RE: [DNS] Valuation of Generic Domain Names

RE: [DNS] Valuation of Generic Domain Names

From: Mr Grumpy <evenmoreunhappy§yahoo.com.au>
Date: Fri, 17 May 2002 00:06:04 +1000 (EST)
Hi Mark,

For someone  who is "helping your company make its
e-commerce and business applications work more
effectively" I cannot fathom how you are unable to
point 2 domains to the same site. I mean you
registered applications.com.au a long time ago and
seem to be wasting this resource.

Comments like " field of dreams" and "A fool and his
money are soon parted" lead me to believe you are
somewhat dissatisfied with the  internet . I am sure
people like Sasha and Rod would disagree.

Grumpy



--- Mark Hughes <effectivebusiness&#167;pplications.com.au>
wrote: > > Check these prices
> > childcare.com.au 20,000
> > children.com.au 0.00
> > flowers.com.au 153,500
> > date.com.au 100.00
> > beer.com.au 25,000
> > and my favourite
> > concrete 50,000
> 
> 
> My guess is that the above are either the actual
> prices the domain names
> went for at auction, or close to.
> 
> From memory (not a reliable guide at my age, I must
> say) I think there were
> 3,006 domain names on the generic names list.
> 
> Approximately 1,000 of these had no-one register an
> interest in by the 31
> Jan 02 deadline - they will be released and
> available to anyone to register
> when the new system goes live.
> 
> A further number (I have no idea how many) went to
> auction, but had no
> actual bids.  They will also be released and
> available to anyone to register
> when the new system goes live.
> 
> I believe - I have no hard info on this, but based
> on some sketchy anecdotal
> evidence - that of the ones that actually sold on
> auction:
> 
> * most of them sold in the $100 - $200 range
> * a number sold in the $1,000 - $2,000 range
> * a very few have sold in the over $10,000 range -
> even up to the $150,000
> amount that someone quoted above.
> 
> 
> This range makes it almost impossible to objectively
> 'value' a generic name.
> Based on the evidence so far - and the auction is
> only about a third of the
> way thru the alphabet, at names starting with F or G
> - a generic .com.au
> name is 'worth' something between zero and $150,000,
> and there is absolutely
> NO objective way to determine in what category any
> given generic name would
> fall into.
> 
> 
> High prices paid for 'generic' names are usually by
> buyers in one of two
> categories:
> 
> 1. The name matches their business, and they have
> wanted the name for yonks,
> but haven't been able to get it as it was on the
> generic list.  For example,
> 'Orange' is the name of sizable telco, and therefore
> the generic name
> orange.com.au may be quite valuable for them, and
> worth paying serious money
> for.
> 
> 2. The name is one that someone has hopes to use as
> the basis for a
> 'directory' or other 'build it and they will come'
> field of dreams type
> site.  The fact that there is absolutely zero
> objective evidence for this
> type of use being successful (i.e. no one goes to
> computers.com or
> searchengine.com, they go to dell.com or google.com)
> won't stop some people
> paying large sums for some generic names with this
> vain hope in mind.
> Australia is a rich country, there are plenty of
> wealthy people / companies
> around with money to spend, and they are free to
> waste it on this purpose.
> "A fool and his money are soon parted"
> 
> 
> Personally, I hope auDA raises a squillion from the
> auction.  That money
> helps cover their operating expenses, and the more
> money they make from the
> auction the lower their per domain name fee becomes
> for all the other
> domains.  So having a bunch of wealthy people waste
> money on generic domain
> names to reduce the fees to everyone else is a
> perfect win-win result for
> all the other .au domain name holders.
> 
> If you want to know how much auDA makes total on the
> auction, become a
> member (if you're interested in .au domain names you
> should be one anyway -
> it only costs $100) and read their annual report at
> the end of the year.  It
> should show up as a line item in the income section.
> 
> 
> 
> 
> Regards, Mark
> 
> Mark Hughes
> Effective Business Applications Pty Ltd
> effectivebusiness&#167;pplications.com.au
> www.pplications.com.au
> +61 4 1374 3959
> 
> 
> 
> 
> 
> 
>
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Received on Fri Oct 03 2003 - 00:00:00 UTC

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