Herman Cain; Not Aware China Has Nuclear Bomb

After just hearing Herman Cain was not aware China had nuclear weapons I am unliking him today on facebook (not due to the recent scandal but only over his incredible lack of knowledge about world events). Most of the public knows China is a long time member of the nuclear club so how is it possible someone of his stature did not?

Where has Herman Cain been for the last 50-yrs? Now liking Jon Huntsman as a good alternative to Mr. Cain. Mr Cain’s surprisingly poor world knowledge seems similar to what Sarah Palin displayed to the public 5-yrs ago during the 2008 presidential election debates.

Poor Job with PPC Keyword Optmization

It’s hard to understand why a well known and large domain name parking firm like DomainSponsor.com appears unable to do a consistently good job with its keyword targeting of their PPC ads. Making money from the parked domain being discussed below would be extremely difficult, unless a better jon was done.

For example, the domain CausesOfMeningitis.com, which has these two important keywords in it “causes” and “meningitis” is clearly about spinal meningitis and obviously about nothing else but meningitis disease. So why in the world would just 1 of the 18 PPC ads on the page be related to meningitis?

In fact, out of the 18 pay-per-click ads only 2 are health and disease related. Ironically, domainsponsor.com in the past has been widely recognized by domainers as doing a better than average job with good automatic optimization of parked domains based on the keywords in the domain name.

meningitis
chrons disease
email marketing
online checking account
view credit report
medicare
auto accident lawyer
time warner cable
phone service
used truck
fashion design school
car insurance
cheap flights
used cars for sale
high speed internet service
satellite television
suv
cell phone register

Domain Sales; Numbers Game with Timing & Luck

You can judge very little if any significance to value based on the number or frequency of sales inquiries.

Assuming you have good keyword names it involves mostly a matter of timing and luck to get end-user offers and sales. Depends on if a business is in need of a name at a particular moment in time and somehow stumbles across your domain which would benefit from its keyword match.

You can own excellent keyword names which are niche dominating and category killer names but never get an offer over many years or possibly get occasional lowball offers (which lowballs come mostly from domainers or non-serious end-users).

When you read dnjournal.com you may think the vast majority of names had sold for far more than what they are worth. In fact, many names which sold for high amounts may look like reg fee names or domains you would not pay anything more than $100 for but they sold for $1000s.

End-user (non-domainer) sales is little more than a numbers game involving timing and luck.

T.R.A.F.F.I.C. auction domain sales were dismal

The recently concluded T.R.A.F.F.I.C. conference auction sales results were dismal!

Just reviewed some feedback and stats from the TRAFFIC domain auction and they are extremely dismal and disappointing to say the least.

Apparently there were few bidders there (some in attendance said the room looked empty) and sales were very low with just 240k sold, even after all the promo and hype (which has been ongoing for months). It was also odd for names as low as $200 selling, which lower quality names I was not aware could be listed at TRAFFIC conferences.

The fact online auction bidding was not allowed was no doubt a big negative and quite ironic and surprising since they are selling Internet names but at the same time contrarily not wanting to do that using the Internet as a venue to supplement the in-person bidding!

Diverse Portfolio of Health & Wellness Domains

Just wanted to let anyone who may be interested in acquring health domain names and websites that our health, wellness & disease portfolio of domains and websites is for sale.

It’s said to be the best large and diverse portfolio of targeted traffic health domains available. More information can be found at HealthWebsites.org, or listed for-sale at: Flippa.com…

Nobody on The Road… Nobody on The Beach…

Written by Frank Schilling

There is something about the end of summer that feels so very similar every year. The end of summer, of fun and frivolity always comes at the same time and echoes, like the lyrics from a Don Henley song. Aptly named “Labor Day” is like a starter’s pistol at a collective social race that has been programmed to begin through years of grade-school, college and university. Everyone around the world does it. Fighting the urge to be productive in September is like swimming against an unstoppable tide of human behavior.

A different more fearful tide of behavior continues to play out before us. People have come to the realization that the economies of the World are poised to get worse before they get better. Apparently printing more money to paper-over problems doesn’t work! I certainly believe that to be the case. Much of our economy today is powered by the Ponzi-scheme of government dollars recycled to the private sector, then recycled back to government. We have America, Greece, Portugal, Spain and others on food stamps. There are 20 million people in the US working for the Government, basically paying no tax. A government employee’s tax bill is just a return of cash back to those productive members of society who gave it to them in the first place. We have millions more on government social security and Medicare – all draining the system – taking more than they contribute. This is playing out in Europe, in America… everywhere.

I believe the US is facing difficulties, orders of magnitude greater than its recent financial downgrade. I noticed it in Malibu of all places, where for the first time I saw not only a dead-head sticker on a Cadillac, but also men, holding signs, begging for cash, at Cross-Creek and PCH (a celebrity studded shopping district North of LA)! There were many more regular-looking people and even women standing on corners throughout Los Angeles (not just the usual corners) with “need-help” signs in hand. The usual corners near freeway ramps had many more people standing on them, begging. Storefronts were closed and some stores had downsized even on Rodeo Drive.

here is a strange inflation and parallel deflation occurring. Certain people are charging more for goods and services and chalking it up to inflation, while earnings fall or disappear for the industry in which they participate. Millions of people like you and I have not come to terms with the difficulty ahead, wrongly thinking things will soon get better. There is a great re-organization upon us where whole industries are going away. Cash is being printed by governments to prop up unsustainable routines which just shouldn’t exist anymore. The no-confidence vote of the world’s productive members of society is reflected in the price of gold which has soared since I suggested you buy some back in 2004. Those who followed my lead nearly quintupled their money.

Gold will be 3500 – 6000 an ounce in a few years – either that or it will stay at 2000 and the DOW will fall to 5000. You can diarize that remark as you did my last. Gold of course is just another human behavior which men fight at their peril. Just a shiny metal without an intrinsic use… just like the tide of back to school, back to work mindset… and just like the rush for .com names which work just as well as .nets .info’s and .whateveryouwant. To return things to a domain context, no amount of new TLD’s are going to diminish the value of the human behavior gold standard – .com .. used.cars will not knock 20k in value off usedcars.com. It will increase the value of usedcars.com and set a permanent floor to its value. Make those words as you did my gold remarks in 2004, fight them at your peril.

Millions will be made and lost in the New TLD casino, on both sides of the table. We are creating a machine to enrich strangers, with a nebulous and unknown outcome for the participant. Most at the table agree it’s better to have tried and lost than to never have tried at all. I am not 100% sure I have the right answer for you, but it could be that the biggest winners at the new TLD table are those who buy the best SLD’s in each space. One recurring theme of all namespaces is that a TLD is only as good as the best SLD’s in it. If you buy the best second level names in each space you can do better than the registry itself. The .COM space is a good example. The top 10 million generic domain names in .com are worth more than Verisign. Only 5-10% of all the names registered in .COM are generic or meaningful in any way whatsoever.

Newer spaces such as .INFO have seen even fewer good names with perhaps 1% of the .INFO space being worthwhile to anyone whatsoever. I could see just a few thousand good names per string in almost all new TLDs – a collective few million worth anything whatsoever to anyone.. and the demand fall-off being almost TOTAL after that.. Unlike .com which has “some” low dollar demand for $250 multiword strings, there will be ZERO demand for longer strings in new extensions. Better to be the registrant of the best SLDs than to embrace the clerical misery and competitive marketing-hell of running the registry itself. Only the deepest pocketed and most brave should walk down this college fraternity hazing gauntlet or roll the dice at this table of monsterous uncertainty.

The Internet Traffic business is at its annual low as I write these words. People are gone fishing and the economy’s ad dollars sit on the shelf in-wait, soon to be applied to dormant adwords accounts. The back to school rush will see millions of new, refurbished and toolbar-free laptops fire up in unison. Type-in traffic will spike. Ad dollars will spike. We will build to a crest through January, propelled higher by the Black-Friday shopping season. It all kicks off with Labor Day and we will be there soon enough.

My hope is that the upstream ad-marketplaces (Yahoo and Google) will redistribute those returning dollars, pari-pasu, to the “partners” in the syndication engine-room, who are helping to move the ship forward. If they decide to skim off the top to “make their quarter” at the expense of those assisting below, I see genuine discord for the ad-marketplaces and difficulty keeping traffic next year. Like an abused spouse, Tina is two blows from stepping out of the limo and walking away from Ike once and for all. If the upstreams reap all the returning autumn gains at the syndication channel’s expense, I see platform abandonment ahead. I’ve heard it from too many partners and in too many quarters for this not to be the case.

More than in previous years, this is a season to be the squirrel – to gather nuts for the cold winter ahead. It’s a great autumn to “take the deal” and build a cash cushion to see you through in case this winter and the economy are colder than in previous years. I am advocating that all our partners save more of their earnings and build as big a cushion as they can muster. Higher renewal fees for .com names in January will bring discontentment in February as registrant margins get squeezed. Upstream partners will need to recalibrate their payouts to those partners doing the lifting downstream to compensate for the name renewal price increases, or risk losing their partners to alternative and unorthodox monetization implementations promising more revenues.

I expect that “pressure to pay more” on upstream ad markets will intensify because of the new TLD process. That process will put negative pressure on existing SLD name sales, which have been a crutch for low PPC rates over the past 2 years. Early next year, name buyers will wrongly question the value of existing .com/.net names against a barrage of press extolling the virtues and vices of new TLDs. The trifecta of a more difficult economy, lower traffic revenues from the Verisign price increase and lower name-sales due to the sideshow of the new-tld process will cause pressure on re-sales. It would be an Orwellian Animal-Farm moment to see Google and Yahoo crushing the numbers this February as the domain-industry plays the role of the horse in the engine room, turning the wheel for less and less revenue. I just don’t see that working any longer. So the takeaway for you all is to sell more of everything NOW and save it, then have that cushion so you can buy some courage to change partners or try unorthodox methods if you need to next March.

Despite that gloomy prognostication of what could come I remain hopeful that we have seen the collective low for traffic payments in 2011. The market and fixed expense reality simply dictates that type-in-traffic is worth more, and it is not equitable that any middleman takes a majority of a product which is produced. There are flat-rate shops buying traffic at higher levels. Walmart is a buyer. Target is buying traffic directly during the Black-Friday period. It’s a short curve of logic for those monster retailers to buy that traffic all year long. Walmart buys everything from Sundried Cranberry snacks and Garden hose directly through their buying center in Bentonville. I have been there and have seen that process in-action when I sold Walmart video game joysticks and gamepads 15 years ago. It is illogical that domainers wouldn’t eventually line-up at this same location with blocks of tens or hundreds of millions of unique monthly visits, if the existing paid-search marketplaces get so greedy that the model of selling to those marketplaces becomes unsustainable.

In the end, the method which we use to implement domain name type-in traffic is not under our control. Upstream traffic marketplaces need to decide how much volatility they want to tolerate in their keyword marketplaces and how much value they ascribe to it. A healthy channel simply dictates that those who generate the traffic, need to ride along in the success, otherwise the market becomes volatile and ultimately, undone.

Low Price .US Domains are Getting Flipped a Lot

Over a year ago we decided to let expire more than 50 mostly bad or dubious value letter dot-us names that we had been holding since as long as the year 2002 when most of them were acquired. We dropped them due to no traffic or income, plus poor acronym use potential.

It has been quite interesting watching the majority if not all of that group sold, resold, resold, resold and sold again on the domain name forums between domainers.

The sale prices are mostly between say $5 to $20. What makes it even more interesting is what with the low prices I don’t see how the domainers are flipping them for a profit and if they are making some money doing that it would not seem to be worth all the time and effort involved. It seems there is no end in sight as I again see many of them posted for sale again on the forums by their latest owners.

Traffic/Revenue Doesn’t Matter in High Value Sales

A question we have always wondered about is why at Flippa.com it seems buyers place great value on website traffic and revenue stats, with little if any intrinsic value for the domain-name itself?

However, with the just announced big sale by Rick Schwartz (DomainKing) for 4 million dollars plus stock for the two domains property.com and properties.com, their traffic and income was in all likelihood not a factor in the sale.

In fact, that issue was probably not even discussed, let alone a real consideration with the offer and purchase. Obviously, properties.com and property.com traffic/income was insignificant vs the very high sale price.

What is the SEO Value of No Anchor Text in Links?

This is regarding anchor text in a link. Of course, website owners and html programmers realize the importance of having “anchor text” in a link which appears on the page before the closing tag but the issue is regarding the effect of “not” using any visible anchor text.

For example, on many blogs and websites there are often images which are clickable and go to a linked site since the clickable-link is in the code. However, the image is often there mostly for its graphical impact and also acts as a link when clicked. However, there is no indication to the site visitor to click-on the link and in fact the visitor may not realize they can click on the image to visit a linked website.

The question is does the fact there may be NO visible anchor text detract or even eliminate the link value in the search engines and if the answer is yes, to what degree does it negate or dilute the value of the link?

An example of this question is the picture of the anchor below. When clicked-on the link goes to the home-page of this website but what is the effect (if any) of there being no visible anchor text on the page?

Does Domain Development Help Domain Value?

Assuming a minisite page and ad content is targeted to the domain keywords I don’t believe a minisite will be an overall negative. With that said, a site will also likely not increase the domain value. However, a benefit to the minisite is your domain can slowly grow its traffic thanks to SEO work but a parked page will not.

As far as domain revenue goes, a parked page should perform better but that assumes the domain get the same traffic numbers and the parked page also gets organic and typein traffic. If not, site development is much better. As a side note, we have never had an end-use (a non-domainer) potential domain buyer ever ask about its website, revenue or traffic stats. Even if we offered to give that information the buyers did not want to look at it. It appears only domainers and resellers ask those kind of questions.

A major negative and significant issue with potential sales of developed websites (even a very small site i.e. 1 or 2 pages) is when a potential domain buyer goes to the URL and sees an active website he may assume since it is a site it’s likely not for sale (but it sometimes is for sale). Therefore, the possible buyer (end-users in particular) may think why bother inquiring, and quickly exit the web-page to go looking for a different domain, or try hand registering an alternative extension, or going with a slight name variation.

For those working on developing all their names thinking development will help sales, this may come as a surprise. Stephen Douglas earlier had said “Maybe, the “DOMAIN FOR SALE” link needs to be double-sized and bold!. Oh no, now you got me paranoid! Thanks a lot, David.”

However, there is still a problem Stephen because an obvious Domain Name For Sale announcement can make the visitor a bit uncomfortable seeing it and also may be an overall negative regarding potential PPC clicks too (and have an even greater impact on any product sales a site may be hoping to get).

CeilingVent.com common home product domain

A ceiling vent and fan is found in bathrooms and kitchens in most all homes and offices.

Sometimes they need replacing and people search the web to buy a ceiling vent.

You can make an offer or buy CeilingVent.com now by clicking-on the picture below:

Major Dilution to Existing .tld extensions i.e. .net

We have been writing for some time about the massive dilution to the current major domain name extensions which will be caused by the anticipated vast number of new gtld’s expected to be introduced starting in 2012.

As an example of dilution, we will discuss the long-time well known dot-net extension. It’s always played 2nd fiddle to the vastly superior dot-com however .net will soon have lots of competitors competing with it and causing general overall dilution to all extensions and to dot-net in particular.

The initial high Icann cost of $185k to buy your own extension will no doubt result in mostly the top brands or keywords being purchased at this time. However, we are sure the cost will drop a lot and more and more mid-size or non-famous brands and keywords will eventually have their own extension.

Using dot-net direct competition as an example it’s likely extentions such as .met (dating?), .let (EU rentals?), .pet (pets?), .wet (water/pools?), .bet (gambling?), .get (search?), .jet (jet sales?), .vet (veterans?), plus longer ones like .mynet .enet .inet .netgear and the real obvious .network will be taken in the future.

With so many similar potential domain name extensions all competing for Internet traffic and marketing themselves it would seem after a few years the direct dilution just to the old dot-net extension will result in many people saying ‘dot-who’ about dot-net. Therefore, we can predict the already low value .net domains will decline even more in general value.

Major Bear Market Expected for Geo Domains

Starting next year unlimited numbers of new domain extensions are scheduled to be sold and some will be up and running. We always assumed major brands such as .sears .apple .microsoft .hp .godaddy .ibm and many others would want to own their own extension, not necessarily to sell domains but for their own product, use and branding.

Now I am hearing many reports about large U.S. and international cities including the cities of .tokyo .sydney .london .newyork .sandiego .la .vegas and others planning to also buy their very domain extension. At an initial cost of $185k it may seem high to you or me but to a large corporation or big city it is not too significant a cost.

Having heard about many major cities with plans to buy their own extensions it would seem logical the end-effect will be to greatly devalue the domainer or investor owned geo dot com’s, including mid-size city dot-coms. The smaller or mid-size cities may not want to invest now or be able to budget $185k but they will likely do so as the ICANN price drops (and I am sure the fee will decline rather quickly and dramatically within a few years).

At that time I believe you will also see many mid-size cities such as Palm Springs, Bethesda, Burbank and Scottsdale for example, getting their own extensions. It’s also possible they may not wait for lower costs and instead apply soon, agreeing to pay the 185k ICANN fee.

Think about this scenario; A visitor (or resident) in Scottsdale Arizona knows many cities now own their own domain so would he be more inclined to typein to a search box or the browser window “Scottsdale.com” or the word “Scottsdale” without an extension? In our opinion there is little doubt as time goes by the word Scottsdale will prevail as the most popular choice, relegating Scottsdale.com to 2nd tier status, which dot-com decline would be ongoing and the scottsdale.com down-trend be more pronounced as time goes by.

In our opinion, this news marks the beginning of a very significant and long term bear market (a likely permanent major drop in geo domain values), impacting mid to large city Geo domains in particular. I would expect a number of them to go on the auction block soon before they decline more in value.

Suspended RSS Feeds are Welcome to Reapply

The Afternic.com blog and popular blog DomainGang.com were suspended for ongoing spamming of our non-commercial and advertising-free DomainingRoulette.com RSS News Feed.

They are welcome to contact us if they would like to be unsuspended.

World’s Oldest Light Bulb On for 110 Years

The World’s Oldest Functioning Light Bulb Has Been On for 110 Years!

Is it possible the Internet and World Wide Web will last this long? Will domain names last as long? Domains have about 85-years to go if you start counting from the mid 80′s.

Will dot-com last that long or give way to the unlimted new extensions which will be launched in the near future, so 85 years from now people will say “dot who”