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InterNetX published an interview series called “All About Domains 2024” the piece features 10 industry participants.
I was most interested in hearing what Ron Jackson had to say. Ron mentions he is not at the widely cited 1 to 2 percent STR but rather at 3 to 4 percent.
From the article:
What examples of successful domain
name investments have you made or seen
in the industry?
As a veteran in the domain name
industry, what trends have you observed
since you began investing in 2002?
The investments that attract people’s
attention are the high-end sales, six and
seven-figure transactions involving
domains that the original owner may have
picked up for under $100.
Some got their domains for free, like my
friends Michael Castello and his brother
David from Castello Cities Internet
Network. Michael registered many great
names in the mid-1990s, and they have
given him eye-popping sales like
whiskey.com at $3.1 million. Many of
Michael’s contemporaries have done the
same thing with legendary results and
most of their names are known far and
wide now: Frank Schilling, Rick Schwartz,
Kevin Ham, Scott Day, Garry Chernoff, Nat
Cohen and many more whose names
would fill this entire page if I kept rattling
them off.
Having concentrated on the small
business market, it has been more about
building a revenue stream with many
affordable domains that consistently sell.
I have a portfolio of about 2,000 domains
and my turnover rate in recent years has
been 3-4% annually. People commonly
think that the average turnover rate for a
portfolio is 1-2%. At this point, I can renew
almost the entire portfolio every year and
it will spin off a decent revenue stream
year after year from sales alone.
Read the full report here