BrandBucket, one of the most popular marketplaces for startups to buy domain names released their sales data for November and I thought there were some interesting insights that came out of the data. Whether you’re buying a domain name for your startup, or selling a domain name to a startup, these insights are probably relevant for you.
There’s a lot of good data to look through but to keep things focused I wanted to highlight three key insights.
- 57% of keyword domain sales were two-word .COMs. As many of you know I’m a big fan of two-word .COMs and they continue to be a strong choice for startups. I think this also speaks to how comfortable consumers are with two-word brands in general and they’re also a lot more affordable than one-word .COMs which can often carry a six or seven figure price tag.
- Startups are gravitating towards the $3k mark for a domain name. The average sales price on BrandBucket in November was $3,044 after removing sales over $10k. I’ve heard too many founders complain that all the good domains are taken and marketplaces charge tens of thousands of dollars or more for domains. The data shows this isn’t the case.
- Keywords domains are still rocking. While invented words like Twitter and Lyft may seem like all the rage, 62% of the domains sold on BrandBucket in November were keyword domains. For startups this means you don’t have to make up a word to be cool.
It will be interesting to continue to track these trends over time and see if at any point invented words overtake keyword domains. I don’t see it happening anytime soon but I wouldn’t be surprised if it tipped a few years from now. Either way, it’s a great time to be a startup because there are a ton of great domains out there, just don’t expect to register one for $10, those days are long gone.