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Home > domain names > Site Flipping - Investments That Pay Dividends (Part 2)

Site Flipping - Investments That Pay Dividends (Part 2)

July 16th, 2008
by Smash Masterson

We can logically see that people always type in the words of what they are looking for like cell phones in this case but you can bet they will type in cellphones.com repeatedly and it’s a great way of reducing advertising costs for this domain name type.

* If you have a crappy page, they still come. * If you insult them with pop-ups and banners, they still come * If you have poor navigation, they still come. * If your prices are sky-high, they still come. * If your selection is limited, they still come. … all because of your domain! I’m not suggesting you do any of those things, I’m just sayin;)

I know it sounds amazing people would type in a keyword string and add a dot com, but they do. In fact, it’s estimated that 50% of all Internet traffic is type-in, also known as direct navigation. And when you take out the obvious destinations people type-in like Yahoo, Google, and MSN, the number is still almost 20%. I didn’t believe it myself, but worked with a search engine client a few years back and discovered two very interesting facts about online users that if you understand, will make you money:

Get this - 1) Searches done in the address bar add up to a staggering 31% of every single search. 2) A moderate 28% of address look ups are carried out in the search bar. People just have no idea on how to use the dam internet, but that allows us Domainers to reap the benefits. Did you know why “yahoo.com heads the searched terms list? I wonder why.

So what’s CellPhones.com worth anyway? About 125,000 hot responsive visitors a month! And what are they worth, pray tell? Well, if you park the page and get paid on click revenue, it might be worth $15,000 - $30,000 a month… just based on type-in traffic. If you were offsetting the cost of advertising for an affiliate promotion, a click for a term like “cell phones” might go for buck or so, so you’d come out ahead by over six figures per month.

If you added to the power of this domain name to a high street business that sells cell phones, then you would probably be able to increase sales up to 3 million dollars per month. What power domain names can have on a business like cellphones.com which is worth a seven figure number. We can now see how important it is for domain names to be part of a perfectly structured business plan. Investment-grade keyword domains are responsible for this e-commerce powerhouse that can pay great dividends, gives you a monthly income and right up until you decide on selling your web site.

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