This document summarizes key insights from a GoDaddy presentation on domain name trends. It found that domain sales grew 41% in 2018, driven by increased demand. Data shows shorter domain lengths between 5-14 characters and 2-word domains sell more often and for higher prices on average. Common top-level domains like .com make up over 90% of sales. The document provides an example of an individual who was able to build a $400,000 portfolio within 6 years by buying 3-6 domains per day under $75 each and selling them for $2,500-$3,500 on average. It emphasizes optimizing domain listings and using sales landing pages to maximize exposure and close rates.

1. Domains Trends &
Insights
NamesCon Global 2019
Las Vegas, NV
Copyright© 2018 GoDaddy Inc. All Rights Reserved.
January 28, 2019

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2018 Trends / 2019 Thoughts

3. YoY Sales Growth was Significant driven by increased demand
Copyright© 2018 GoDaddy Inc. All Rights Reserved.3
Sales*
+41%
Inquiries
+29%
*Gross sales of aftermarket domains from 3rd party inventory

4. International Sales Accelerating
Copyright© 2018 GoDaddy Inc. All Rights Reserved.4
47%
87%
56%
60%
*Gross sales where we can determine buyer location

5. Consistent Global ASP
Copyright© 2018 GoDaddy Inc. All Rights Reserved.5
$1,902
$2,251
$1,822
$1,993

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Why Should
I Care?

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Domain Investing is Not “One Size Fits All”

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High Volume: Reg Fee or Closeouts, ASP $300-$500
High Value: $2,000+ Acquisition Cost, ASP $20,000+
Sweet Spot: $30-$60 Acquisition Cost, ASP $2,000-$5,000

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Set a Goal, Then Work Backwards

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Meet Dominique

11. Dom’s Strategy
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0
2,000
4,000
6,000
8,000
10,000
12,000
14,000
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16
Domains in Portfolio
$-
$5,000
$10,000
$15,000
$20,000
$25,000
$30,000
$35,000
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16
Revenue
• Buy 3-6 Domains Per Day
• Average Acquisition Cost $50-$75
• Price For $2,500 - $3,500 ASP
• Optimize For 1% Annual Sell Through

12. Copyright© 2018 GoDaddy Inc. All Rights Reserved.12
$-
$50,000
$100,000
$150,000
$200,000
$250,000
$300,000
$350,000
$400,000
$450,000
1 2 3 4 5 6 7 8 9 10
Annual Sales Annual Cost
Dom’s Break-Even Analysis
Year 6: $98k Margin

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Data is Your Friend!

14. SLDs between 5 and 14 characters showed higher demand and value
Copyright© 2018 GoDaddy Inc. All Rights Reserved.14
0%
2%
4%
6%
8%
10%
12%
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34
% of Revenue and Units
% of Units % of Revenue

15. Shorter = Higher Average Sales Price
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$0
$500
$1,000
$1,500
$2,000
$2,500
$3,000
$3,500
$4,000
$4,500
$5,000
4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26
Avg Sale Price by SLD Length (all TLDs)

16. Customers buy 2-word domains far more than 3+
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0 1 2 3 4 5 6 7 8 10 15
Top Keywords:
Home
Group
Life
Health
Coin
Go
72%
19%
3%
Top Prefixes:
The
My
Your
“I”

17. .com dominates sales charts, other TLDs picking up
Copyright© 2018 GoDaddy Inc. All Rights Reserved.17
TLD % of sales ASP YoY Unit %
.com 92.4% $2,268 24%
.org 2.6% $2,211 10%
.net 1.5% $1,589 -11%
.co 1.4% $6,779 -23%
.io 0.4% $3,143 65%
.ca 0.2% $2,698 9%
.us 0.2% $753 29%
.co.uk 0.1% $1,244 61%
.me 0.1% $2,392 35%
.tv 0.1% $2,805 8%
92.4%
2.6%
1.5%
1.4%
0.4%
0.2%
0.2%
0.1%
0.1%
0.1%
0.0% 20.0% 40.0% 60.0% 80.0% 100.0%
.com
.org
.net
.co
.io
.ca
.us
.co.uk
.me
.tv
TLD as a % sales

18. Top ccTLDs and gTLDs
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Top 7 ccTLDs
(by unit)
ASP
.co $6,779
.us $753
.co.uk $1,244
.ca $2,698
.com.au $2,552
.de $2,713
Top 6 gTLDs
(by unit)
ASP
.app $1,218
.xyz $924
.club $1,991
.life $1,337
.shop $2,411
.online $2,452

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Auctions
Domain Name Aftermarket
Criteria:
• .com
• 5-14 characters
• Two Words
• >$2,500 Valuation

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Auctions
Domain Name Aftermarket
Domain End Date Final Price Valuation
DownloadShare.com 1/13/18 $49 $2,928
OrangeLiving.com 1/13/18 $133 $2,658
IrelandDirect.com 1/10/18 $163 $2,837
JustSurplus.com 1/11/18 $84 $2,599
AdultMix.com 1/13/18 $30 $3,198
ReadyPharma.com 1/14/18 $45 $2,570
ContentLife.com 1/12/18 $22 $2,660

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Optimize Listings for Maximum Exposure
Price to Sell
Let the Pros Handle Your Leads
Optimize Listings for Maximum Exposure
Price to Sell
Let the Pros Handle Your Leads

24. List for maximum exposure
List in one place at Afternic, sell everywhere.
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70,000,000+
live searches per month

25. Pricing
25
• 59% of sales were
within $1000 of
GoDaddy Appraisal
Value
• 89% of sales were within
$2000 of GoDaddy
Appraisal Value
Copyright© 2018 GoDaddy Inc. All Rights Reserved.

26. Branded Lander
26
• GoDaddy Name Instills
Trust
• Professional Brokers
• Selling is About
Understanding and
Advising
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20% Higher Close Rate
when we make contact in
first 24 hours of inquiry
46% Higher Close Rate
when engaged by phone

28. Value of “For Sale” Banner
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$0
$20,000
$40,000
$60,000
$80,000
$100,000
$120,000
$140,000
$160,000
$180,000
Month1
Month2
Month3
Month4
Month5
Month6
Month7
Month8
Month9
Month10
Month11
Month12
Month13
Month14
Month15
Month16
Month17
Month18
Month19
Month20
Month21
Month22
Month23
Month24
Revenue
Added “For Sale” Banner

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Takeaways:
• Domain Sales are Accelerating
• Full Time Investing is Possible (Even Today)
• Stay Short (5-14 Characters) & Two-Words
• Optimize for <$150 Acquisition & >$2,500 Value
• List on Afternic
• Use a Sales Lander
Download Full Presentation X.CO/NamesCon19

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