Why Domainers are Hated all over the world

Started by Zora2012, Oct 03, 2022, 09:07 AM

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Zora2012Topic starter

I do not know if you know all the people who went beyond being an Internet domain name owner through their workplace, niche or platform, grew up, earned income and built a real business. That day.
Do you know what it takes to create a domain and succeed?
It takes years of failures, learning front-end and server-side web development (in my case), trying out hundreds of new ideas, more than ten years of failures, and finally making it all work.

What are you all doing? You buy cheap, accumulate and sell astronomically expensive. You are hated in every marketing circle, developer community and on the Internet in general. I mean, people hate domainers. I'm not sure if some of you know about this, so let it be known - you are not needed on this internet.

Because of your greed and the greed of registrars, you have contributed to the dilution of the domain game by registrars releasing 1,100,00,000 new TLDs so that the average person has a chance to own a unique web property.
Pay a company such as Handjob1234.com , with large domain names of 20k
That's it, I think most of you are crazy, I think most of you are greedy, most of you can't handle marketing, development or design, so you rely on basic monetization tactics to survive.


It also happens that you decide to register a domain, and it is already occupied by someone besides you. You know, at this moment, somewhere on the other end of the server, sitting on domains and a bunch of gold coins, a cybersquatter is giggling. He is rubbing his hands, waiting for you to write to him to request a $10K for the domain.

This is how many perceive domainers. Domainer is one of the most controversial professions. Partly because few domainers are ready to become public. I chose the path of openness, so I think we need to go to the end and finally tell who the domainers really are.

My story could be in the format of an autobiographical novel, but since many people have a lot of stereotypes about us in their heads, the format of this text has turned into a step-by-step refutation of myths. So let's get started.

Domainers earn millions
You hear about big deals and extrapolate the amount to all domains. But such sales are rare. Moreover, often such domains already belong to a large company, and the transaction takes place without the participation of the domainers.

There are no more than a dozen professional domainers, while the rest are engaged in domains as a hobby. Why do I think it's a hobby? Because the income from domains is unstable, and for many this activity does not pay off at all. To extend a portfolio of 500 domains per year, you need to spend $1K. At the same time, 500 domains is such a number that it is not even a fact that there will be at least one request per week. Sales are even more difficult: there may be fewer than months in a year. Therefore, for many domains are just a hobby, at best – an additional source of income.

In order to somehow recoup the time spent on choosing, intercepting and selling domains, you need to own at least 1.5 thousand domains. And this is already more than $3K per year for renewal. To pay off a portfolio, you need to sell a lot and often. And the most frequent transactions are not hundreds of thousands and millions, but $1K or even less. Many domains generally sell cheaper than they spent on their renewal from the moment of registration.

Most domainers are people who simply collect domains and perceive them as an asset that may come in handy sometime in the future to make a website or sell. They even call their list of domains not "portfolio", as is usually customary, but "collection". Often such domains are simply released after many years of renewal. On average, 100-150 thousand domains are released every month only in the RU zone. For the most part, these are the domains that have been overestimated and recorded in the illiquid. Many of them are intercepted at auctions of vacated domains by other domainers.

Sometimes premium domains are also released. Then the price for them can reach up to half a million. Yes, the high cost of a domain is not always a sign of a large appetite of the domainer – many domains are initially bought or intercepted from registrars at a price of $3K.

It's illegal
Once again, the difference between a cybersquatter and a domainer is the same as between a realtor and a black realtor. Cybersquatting is the registration of a domain for the purpose of selling to the trademark owner. Domainer ship is just an investment in domains. In fact, anyone who has registered more than 10 domains for future projects is a domainer. But not everyone whose domain matches the name of the trademark is a cybersquatter.

And here everything is not as simple as many would like. Usually it's like this: here I came up with a domain, but someone has already taken it and is not using it. So this is cybersquatting. No, to begin with, you must have a trademark with the same name, and it must be registered before the domain. Then the court and only the court determines the fact of cybersquatting by a combination of factors.

And I will tell you that the court often denies trademark owners their claim to the domain. Here are examples:
So before you shout "cybersquatter!", you need to have a court decision. Experienced judges can spend months figuring out whether there was a fact of cybersquatting or not, and a few seconds are enough for a layman to sort everything out.

There are also no restrictions on the number of domain registrations by one person or organization. Beeline has 448 domains, and no one is talking about cybersquatting, although it is unlikely that they will be able to use at least a tenth for their own purposes. Sber has more than a thousand domains.

Domain ownership is the same activity as owning stocks, real estate, land or antiques. You will say that it is different, that it is not unique, and the domain is unique. But let's look at the paintings of famous artists. In fact, this is the universal heritage of mankind, and they have gone into private collections forever. Many of these paintings will never be seen again.
But for some reason, no one shouts "scammers!" without finding the right painting in the Louvre. There are more than one and a half thousand domain zones – you have an infinite number of options to perpetuate your idea. It is impossible to create a shortage of domains.

It's unethical
Answer honestly, if, for example, you were told that in a year all devices would run on batteries called "elteo", you would register a domain elteo.ru who is now free, knowing that his price is guaranteed to rise to the mark of $50K? Only honestly.

So all this negativity to the domainers because of envy of income. But there is no such income, see point 1. No one prevents you from registering and renewing any promising domain for 10-20 years. Not ready for the risks? And I'm ready. And I take risks, and I often lose.

A domainer is not a bunch of domains that I'm sitting on, it's an examination. And, by the way, most of my income is exactly consulting and assistance in buying a domain – an assessment, a guarantor service.

Do you want the same? Engage, invest and take risks like everyone else. The conditions are equal for everyone.

Myth 4. They are hurting business
Are landlords also hurting business by buying up all the real estate? Moreover, all commercial real estate is owned, where there is good traffic. But it does not occur to anyone to reproach office owners for harming business.

Many large companies have registered hundreds of premium domains in their time. And they're not going to sell them. Thus, many domains have forever lost the chance to be bought for a good project. And the domainer would have sold them.

Those whom I helped to buy domains are still grateful to me. And these are companies such as Tele2, Banks.ru, Rambler and many others. You can see, if you are interested, the reviews on my website. The purchase price was incomparably less than the value of the domain for these companies. Therefore, do not be surprised why the domaining business looks like a business. No more.

Here is a recent case: a person registered a good four-letter domain for a store, but it turned out that there was already an online store with a fraudulent site on it. Now the domain, despite all the brandability and theming, can be thrown out. If it weren't for the domainers, the scammers would have ruined the top domains in the first place. Yes, domains are growing in price, but thanks to the domainers, they do not have a negative history and are physically available for purchase.

Separately, it is worth mentioning about the examination. It makes no sense for companies to keep a domain specialist on staff and develop competencies that are needed every few years. It is easier to pay for one-time consultations and receive domain security services or to support a domain purchase transaction when they are needed. Domainers are outsourcing specialists. Without domainers, the domain market would be different. More precisely, it would not have been, as well as the examination.

A couple of years ago, a large business portal published an article about cybersquatting. Her main idea was this: never buy a domain, even if you really need it. Like, so we bleed the squatters. I didn't react then, and I'm not going to now, especially since this article was not signed by the author. But entrepreneurs were very surprised that the business publishing house promotes a non-business approach to the issue. If a business needs a domain and it can be bought, then it is necessary to buy it.
You can, of course, be principled, saving a couple of thousand dollars along the way, and give others the opportunity to get a good address. But this is no longer a business – this is a game of the offended.

A domainer is not much different from a broker, antique dealer or real estate dealer. The whole negative trail associated with this activity is due, it seems to me, to a lack of information. And I really hope that this article, which answers many questions, will improve the understanding of the work of the domainer and make the domain market more understandable and open.


I have never considered domaining  as the main income. Although very often it was a very substantial income. My main idea in life has always been to do something of my own. Never go to work. not to receive a salary and not to be beholden to the one who pays this salary.
Of course, for this it was necessary to achieve a passive income that would at least correspond to my expenses. The domain business showed constant growth and it was always profitable to invest in it until 2007. After that, this market ceased to be liquid.

The domain is like a lottery ticket, Its plus is that it has no statute of limitations and can always win, but the minus is that the winning period can tend to infinity. It is difficult to deal with domains now. I believe that the situation will change within a few years and again domains in the zone (.com..org) will become a liquid commodity, but today there are much more interesting markets. Stocks, for example, where you can earn on the fall is no worse than on the growth.