What Domains Should I Develop?
In this environment of self-isolation and the real possibility of multiple phases of COVID-19 resurgence, it is an opportunity to analyze our domain portfolios and diversify revenue sources. The most basic revenue sources are domain parking and domain flipping. However, the issue with parking is that PPC (Pay-per-click) click-through percentages and revenue are not enough to create cash flow for most domains that’s anywhere near a living wage. Domain flipping is an endless cycle because you have to continuously flip domains and acquire new domains to flip in order to create steady income. Domain development is the ideal way to create recurring revenue if done correctly.
Developing domains with the potential of growing them into businesses can create future recurring revenue streams that far outweigh that of parking or flipping. Below we consider 5 tips that will help you determine what domains in your portfolio to develop.
Develop Domains That Make Sense
Develop your best domains. Select domains that would make a great business brand. Don’t develop domains that you would otherwise allow to drop. Just as is the case for end-users, a good domain is a strong motivator to get it developed into a solid website and dedicate the needed resources.
Find a Domain That Aligns With Your Talents
If you develop domains that are in your sphere of expertise or knowledge then it will be much easier to add content for you without having to outsource it. However, this may not be always possible. If that is the case, select domains in areas where you aspire to build your skillset. Outsourcing content creation may be necessary, at least in the early stages.
Be Patient, But Not Complacent
For every new website, there is an incubation period. Add quality original content to the website. Be patient in the sense of allowing the content to be indexed and ranked. Be regular at adding new content, but don’t feel like it is necessary to do it in a day or two. Start with 5 pages, then add content on a regular basis. It takes time for new sites to rank and have the traffic (or more specifically, session durations) needed for monetization.
Have an Exit Strategy
Whether your goal is to make recurring ad revenue or create a fully fledged business, you want to build a website that will receive traffic and make money so that you can have a lucrative property that can be sold at a later date as a complete package. The value of your property will be heavily relied on by the quality of these 4 elements: domain name, content, traffic, and revenue.