebec - LOL. OR do you think just one L is more appropriate.