Archive for February, 2008



Investor’s Business Daily article on domain industry

Investor's Business DailyInvestor’s Business Daily has published a throughout positive article on the domain business. This makes it the third major publication to highlight the domain industry in two weeks after the Sydney Morning Herald and the International Herald Tribune.

People scoffed when investment firm eCompanies paid $7.5 million for the Web address business.com in 1999 from a person who had paid $150,000 for it.

The purchase, though, shined a light on a secretive world where people actively and aggressively buy and sell Web domain names.

Thousands of Web addresses were bought in the early days of the dot-com boom on a hunch by people who expected Internet real estate would appreciate in value.

They were right, and still are.

Continue reading here.

Pharmacy.com bought by Wal-Mart?

Wal-Mart 

Sean, a reader of this blog, alerted me that the Pharmacy.com domain name points to a Wal-Mart website now:

Hi,

It appears that Walmart bought Pharmacy.com.

Do you know how much it went for?

Thanks.

Sean B.

No, I don’t know how much it went for. At this point I can’t confirm for sure that it has been sold, either, because Wal-Mart isn’t listed as the new owner in the whois. It looks like it, though. FairWinds Partners started brokering the domain last year at a $50 million asking price. They sent out about 100 emails to potential buyers. I do know that Wal-Mart was on that list. The domain’s whois currently shows CSC Corporate Domains as the owner and the email address of a law firm. So it looks like the domain is in escrow. If the domain has indeed been sold, it will be interesting to know how much it went for. Personally, I think it’s unlikely that they fetched the $50M price tag, but I can see Pharmacy.com selling for $5-15 million at this point of time.

** UPDATE **

Elliot Silver points out in a comment here that the domain is going through an affiliate redirection, which I didn’t notice, so Wal-Mart apparently doesn’t own Pharmacy.com after all. It’s possible the owner of the domain is just testing its performance through Wal-Mart’s affiliate program.

Communicate.com buy recommendation

Via The Domains:

In an article published on Feburary 1, 2008, Andrew Feinberg on behalf of Kiplingers, gave a big buy recommendation on Communicate.com one of the stocks in our Domain Parking Stock Index.

In the article M. Feinberg states that the company is worth 50 more than it was at the time of publication ($1.97 at the time of publication and now already over 50% more at $3.15).  Mr Feinberg cited the company value in that it has over  seven million dollars in cash, the value of it’s domains name, and the performance of it’s most active site perfume.com.

Continue reading here.

Follow-Up: IDN Traffic

Quick follow-up on my post about IDNs from few days ago:

In the post I wrote that IDNs have not performed all-too well traffic-wise, in my experience. However, I asked a fellow German domainer, Nico Zeifang, who owns some high-value IDNs, for his opinion on this topic. He was so kind to share his experiences and some traffic numbers in the post’s comments area. Here is what he said:

Hello Everybody,

Dominik asked me whether I could comment on the traffic issues for German IDN’s as I was responsible for the purchase of two of the more well-publicized (through dnjournal) purchases of German Keyword IDN Domain names. Let me comment on Ernährung.de first which I bought more than a year ago. Ernährung is the proper German spelling for nutrition and I excpect (although it is hard to say) to get about the same amount as the non-IDN version (although the IDN version is gaining ground and the non-IDN version should be loosing ground as people get more used to being able to use the natural spelling – which is IDN – in their Domain names). Traffic numbers (Unique visitors) by month since the purchase were:

October 2006 351
November 2006 404
December 2006 349
January 2007 729
February 2007 587
March 2007 727
April 2007 569
May 2007 776
June 2007 753
July 2007 606
August 2007 574
September 2007 742
October 2007 870
November 2007 694
December 2007 467
January 2008 901

So as you can see, traffic is clearly on the rise. Overall, I am very very happy with this investment. I have received considerably higher offers on this name already and would put it in the Euro xxx xxx value range at the moment.

The other purchase published in DnJournal.com was Bücher.com (German for Books). This is a more tricky one to comment on as it has not been constantly parked but rather used with different affiliate programs as well as leased out on a flat fee in the past. The name is getting about 300 – 500 unique visitors a month. It is another investment I am very happy with.

To conclude this: In languages, where the IDN spelling is the natural spelling and the IDN characters are readily accessible on the keyboard (as is the case in Germany) I would prefer to own the IDN version over the non IDN version any time.

Hope this helps Dominik, keep up the great blog!
Nico

Moniker brokers FreePorn.com for $4 million

MonikerPOMPANO BEACH, Fla., Feb. 1 /PRNewswire/ — Moniker (http://www.moniker.com), a provider of Domain Asset Management(TM) services, continued to lead the industry in premium adult-related domain name sales having successfully brokered the sale of FreePorn. com, an adult entertainment portal, for US $4 million. Separately, Moniker also finalized its domain name auctions at Internext Las Vegas, grossing more than $1.5 million in domain name sales from that event.

The sale of FreePorn. com marks one of the largest two-word domain name sales in history and is the largest domain transaction of 2008, to date. The site was launched in 1996 and has consistently been one of the largest portals of free, adult entertainment on the Web. The site has continually gown in page and traffic rank according to Alexa.

“A marketable domain name is crucial to the success of any online adult entertainment business, perhaps more so than in any other industry,” said Monte Cahn, co-founder and President of Moniker. “FreePorn. com is generic in nature, helping its new owner benefit from direct navigation and general in- bound inquires directed at the site daily.”

Moniker Finalizes Auctions From Internext Las Vegas

Moniker has also verified its live and online auction results at Internext Las Vegas 2008, the world’s largest business-to-business online and digital media adult conference.

To view all the inventory that was sold during both the live and online auction, visit http://marketplacepro.moniker.com/auction/events/185/results.html.

During intense live bidding, more than 60 domains sold for $1.1 million; SickSiteNetwork, a group of successful sites, including ConsumptionJunction .com and a fully functioning business, was the biggest sale of the night, netting $550,000.

The concurrent online auction netted an additional $125,000.

Further, Moniker has donated the proceeds from the sale of AdultPhotoExchange .com to The Association of Sites Advocating Child Protection (ASACP). The $5,000 sale proceeds will allow the ASACP to continue its commitment to protect children’s welfare online.

“The donation of AdultPhotoExchange .com from Moniker is much appreciated and will increase awareness about the ASACP and its mission, as well as help fund our operations,” said Joan Irvine, CEO of ASACP. “By following professional business practices that reflect that an online business is ‘by and for adults’ only, Web site operators are helping protect children. Companies like Moniker are examples to the adult community. Their commitment to educating business owners on how to professionally and ethically manage their online business is commendable.”

Moniker was responsible for selling more than $20 million in adult-related domains in 2007, including names sold at separate Internext auctions in Las Vegas and Miami last year. Moniker remains the only Domain Asset Management company and auctioneer for various niche markets including adult, gaming/gambling, affiliate, webmasters, geo-targeted, and more.




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