Domainer
Domainer is a term used to describe the person who buys and sells domain names, with the purpose of generating profit either by selling the domain names at a higher price later in time or from advertising activities. Domainers are sometimes referred to as publishers, domain name speculators, domain investors, and commercial registrants. [1]
Overview
All domainers are registrants but not all registrants are domainers. To earn income, domainers generally register domain names based on seemingly generic phrases and hope for an increase in price, popularity, and competitiveness for that specific domain name. Most domainers avoid registering domain names that contain trademarks because it is usually an issue of cybersquatting.[2]
Becoming a Domainer
It is not hard to become a domainer, but it is challenging to become a successful domainer. Given the introduction of new gTLDs via ICANN's New gTLD Program, the domain industry underwent a drastic change as hundreds of new gTLDs were introduced. A domain investor tries to determine the most popular keywords in the near future and purchase domain names based on them. The activity of domaining is mostly based on speculation. The domainer sells the assets to any interested party, including premium or bulk domain name customers. Domainers also generate income through domain parking and website development, with the aim of generating revenue from advertising click-throughs and selling the website. Many domainers target generic words that can be valuable for type-in traffic and for the dominant position they may have in any field due to their descriptive nature.[3]
Domain Name Speculation Markets
As in the case of any other investment market, there are two types of domain name speculation markets:
- The primary market: where only new domain names are being registered and are being traded for the first time. These domain names have not been registered before and their registration is usually connected to new events. The launch of a TLD is a great opportunity for domain name speculators.
- The secondary market: this market involves previously registered domain names that are being traded for at least the second time. This is where domainers earn extra income by selling new, creative, popular and innovative domain names. Depending on the circumstances, a previously generic domain name may become a hotly contested and sought-after asset.