How To Make Money Selling Domain Names
Selling domain names can be a money-spinner, especially if there is existing traffic going to the site. In some instances domain names have generated thousands of dollars and there are a lucky few where millions of dollars of profits are involved. How do you get in on the action and start selling domain names for profit?
It's all in the keywords
The trick is to have a keyword in your domain name that is highly searched but not used by other websites. A keyword analyzer can help you search for such a keyword and the best ones are sites such as Word Tracker or Keyword Analyzer. You have to pay for these searches but in this instance it is preferable because they are able to show you the competition you have for your keyword -- something the free ones don't offer. You can get a free trial and upgrade to the paid version if you want to try it out before you buy the service.
Get your domain name
Once you have searched for an appropriate keyword you have to get your domain name. If you want to sell your domain name, you need to set up a website in order to drive traffic to that URL. The more traffic you have, the more valuable your domain name becomes.
Ideally, you should go for a package that includes a domain name as well as web hosting as this eliminates the problems of transferring domain names when you have a buyer.
When you choose your domain name, make sure your keyword is in the name and you can use fillers if that keyword is already taken. For example, if you want to use the keyword ‘cats’ that it is taken, you can try ‘cats101’ or ‘coolcats’ to find a domain name that is available. Aim for a memorable, keyword-rich domain name, preferably with a .com extension, as this is what many buyers will be looking for.
Create a website
Set up a website using your domain name. A couple of pages is plenty big enough and you can keep it very simple. You will need some content which includes your keywords and add in some good graphics or photographs to enhance interest on your site. You could even include a YouTube video and don't forget to add in an opt-in form to collect any subscribers, as a list will add even more value to your domain name.
Also consider adding a downloadable product and even an affiliate program as this will help to get your Internet business and your domain name established, adding more value again to your domain name.
Get some traffic
Once you have a reasonable website, you will need to drive traffic there. By all means give your site an initial boost by buying some traffic (make sure it comes from expired domain names rather than bots or paid e-mails) but remember that you still need to build incoming links with other websites. You can achieve this by submitting your site to directories, forums, classified adverts, message boards and so on, as well as all the social media. Article submission is also a great way to get free traffic to your site and try to get reciprocal links with relevant websites. Link exchanges are a good place to look, try Link Market.
Evaluate the value of your domain name
Keep going with links and promoting your site until you get a steady stream of traffic. Once this happens, you will get a rating on Alexa. If you get a good rating, you can check to see how much your domain name would sell for using a domain name appraiser. This will give you a realistic idea, but don't worry if it seems a low amount because in reality, your domain is only worth what someone is willing to pay for it. It could be that your traffic is worth a lot more than the actual name. Also, a website is more complex than an appraiser can evaluate – you need a real person experienced in valuing websites to give you a true value and this can be done for a reasonable fee.
Selling your domain name
When you are ready to sell your domain name, you can put it up for auction either on its own or to include your website -- it is usually optional whether you include your website but if you have one, why not include it.
Once your domain name sells you will need to transfer it to your buyer and your web hosting company will tell you how you can do this.