Domaining for Short Profit - $500 per month

I have received a lot of good comments on this small article/post I made, and I believed it was mentioned in the old forum, so I'm going to re-post here for new members and the new archives.

Domaining for Short Profit- $500 per Month
by Todd Walker


In my years of making money online, I have learned that you don't want to put all your work into one revenue streams, in fact the key is to make money using multiple revenue streams. One revenue stream that I use is Domaining, it is not making me rich, however, it does pay for my monthly internet expenses such as hosting and memberships I am a part of. Using domain names correctly, I make an average profit of $500 every month. This article describes how I go about doing that.


The Study

As the impatient entrepreneur that I am, I wanted to create a revenue stream that I can invest into and profit easily every month. In my research I found that buying and selling domain names can bring a nice hefty profit. However, most research I looked into described domaining as a long term investment. For example, buying a 5 letter domain name for $200 or so, and holding on to it, or building a site on it, and then reselling it for $1,000+.

In my eyes, I don't have time to take a risk for a small $800 profit, I don't have time to research domain names and speculate the possible return after building a site, marketing, etc. So, I started to study how I could make a small profit off domain names. In my study, I researched how much domain names were selling for, I found that most keyword domain names, such as, fishingisfun.com would sell for $20+ with no traffic, no site, just the name.

So, I invested in a domain name database which tells me when domain names are going to expire, what names are already expired, and what names are being deleted from the register system.

The Test:

I would go into my domain database and think of any keyword that I liked, sometimes I did some research on Google Trends to find a new hot trendy domain name. For this example, we are just going to use (piano). I search the database for domain name that are under 10 characters, have no hyphens or dashes, just solid names.

This is what the turn out looked like. Keep in mind I just did this now, so these domain names that you are about to visually see are available for you to test this theory out. However, someone might pick them up before you do.



I would probably by, piantoyou.com, or infopiano.com it will cost me $6.95 through Godaddy using the Promo code "OHY3". This turns the $9.99 .com into a $6.95 name, with tax, to be about $7.15 I believe.

So, that is my initial investment, $7.15, now to make that $500 per month, I don't buy one domain name, but will do this for about 50 different keywords, buying around 50 different domain names. The goal is to sell each domain name for $15+, this will double my investment.

The Profit:

Now, you can't expect all the names to sell within that first month, however, you can expect at least 50% of them to sell. I begin packaging them off at places such as sitepoint, digitalpoint, ebay, sedo, godaddy, etc.

Starting the price at $15 for each name... In my first test actually buying 50 names, I sold 37 of them at an average price of $22. Which equaled to a $814 revenue.

$814 Revenue - $357 (50 names * $7.15) = $457 Profit

After my initial test I kept doing this for about three months, some months I would do really well, average sale price around $25 and selling all 50 names and make a nice $700 profit, however most of the time I make just around $400-$500 when I do it.

The ones that didn't sell I would put a site on, one article, and submit that article, and then it sold.

That is domaining for short profit.


W