Since the launch of generic gTLD domains in Februrary, domain investors are polarized about the potential of their investments.
While some swear that their domain registrations of gTLDs come with a strategy and a solid plan, many simply grab whatever they can in order not to appear to be left out of the game.
Meanwhile, old school domain investors advise everyone to be cautious about the potential of a full collapse of the market.
What are the reasons such domain investments crash and burn?
Here are the 7 reasons why your gTLD choices are sure to fail:
- Your domains are trademarks, either the keyword or the combination of the keyword+gTLD. If you somehow managed to grab these, get ready to lose them in a URS or a UDRP even.
- If you registered expensive gTLD domains during the opening days of general availability, you probably paid a premium. Depending on your ability to turn the domains into profitable web sites, you might succeed – or fail – to turn profit before renewal time arrives next year.
- You registered a bunch of generic keywords that make no sense along with the gTLD. While some might be good, others are a complete waste of money. Stick to combos that make sense.
- You rushed to sell the domains, at any price. Making a profit for a quick flip is the easiest way to leave money on the table. If you must sell domains you acquired two months ago, at least try to find end user buyers that will pay a premium price.
- You listen to the naysayers, alleging that you will crash and burn. If you live and breathe among people reeking of negativity, you won’t be able to focus and move forward.
- Your gTLD portfolio is not diversified enough. If all you did was invest heavily in a couple of gTLDs, then it’s the equivalent of putting all your eggs in one basket.
- You registered no gTLDs whatsoever; in this case, your plan was doomed to fail from the beginning!
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