A German coffee wholesale distribution specialist OPAG GmbH has acquired the domain name kaffee.de for €200,000 (US$240258.00) which they described as “preparing for the future by acquiring the internet address.”
The sales is said to be the tenth highest publicly reported sale in Germany’s .de domain name of all time and the highest since 2014.
Kaffee.de was sold the domain name for €100,000 in 2014, and now double that amount three years later.
The investment made sense going by what Andreas Goclik, the Managing Director of OPAG GmbH said: “Coffee is already the most successful online foodstuff, currently the online proportion of coffee and coffee machines is around 560 million Euros and will increase to 1.1 billion euros by 2023”.
Kaffee is German for coffee. and with the acquisition of this high-quality, descriptive address, OPAG GmbH is now in possession of a “Category Killer” domain and can significantly increase the visibility, retrievability and brand awareness compared to the large shops and platforms.
For individuals or businesses, investing in domain can be a unique opportunity for investors to invest in domain names that can be sold for a profit in the future.
Like real world property, domain names can be bought and sold for profit, generate residual income, and developed to increase their value.
However, it is not about finding a domain you like and buying it.
As a good investor, you need to do your homework especially when you are buying a domain name to resell it later.
There are simple rules that will help your domain stand out:
- think like a buyer
- buy what you know. invest in areas of your expertise.
- check the domain name availability
- based on budget, determine if any premium names are worth pursuing
- to be marketable, it has to be easy to spell
- the shorter, the better
- forget about dashes and numbers
- and finally, before registering the domain, check the name legal trademark use and social media user-name reservations
- if it is registered and you stoill want it, start with the WHOIS database, a searchable list of all domains registered in the world. You’ll probably find an email address for the current registrant of your target domain name.
Once you have researched and purchased a domain name, you can either:
- Park the domain with a domain parking service. A domain parking service will place ads on the domain. When people visit the domain and click on the ads, you earn money. This method generally only works with highly popular keyword domains that will get a lot of traffic.
- Develop a website to go with the domain. A lot of domain buyers are not Web designers and developers, but they want to earn money through a website of their own. By building a website to match the domain and driving traffic to it, you can provide a product to buyers and increase your profit margins.
- List the domain for sale. If you don’t believe the domain will make good money parked with ads or if you don’t want to take the time to build a website and drive traffic to it, you can list the domain for sale to make money. Remember, buy low, sell high. You may have to hold onto the domain for awhile to earn more money.