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Purchasing Your First Premium Domain Name Can Be Simple - Here's How

Updated on December 16, 2019
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The Internet is a vast, seemingly never ending place - there weremore than 1.5 billion websites and 229 million unique domains recorded in 2019. With so much content online, having a premium domain name is more important than ever. A premium domain will give your business or product a boost in brand credibility and allow you to become highly searchable for prospective customers.

The right domain name can direct millions of people to your site, resulting in new leads and sales that don't require any additional marketing spend. Maybe this is the reason that Walmart bought the domain for $3.3 billion?

If someone already owns your dream Internet parking spot, and you haven't found an alternative domain name, you might have to try and buy it from them. This research and negotiation process can be lengthy and intimidating, but knowing the correct steps for purchasing your first premium domain can make it all go a little smoother.

Do Your Research

Have you searched in one of the WHOIS databases to make sure that the domain name you want isn't available? Once you confirm the domain is in fact off the market, you're going to need to find out who is selling the name. Do as much research as you can about the seller, including any public information (as well as social media), that might give some insights that could help when entering negotiations. This might also give some clues to the probability of whether or not they will sell the domain. Also make sure to check to see if they have a documented history of previous sales.

In addition to the seller, research the domain. Has it been sold previously? Are there any google penalties against the website? Does the domain have a backlog of negative links (aka spam)? Also check for pre-existing trademarks that might exist with the domain name, as you don't want to deal with copyright infringement.

Next, you'll need an estimate for the market value of the domain name. There are many sites that will do an appraisal based off of algorithms, but a personal valuation is usually better. I use a simple formula to price premium assets.

Buying a premium domain might be one of your company’s biggest purchases, so being informed as you navigate towards an agreement is key.


The domain name price is often set quite high by the seller. Don't accept the first offer presented to you. Also consider that even though the domain is of a large value to you, there are not many other people out there willing to pay the same price, nor do they have need for the domain name. Use this to your advantage, and take your time.

Unless you can sense there is interest coming in from other potential buyers, you have time to agree on a price that is acceptable to all parties. Sometimes you might even need to walk away, and revisit the sale after some months to reach an agreement.

Consider Hiring A Domain Name Broker

An experienced broker will have experience with both the sale and purchase of highly valued domain names. They know how to create and implement strategies that work towards your goal. Even though they take a commission, their network and negotiation skills are more than worth the extra cost.

They will handle much of the daily work, reaching out via email, making phone calls, etc. A domain broker will help you not only get the domain you're after, but also that you get it as close to market price as possible.

Think About Security

The business of domain name sales is largely an online affair, so make sure to take care of your privacy. You should use a secure system to handle all financial transactions. But before this, you should make sure there is a legally binding purchase agreement in place. You will use this domain for years to come. Getting the transaction done right will cause less challenges further down the line.

Final Thoughts

Premium domains are in demand now more than ever due to a crowded cyberspace. And though acquiring the right name for your company might take some time, it could be one of the best moves you make to increase brand equity and trust. But you may want to research alternative domain names, or bring in a broker to help facilitate negotiations. Be patient, don't give up, and keep your eye on the prize when searching for a valuable online home for your business.


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