When we consider population growth, we must consider teens, and twenty somethings. Each year millions of kids become eighteen, and millions of twenty year old, become twenty one. The world of domain names is just as affected by kids becoming young adults, as any other industry is. The domain name industry is vibrant, very competitive, and always experiencing growth. It should come as no shock to any one that so many new people get in to the buying and selling of such domain names every day. However we must keep in mind that there is a learning curve to this industry just as with any other. There is so much speculation needed when entering this arena, and one must contemplate buying domains just to sell, or buying domains, creating a website, and then flipping the site altogether.
Even though both techniques are money makers for many, this post will be about buying and selling domain names without websites. Learn this,and the other gets learned easy. The truth is buying a domain name is easy as pie. The challenge is in finding a domain name with value, and managing to flip that name for a sweet profit. The important thing about domain names is that they be instantly remembered, and then they have to be able to be proven to be keyword valuable. An easy way to put your hands on a valuable domain name, is to go to an auction site, and buy a domain name that has already been search engine optimized for traffic, and buy that name at a good price. Recently expired domains have backlinks. This is quite important to the person you will sell it to, because those backlinks offer instant SEO strengths and possible instant traffic to the new website that gets built.
Webmasters use keyword research tools when wanting to determine potential value of a domain name, and so should you. Having a good domain name with a proven to be popular keyword, that is when selling the domain becomes more promising. You need to think in terms of website names. You should always ask yourself, is the domain name i want to buy and flip worthy of being a cool name for a website? Once that hurdle is cleared, it becomes a challenge, because now you must connect your domain name to an actual buyer. You need to aggressively make use of auction site, and forums, as well as social media, to make the sale happen. Using a forum devoted to the niche that your domain name represents, is a great way to create a sale.
Advertising on webmaster forums is also a great idea because those are the people that make websites for their customers. Many of their customers are not domain name savy, and need their webmaster to obtain a suitable domain name for the website creation project. Regarding auction site, they are quite dense with competitors. I suggest Sedo. or another domain name specific auction site to list with instead of a site dense with domains that have websites on them already.
Last but not least, always read what you can on the subject. Website like mine are great for guidance and direction, but you must get educated further, to make the cash.