Strategy for bidding on domain auctions


There are two main types of auctions that are common in the domain space.  Your bidding strategy should change depending on the auction type, after all you want to get the domain name for as cheap as possible.  Below I will discuss the two common types of domain auctions and tell you what I do to try and get the domain cheap.

No Reserve Domain Auctions

A no reserve domain auction means that no matter what the end price is the domain will sell to the highest bidder.  No reserve auctions tend to get more bids than auctions that have a set reserve and are more likely to generate bidding wars.  Typically a no reserve auction will get most of its bids in the first half of the auction, I recommend not bidding until the end of the auction, why?  Well there are a couple of reasons, if you want the name, why bid early on and jack up the price, if there is someone else who wants the name too then your just gonna get in a bidding war with them and end up paying more for the name then you should.  Secondly, I recommend waiting until the final hour to start placing bids, set a reminder on your phone that the auction is ending and see where the bidding is when your ready to jump in.  Some marketplaces like Flippa, extend the auction by one hour when a new high bid is placed within the last hour.  Godaddy extends their auctions by 5 minutes. So you don’t drag out the auction too long I would suggest posting a high bid that of an amount you are comfortable paying for that particular name.  If your high bid is outbid then reassess how much you want the name and maybe post another high bid.  If there is 1 hour left in an auction and the bidding is at $500 and you are willing to pay 1500 for the name then post your bid as $1502, if there is another bidder going against you and they keep getting outbid they may get discouraged and stop bidding.

Domain auctions with reserve

Domain auctions that have a reserve price set typically get less bids.  If you are interested in a domain name that is a reserve auction, then read on.

If you have the option to communicate with the seller, ask them what the reserve price is, they will either tell you or not but it doesn’t hurt to ask.  Gaining that bit of insight into the reserve price will help you in your bidding strategy.  I would sit back and watch the bidding until the end of the auction and then enter the reserve price of the auction as your max bid.  If it gets surpassed then you can decide if you want to go all in or not and bid more.


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