Domain business, could it be the perfect home based business? It has a number of advantages, some of which I discuss in this article.
Today, I want to talk about the domain business and I ask the question, could it be the perfect home based business business?
This in my opinion this is the perfect home based business. It has a lot of short term potential and a lot of long term potential. Both of which are important to me and no doubt are also important to you.
Nothing stands still in the Domain Name Industry as the following statistics show.
- In January 2015, there were over 284,000,000 domain names registered worldwide according to the Verisign Domain Name Industry Brief (DNIB) 2014 Quarter 3 Infographic.
- In October 2019, there were over 359,000,000 domain names registered worldwide according to the Verisign Domain Name Industry Brief (DNIB) 2019 Quarter 3 Report.
- On March 7, 2020 there were over 417,000,0000 domain names registered worldwide according to Domain Name Stat.
Bear in mind that each of these domain names is registered with a domain name registrar. There is a transaction to register a domain name. Money changed hands when very single one of those domain names was registered and again every time they are renewed. Money also changes hands when a domain name is moved from one registrar to another registrar.
Getting a very small share of this business may be very smart. This focuses on an internet based business that you could get involved with. This is related to the web domain business. Every single domain name out there is registered with a Domain registrar. I asked the question earlier, could this be the perfect Internet based business? To me, the answer is Yes.
Did you know that Google has brought the abc.XYZ domain?
Notice that it ends with .XYZ, not .COM
I got so excited when I heard this, that I purchased two .XYZ domains using Domain Cost Club Member’s pricing. This was during a special promotion period. My preferred domain name supplier is Domain Cost Club. They run many pricing promotions in conjunction with the different domain owner manager registries. The .COM domain extension is managed by its owner manager, the .XYZ domain extension is managed by its owner manager and so on. Of course, some domain extensions are managed owned by the same business.
Anyway Domain Cost Club had a really good deal when I registered my two .XYZ domains. All down to timing. 🙂
This meant that I saved over $28 in the process using my Domain Cost Club Membership. That to me is a good deal. 🙂
Did you know that General Motors owns the generalmotors.GREEN domain?
Notice that it ends with .GREEN, not .COM
More and more of the new domain extension names (the bit after the dot) are available and this is adding a lot of choice to the domain name industry that was not there before. These are becoming more popular with many people and many businesses and many organisations.
I imagine within a few short years from now will become very widespread. This is my personal opinion and is also the opinion of many people in the industry.
You may have noticed that the income from this is recurring, that is when people you introduce to this renew, you get paid again and again. This is great news if you are looking to build up your residual income.
Can I Make Money Selling Domain Names? Let’s See
When you are online visiting websites, each of these websites you visit has a website domain name. For instance the name of this website domain name is WORKFROMHOMENOTES.COM
Each website on the internet is associated with a web domain name. Web domain names are available from web domain accredited registrars.
Over 284,000,000 web domain names registered in January 2015, what this could mean for you
In January 2015, there were over 284,000,000 web domain names registered worldwide. Let’s recap, each of these 284,000,000 web domain names was registered. That means that someone registered each of those web domain names.
Someone makes money when another person parts with money to register each of those 284,000,000 domain names.
In my own personal case, I first registered WORKFROMHOMENOTES.COM on August 7th 2005 and it has been registered for every year since then to now (plus some more years) for around eight dollars to twenty dollars a year depending on where I actually register the web domain name for the coming year. I also always get domain privacy services for this domain, so depending on the registrar for the coming year, this can cost an additional zero dollars to fifteen dollars per year on top of the registration fee per year.
Someone is making money when I part with money for every year when I register just this one web domain name for one year. It is the same for the other domain names registered out there on the internet.
Behind most transactions involving website domain names, there are a few parties generating revenue, one of these parties could be you if you take out a Domain Cost Club Membership package which allows you to purchase your domain names At-Cost. You can also generate revenue yourself if you sell Domain Cost Club membership packages.
I am personally a big fan of Domain Cost Club for a number of reasons. The product itself can be sold on the internet to anyone else on the internet over the internet. I can work anywhere in the world where there is an internet connection. People purchasing Domain Cost Club membership packages using my referral code can be located anywhere in the world. This is an amazing concept.
The Perfect business
The product itself requires no shipping and no stock and no risk. Talk about the perfect business. You can earn income by referring other people to Domain Cost Club using your referral link. Of course they have to purchase their membership package using your referral link before the sale is credited to you.
No physical stock, a brilliant bonus
As well as that, there is no physical stock. No physical stock is a brilliant bonus. Let me explain why. If you have being involved with any sort of business in the past, you may have had to purchase stock before you sold it for various business reasons.
This means that you had the cost of buying that stock upfront and storing it some place. This drove up your costs and drove down your profit margin at the same time which made it more difficult to make money. If you did not sell the stock, you and you alone absorbed those costs, which made it more difficult to make money.
You could then be absorbing storage costs indefinitely for physical stock you purchased for your business in the past.
If you are currently involved with a business that requires you to buy stock, I recommend very strongly that you keep the points raised above in mind. You do not want to buy stock unless you are going to make money when you re-sell that stock very soon. You do not want to be absorbing storage costs indefinitely for stock that you have not yet sold.
Moving domain from one registrar to another?
Money also changes hands when a domain name is moved from one registrar to another registrar. I outlined my experiences in moving a domain name from one registrar to another here as it is not always a simple trouble-free process.
I found that moving domains since I wrote that blog way more easier as I use the information in that blog as my checklist. I hope you do too if and when you move domain names from one registrar to another. 🙂 🙂
Domain names industry is international in scope
Because domain names are registered online, the buyers of domain names could be based anywhere on the planet where there is an internet connection and where they have access to an online payment method, like for example Paypal or a Credit Card.
The domain name business is international in scope. The buyer of a domain name could be based in Europe, yet the seller could be based in Asia with the domain name registrar based in the United States.
Domain name industry is huge
The buying and selling of domain names is huge business. In January 2015, there were over 284,000,000 domain names registered worldwide. Each of those 284,000,000 domain names was registered with a domain name register. Money changed hands for each of those domain names registrations. If you are interested in more recent statistics than these relating to the domain name industry, go here.
Back to the original question, could being in the domain business be the perfect home based business?
By now, you will know that I think that being in the domain business is the perfect home based business.
Some advantages of the domain name business
There is no physical stock. The market is huge. Over the last few years many more domain name extensions are coming into use.
Everyone at this stage is familiar with the .COM extension, the .NET extension and the .ORG extension.
Many other dot extension names are coming into use. Examples include the .GREEN extension, the .ACTOR extension, the .BAND extension, the .DANCE extension, the .GLOBAL extension, the .NINJA extension and many more. These new extension names are adding additional variety to domain names.
Become a Domain Cost Club Affiliate
Before you say, why, let me ask you a few questions:
- Would you like to be able to buy domains using special at-cost domain pricing? I be very surprised if your answer is honestly no.
- Would you like to access online marketing tools that allow you to earn money on referrals? Again, I be very surprised if your answer is honestly no.
- Would you like to earn commissions for your referrals every year when they renew their Domain Cost Club memberships? Again, I be very surprised if your answer is honestly no.
I personally recommend Domain Cost Club based on personal experience
Enter a company called Domain Cost Club. I practice what I preach here. I personally use Domain Cost Club when buying my domain names now. I moved all of my domains over to Domain Cost Club back in 2015.
If you are interested in earing referrals, you are in the right place. Or if you buy multiple domains, you are in the right place.
Low cost entry into business verses another way
If you wanted to start a business using the franchise model for say McDonald’s, you would have to find quite a bit of money. I read somewhere that the total start up costs to get franchisee rights and open just one new outlet in the United Status of America would cost $1,600,000 (give or take $700,000). I don’t know about you, but if I had anything from $900,000 to $2,300,000 in my back pocket, I think I would spent it on something else. 🙂
Domain Cost Club Members with a paid up membership can earn referrals when people they refer purchase Domain Cost Club Memberships. This is a low cost entry route into starting your own internet based business, compared to starting up say a McDonald’s franchise in the United States of America.
Another well known company offer special pricing also based on a membership cost
It may interest you to learn that GoDaddy also allows people to become members of their Discount Domain Club, which involves a paid membership. I wanted to look at the paid membership costs and see what options there are out there in connection with buying domains at better prices and also in connection with earning referrals when people buy memberships using your link.
I found out that GoDaddy has a Discount Domain Club offering too which is also based on a paid membership. I found out that there prices were actually more expensive than Domain Cost Club, and if you referred someone to the GoDaddy Discount Club, you got nothing as they do not pay commissions on memberships.
Read their small print.
Comparison pricing as of September 8, 2015
|Description||Domain Cost Club Member Price||GoDaddy Discount Domain Club Member Price||Domain Cost Club Member Savings|
|Annual Membership Cost||$99||$119.88||$20.98|
|Cost of a .COM domain for 1 year assuming the applicable membership price has already been paid||$7.85||$8.29||$0.44|
|Cost of a .XYZ domain for 1 year assuming the applicable membership price has already been paid (See Note 1)||$3.00||$8.99||$5.99|
Note 1: Within the Domain name industry, sometimes the owner/managers of a top level domain (eg .COM or .XYZ) will have limited price promotions in order to help sell more domains. Currently on September 8, 2015, one such promotion was for .XYZ domains. Those were the quoted prices above. This pricing will most likely be revised shortly when the owner/manager of the .XYZ range changes the ‘wholesale’ price it charges domain registrars, including Domain Cost Club and GoDaddy.
In every case mentioned above, the Domain Cost Club Member price is better than the GoDaddy Discount Domain Club Member price. I also found the pricing on the Domain Cost Club website much easier to find than the pricing on the GoDaddy Discount Domain Club website. You may experience this also should you want to compare prices for today. Read my comparison post.
Look at the GoDaddy affiliate terms
If you look at the GoDaddy affiliate terms, you will see that premium domains, sunrise domain registrations and memberships do not qualify for commission.
You should get paid for selling memberships
This means that if you refer someone to GoDaddy and they buy a godaddy Discount Domain Club Membership package because of your referral, you get nothing, even though GoDaddy are getting at least $119.98 worth of business every year.
People would not be spending over $119 per year in order to buy domains cheaper if they then did not buy a number of domains to justify that purchase. Then on top of that membership, GoDaddy sell domains, and again, you get nothing.
So for potentially passing GoDaddy over $119 worth of business every year, you get nothing.
That is very wrong in my opinion.
And GoDaddy also sell domain privacy services at their usual prices on a per domain per year basis. They don’t even offer members of their discount domain club a discount on these. Know that Domain Cost Club charges $0.00 extra for domain privacy services for domains registered through them.
Oh, happy days
With Domain Cost Club, if you as a paid up Domain Cost Club Member referred a new referral you get credit (paid) and assuming you are still a paid up Domain Cost Club member when they renew every year, you get credit (paid) again. OK, you do not get paid when your referrals buy domains, however you get paid when your referrals buy Domain Cost Club memberships and renewals.
This is very correct in my opinion. Oh, happy days. 🙂
Domain Cost Club completely explains itself, its offerings before you buy a Domain Cost Club Membership.
If a Domain Cost Club Member decides to refer others to Domain Cost Club, the main source of income comes from selling Domain Cost Club Memberships.
Domain Cost Club created this new income opportunity back in 2014. This is geared towards selling these new domains at the lowest price possible, all through a membership program.
Regardless of when a new member joins, they have an equal opportunity to refer others and generate commissions.
Domain Cost Club’s longevity will be proven by those who are tired of paying marked-up prices elsewhere for the same services Domain Cost Club offers at usually much lower prices. A great deal of Domain Cost Club business has been generated not from new domain owners, but those who want to save money by transferring all of their domains to Domain Cost Club, myself included.
Domain Cost Club and I believe that as long as people need domain names, Domain Cost Club will prove useful.
The domain name business is the perfect home business conclusion
To recap, this is the perfect home based business. It is also the perfect internet internet based business. The domain business worldwide is huge. The new domain extension names are becoming more mainstream, more familiar and more acceptable.
My preferred Domain Register is Domain Cost Club. They have a referral program which you can take part in once you get your Domain Cost Club membership. Once you get your Domain Cost Club membership that gives you access to the referrals section within your Domain Cost Club membership dashboard as well as your replicated page:
Yours would have the same look except that the referred by section would have your details, either your name or your Domain Cost Club user name. This is something which you can change in your Domain Cost Club membership dashboard if you need to.
Domain Cost Club membership starts at only $9.99 per year.
I have noticed what I consider to be serious shortcomings of referral programs associated with other Domain Registrars which effectively means that in my opinion, you do not get full credit (get paid) for your efforts:
- NameCheap pays only on the first time purchase of approved products and services purchased by a new customer who completes the sales process within 30 days using your cookie. They do not pay on repeat business from that customer. So if you sell a .COM domain which sells for $8.88 for the first year of registration, your commission would be 20% of that ($1.776) at best. If that customer then buys more products and services at NameCheap, you get nothing extra. You have provided them with a potential lifetime long customer and they reward you by giving you less than $2 at best for your efforts. That does not make business sense to me.
- GoDaddy has a Discount Domain Club which allows people to buy domains cheaper. With GoDaddy, it is almost $120 per year for their membership package. The person who referred the person who buys the almost $120 annual membership fee gets nothing for their trouble. That does not make business sense to me. I did a comparison between GoDaddy’s Discount Domain Club and Domain Cost Club which you can read here.
With the above examples, you would need to check current pricing, current commission rates, current terms etc as they may change.
Why Domain Cost Club?
If you purchase domains, they may save you money. If you currently pay for domain privacy services, chances are higher that they will save you money. They also have an optional cPanel hosting option which is also extremely well priced.