I’m frequently asked by speculators, developers and companies which domains to develop, while there are some great domains out there available on the drop and forums how do you know the right ones? I like to think of developing domains as long term investments, much like stocks. What are the best stocks to get into for long term? Defensive ones.
For those of you not familiar with the term, “defensive stocks” are shares of a company that produce a product or service that is used by the population regardless of recession or a booming economy. These would consist of things we all need to survive or function: heat, food, water etc…pretty much the safe bet. Think of domains the same way, what will people require or be looking for in 20 years should your website still be around?
When my friend came to me this weekend and say “what do you think of PlasmaTVForum.com to develop” (this is not the exact domain) I told him I would not develop it. He was surprised, he showed me statistics of people having issues, sales growth, profit margin the whole nine yards! I still disagreed. I told him, “Will people still have Plasma Televisions in 20 years, 10 years or even 5? You just don’t know and that is not defensive thinking.” Another example is a domain another gentleman is attempting to sell 3gs.com. This is already on the front page of Google, a developed website that is converting and yet I cannot find a buyer because AT&T is moving to a 4g network!
If you are considering development consider industry, proven sales and conversion and importantly how long you want to be around. This will help you determine what keywords you want and the domain to pick.