What’s in a Niche?

Yennah recently asked a question about picking a niche while domaining… It’s such a great question, I think I’ll give it a blogpost.

A niche could be domains of 4 letters or shorter length like me for example, or maybe it’s 3 letter .nets, or dictionary word .coms, or domains related to oil/energy. What’s important isn’t what you choose to invest in but how you choose to go about making your investment. Many newer domainers tend to “put a little money here, a little money there” — the end result being that they have a whole lot of money tied up in a whole lot of things, and understand a whole lot of nothing.

By focussing all your energy on a single niche (be it one of the examples above or be it something entirely different), you can focus all your energy on becoming an expert in that market and getting a better understanding on what things sell for.

If you know what you can get (on average) for any particular domain pre-purchase, domaining has very little risk. If you find buyers for your domains before you even purchase them, domaining has very little risk. If you broker domains for other people and split the profits, domaining has very little risk.

Alot of people seem to think domain names are a risky investment… It really need not be! Don’t approach domaining haphazardly, create your success — it all starts by controlling the level of risk you take and the best way to control that is by better understanding the niche you choose to invest in.

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~ by Reece on May 2, 2008.

One Response to “What’s in a Niche?”

  1. Reece,

    Thanks for the detailed reply to my previous question. Really appreciated. I think I fall into the ‘haphazard’ category at present, and am now spending a considerable amount of time researching – hopefully I’ll find my niche soon! 😉

    All the best

    Yennah

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