Monday, December 31, 2007

Fractional Domaining As A Liquidation Strategy?

In a recent Conceptualist.com blog posting, Sahar Sarid asked, "How would you liquidate your domain portfolio if you needed to? What strategies would you use? And realistically speaking, if you were to decide to liquidate today and sell all within say 15-30 days, what do you think you would get in terms of % of the ideal price you would get in good times?"

In response, I commented that my strategy would be to seek out domain investors for a Fractional Domain Ownership arrangement:

"I would seek to identify some honorable and fair domain investors who have successful domain development and monetization track records, who see opportunity, who are able to seize it, and who are willing to build a long-term, mutually-beneficial relationship by engaging in a Fractional Domain Ownership arrangement.

Then, we would bargain for a “fractional” deal that makes all parties involved feel “whole”.

[BTW, with the “right” players, that’s a scenario I would be interested in entertaining anytime!]

…Potential for greater liquidity is one of the reasons why I think Fractional Domaining will interest more domainers in the months and years ahead."

You are welcome to read the rest of my response and other replies at Sahar's blog.

Tuesday, December 11, 2007

What Will The Next Big News Story Be In The Fractional Domain Industry?

What is the next big news story going to be in the Fractional Domain Industry?
  • New 'players' in the domain industry due to Fractional Domaining?
  • The emergence of 'Super Fractional Domainers'?
  • New alliances spurred by Fractional Domaining?
  • The formation of more Fractional Domain Ownership groups?
  • More domains sold at auctions to groups of buyers?
  • Premium domains selling for higher prices due to Fractional Group purchases?
  • More -- and easier -- ways to sell Fractional Interests in domains?
  • New Fractional Domain marketplaces?
  • Greater opportunities for domain owners due to Fractional Domaining?
  • Business models evolving based upon purchases of only Fractions of domains?
  • Business models evolving based upon sales of only Fractions of domains?
  • Faster development of domains by Fractional Ownership Groups?
  • Increased valuation of domains due to development and improved monetization by Fractional Owners?
  • The emergence of new specialties, such as 'Fractional Domain Investing' and 'Fractional Domain Law'?
Something else -- or someone else? Will you be part of the next big news story in the Fractional Domain Industry?

Your comments are welcome!

Tuesday, December 4, 2007

A New Challenge: Deciding To Sell Your Domains Whole Or Fractionally

It is interesting how once you start looking at things differently, that perspective begins to permeate your thinking... The idea of Fractional Domaining comes to my mind often now when I contemplate topics involving domain names, and it adds to the possibilities when trying to decide what to do with some of my domains. Actually, it can pose quite a challenge...

Just today, for instance, I learned that Moniker will be holding an online auction at the iDate Internet Dating Conference in Miami, Jan. 31 - Feb. 1, 2008. The deadline for submitting dating- and social networking-related domain names for consideration for inclusion in the auction is -- surprise -- today, so I quickly checked my domain portfolio for possible entries.

I found several that I felt I could offer:
  • OnlineDatingCenter.com

  • OnlineDatingPower.com

  • SocialNetworkingCenter.com

  • SpringWeek.com

  • Sweet16Central.com/SweetSixteenCentral.com

  • VideoSharingDirectory.com/Video-SharingDirectory.com
I contemplated submitting the names, even drafting an email to do so, and then I hesitated. "Should I sell the names entirely, or should I sell a fractional percentage of one or more of them?" I asked myself. Basically, the challenge is this: "Should I sell the 'cows' and be done with them, or should I sell fractional interests in them, get some upfront cash and still have opportunities to benefit from the 'milk'?" And if I sell fractional interests in them, how should the deals be arranged and structured? How do I assure that I find good partners?

Fractional Domaining is so relatively new that I and many other domainers have lots of questions about it. What is the best way for a potential seller to proceed? Currently, there are no ideal venues that I am aware of to assist with fractional domain transactions.

So, considering my interest in exploring and facilitating the world of Fractional Domaining, I have decided I am going to further contemplate and seek fractional possibilities for my dating- and social networking-related domains (and other domains). And, I will set-up a web site soon to enable opportunities for fractional domaining to be publicized. Stay tuned! Your comments are welcome!