End users are Closer than you think…
By Alan on Sep 9, 2008 in Domain Sales, Selling a Domain
The last few posts I’ve made have been related to domain sales and topics other people started so its time to give more information to those of you looking for end users.
We have our own black book of buyers and only a few people actually know how much business we do (yes, the numbers would shock most of you) but I started this blog to get more involved in the community (or at least have an outlet to rant every now and then) so today I want to provide some more facts to help find end users.
First, many of us speak about how much traditional media costs and how one can blow $100,000 on an ad in the New York Times but I think some of us are just numb to those numbers because it doesn’t seem real. How can a company drop $100,000 for a Sunday and and still have a hard time paying $20,000 for a domain?
Logically … there is no logic here but to find end users you need data also. So…
Every day you drive around and see those billboards owned by ClearChannel (doesn’t matter what country – I’ve been everywhere and its one of the few things I always look for – to see who owns the signs – more often than not its ClearChannel – rest are owned by Viacom). Well, my peeps, your end users are sitting right in front of you.
Take a look at this page – http://www.clearchanneloutdoor.com/rates/
It’s ClearChannel’s standard rates for billboard avdertising. Remember, this is NOT the New York Times – this is a billboard where most people are buying a BRANDING presence which means the money spent is part of a bigger plan and I can promise you these companies have money to spend.
Take for example the following input:
Division: Miami / Fort Lauderdale
Market: Fort Lauderdale
Media: Poster
Ethnicity: General market
$4,500 – $49,600 a Month !!! – That is $54,000 to $595,200 a year for eyeballs looking at your sign – not targeted visitors – just people driving by. Additionally, most of the time these companies are local business who still do not even have a memorable web address.
Drive around – sit and wait for the signs to change (as many signs share advertisers) – then move to the next one. In 10 hours you will have a short list of the companies who spend awful amounts of money locally and are probably willing to chat more than you think.
Parts of our “black book” were put together this way and I can tell you it works. It took me a few days to do the research a couple years back but we have made more money from this experience than you could imagine.
Need more examples of how traditional media is just ridiculously expensive compared to what you would sell your domain(s) for…
How about $59,875 for a ONE TIME quarter-page ad in Sunday’s New York Times Automotive Section!
or $34,608 for ONE TIME full page ad in the Time’s Real Estate Luxury Homes & Estates section
Simply view 2008 rates for the New York Time’s here…
http://www.nytimes.whsites.net/mediakit/newspaper/rates/ad_rates.php
Want to find local rates simply search for the name of your local newspaper + advertise
For example, in Fort Lauderdale the main newspaper is the Sun-Sentinel.
Go to Google and type in “Sun-Sentinel Advertise” – your paper’s ad rates should be in the top results.
This type of data can help you figure out who is paying how much. The jewelry store around your corner may have a bigger budget than you think.
Enjoy….
Matt Hanson | Sep 9, 2008 | Reply
Good writing. Keep up the good work. I just added your RSS feed my Google News Reader..
Matt Hanson
Francois | Sep 9, 2008 | Reply
Great post Alan.
What I want to add is:
Except for branding companies advertise with the idea to make money, and make it now.
If your domain has no type-in and/or is not based in a generic term that should give them a SEO advantage then don’t dream, you will not convince such companies to buy your domains.
It’s not about the beauty of the names here, it’s about efficiency!
Scott | Sep 9, 2008 | Reply
Excellent outside-the-box way to find end users who are looking to spend money on advertising. I have a job that sends me 200-300 miles a day throughout Houston, so I see my fair share of billboards (I should sell ads on my car!). I’ll have to try this out. Good info. Thanks!
Kelly Lieberman | Sep 9, 2008 | Reply
Try getting to the movie theatre early enough to see the local ads for businesses popping up on the screen before the previews. At our theatres it costs $1,200-$15,000++++ a month depending on how many times a day, how many screens, and in which movies you want your ads appearing!
Some of the ads are so terrible (no memorable call to action, lengthy web address etc…)it makes you wonder if they are getting any responses at all.
These companies would be perfect targets for keyword domains.
***Are you guys doing any brokering services????
Alan | Sep 9, 2008 | Reply
Kelly – Great addition – it’s these small business who will easily pay money for good domains. As Francois said before it’s hard to sell names that don’t give them an SEO advantage or contain generic terms but these are the clients domainers should start targeting and not wait for the Johnson and Johnson’s and CNN’s to call.
Movie ads are expensive – crazy expensive and no one ever remembers them. I love the doctors who put their number up – who has a pen in the movie theater ?? .. It’s always something like 779-3869 – some number you will never remember.
Lazy comes to mind when I think of a lot of the missed opportunities domainers are missing. I remember when I was 19 I took a job at a call center. For the record – I did not have to do this but I wanted to. Part of my idea was to learn to speak to people over the phone and also understand what its like to cold call.
Again, this is something EVERY small business owner should do. No one is above this – lessons are incredible what you learn about what gets people to listen and how many people you can actually speak to in a day.
Sales is a numbers game – speak to 100 – sell to 1. Next time speak to 50 sell to 1 – your ratio will improve in time but you have to call the first 100 to develop your pitch.
Also, and this is VERY important I think.
ALWAYS ask the people who you know will say NO first. Don’t go after the sure money right away – that will always be there. Make your mistakes and learn you lessons on those people who you never thought you had a chance with any way. The reward will come when one of them says yes – then you can move on the new people and sure things.
J.R. Jackson | Sep 10, 2008 | Reply
I agree 100% with this post. I have ran enough businesses to know that conventional advertising is out of this world.
J.R.