.ca Domain Names: Get 'Em While They're Hot
May 10th, 2006 Posted in Main Page
Hey, domain names are red-hot again - even in Canada. Yellow Pages Income Fund has spent $2.5-million to acquire Montreal-based Emall.ca Inc., which owns nearly 400 domain names such as autos.ca, debts.ca (an interesting relationship, don't you think?!) and doctors.com. Yellow Pages CEO Christian Paupe told the National Post the deal was a “no-brainer”. Now, if Yellow Pages has any interest in markevans.ca, make me an offer.
Update: I wonder what impact this deal will have on Tucows Inc., which run a domain name auction and parked pages businesses? If domain names are a hot commodity again, Tucows could find itself in the right place at the right time.s
May 10th, 2006 at 8:52 am
YPG got a good deal, even though only about 30 of the 400 domains are quality. Generic domains have inherent value and credibility with consumers, businesses, and industry leaders in the vertical markets they represent.
It is also a major shift from the days (no so long ago) when domain holders (even holders of pure generics) were viewed as nothing but “squatters”.
As a point of clarification - they were bought from emall.ca, not email.ca.
May 14th, 2006 at 4:52 am
I’ve heard a lot of stories about domain name importance. However, check out the figures below - here are the top five most expensive domain sales in the last few years:
Business.com – $7.5 million
AsSeenOnTv.com – $5.1 million
Altavista.com – $3.3 million
Wine.com – $2.9 million
Autos.com – $2.2 million
I am not sure how such an investment – paying millions of USD for a simple name – can be recovered and used to produce profit. There was a story about Coca-Cola, which said that if the company lost all its infrastructure, but kept the name and brand characteristics, it could bounce back in about 4 years. However, if the company managers were left with all the infrastructure, but lost the Coca-Cola name, the company would be very likely to go bankrupt. Do you think this is also true for domain names?
Regards,
Michael Rad
Web2earn.com – learn how to make money online