Since 15 March 1985, millions of domains have been registered. Many websites that monopolise the internet have one-word domain names. Although domains can still be registered using automated systems, the majority of premium domains have already been taken.
Domain investors search for previously registered domains, which can command anything from a few thousand to several million dollars. Rather than focusing on quantity of domains, domain investors build portfolios of premium domains. Domains appreciate in value and can offer a huge return on investment. Anybody searching for a premium domain should be prepared to pay a significant amount for a market-leading domain. Domain names are unique, asset scarcity results in appreciation of value.
It is easy to demonstrate this point when looking at the following domains:
- Business.com was purchased in 1999 for $7.5 million, but in 2007 the same domain was sold for a whopping $345 million USD.
- LasVegas.com was purchased for $90 million USD.
- Carinsurance.com was purchased in 2010 and bear in mind this is a two-word dot com, it was purchased for $49.7 million USD.
- VacationRental.com, with the rise of tourism, was purchased for $35 million USD.
- 360.com was purchased for $17 million USD.
Domains continue to grow in value as E-commerce enters an exponential age; a premium domain can propel a brand and give it international recognition.