"Cybersquatting"

[neddy]

Sharon Hayes is an online friend of mine from the USA. She runs a company called Domainate; and is a prolific social media exponent.

She writes some great stuff - and is an extremely successful player in the domain industry.

I wanted to share this great article she wrote on the misconception about the domain industry.

Whilst her article relates to the USA, a lot of the principles apply to our market.

Often people share their shock when they find out I am the CEO of a company that is involved in the sale and acquisition of domain names. You’d think I told them I sold Amway soap for a living.

The unfortunate reality is that a significant percentage of those who do business online don’t understand the domain industry. They lump anyone who is involved in the sale of domain names in the same category of “cybersquatter.” That’s almost like saying anyone who enters a bank to take money out is a bank robber!

 

[Rhythm]

Great read Ned. Thanks for the article.

 

[Blue Wren]

Awesome Ned. Thanks for sharing.

 

[Data Glasses]

I think she has the hack name ...........doma.in if i am correct

 

[findtim]

nice article, very clear

tim

 

[snoopy]

The unfortunate reality is that a significant percentage of those who do business online don’t understand the domain industry. They lump anyone who is involved in the sale of domain names in the same category of “cybersquatter.” That’s almost like saying anyone who enters a bank to take money out is a bank robber!

The bank robber analogy is poor one. The % of people entering a bank to rob it is tiny %, maybe 1 in 10 million.

I think the majority of domainers (especially those doing it full time) do own at least some domains that would be lost in a dispute. I'd compare the reputation of domaining to email marketers, realestate agents, used car dealers, lawyers, journalists, stock traders, telemarketers, investment bankers etc. It just isn't a profession trusted by most people.

She uses the word misconception but that isn't really right, it is a half truth, like used cars dealers being untrustworthy. It starts with people thinking its ok to reg celebrity names, "as long as it is a fan site", or registering something for type traffic, but thinking up some kind of legal way out. There is no point trying to change anyone viewpoints on it in my view because those viewpoints are half right & it would last till the next mirandakerr.com.au dispute in the paper. So lets just accept the reality of how the industry is perceived.

 

[findtim]

snoopy i think its how you/me/us "act" in any business that determines how you are treated.

i agree there is a "blanket" over the ones you mention, but as a person people need to deal with those occupations so it just gets back to you and how you present yourself.

i generally find people are interested in what i do, i sold a domain today and the guy now wants to buy more and have me do his websites ! i don't see negativity in that.

tim

 

[Data Glasses]

I am guessing the negative against positive perception and public knowledge would run at 90% negative and 10% positive .........just a guess

 

[chris]

Thanks for sharing Ned.

I think attitudes can change, it's all about education. Articles like Sharon's definitely helps to educate.

I always explain to people that you get what you pay for and for any substantial project a domain is only a fraction of the overall cost. I know there are exceptions to this, but generally speaking if a client doesn't want to spend a couple of hundred or couple of thousand on a domain name for the "next big thing", they probably need to adjust their expectations.

I think the same thing used to apply to SEO, ethical hacking etc. Fast forward and now most businesses see the importance of reputable and experienced companies and individuals in these areas.

I think the percentage of people that understand the value of a good domain is increasing and we now have lots of reputable companies with premium options. Even the average user searching on Go Daddy is presented with premium names.

Cheers,
Chris

 

[chris]

So lets just accept the reality of how the industry is perceived.

"Partially perceived" I think. It depends who you talk to.

I think it is changing, most online business folks know that virtual assets (be it data, IP, domains) do exist.

I believe that children are the future, teach them well and let them lead the way (sung in my best Whitney voice). Education is important and I think even locally we have a growing industry working on just that.

Cheers,
Chris

 

[chris]

I think she has the hack name ...........doma.in if i am correct

Correct, I know lots of people hate domain hacks, but I like this one.

 

[findtim]

does anyone know ALL the LAW ?, does anyone know ALL the TAX LAWS ?

this is where we are at with this industry, people simply just don't know, thus they think we are scoundrals.

but essentially people trust their lawyers and their accountants and i know my clients trust me.

if clients leave me its generally because their "brothers wifes cousins son's friend knows some web stuff" , and then a few months later they come back

95% of my clients come from referals.

tim

 

[CyberClick]

The term cyber-squatting is used predominantly by ignorant (or jealous) people.

 

[snoopy]

The term cyber-squatting is used predominantly by ignorant (or jealous) people.

It is used by everyday people, I'd love to see a poll of what % think domain speculation is the same as cybersquatting, I'd guess it would be really high.

 

[CyberClick]

domain speculation

I even find the term 'speculation' odd. People don't speculate in shares, they invest.

Someone that buys a block of land, then sells it a year later isn't called a speculator or squatter. They're an investor, pure and simple. In saying that, I'd suggest the bulk of people here are developers more than anything else.

 

[snoopy]

I even find the term 'speculation' odd. People don't speculate in shares, they invest.

Lots of people speculate in shares, I'd say most, all the people who plan to make money principally from price rises.

Someone that buys a block of land, then sells it a year later isn't called a speculator or squatter. They're an investor, pure and simple.

I'd call them a speculator. An investor buys mainly for income.

 

[goldnugget]

Speculate vs Invest...

Just checked an older Oxford Dictionary (6th ed) and the descripion between the two words in this respect is almost of the same meaning in the sense of buying something, but there seems to be more of an emphasis of 'risk of loss' in the word 'speculate'.

So I guess in the sense of potential loss if you were one that mainly deals in aftermarket domains then the risk of loss could be greater where as hand reg domains with their reletive low cost could be more of an investment?

Neither here nor there really..I guess its more like older aussie cars...you either looked after it at the time and kept it factory original and now its a priceless classic or you just drove it didnt care and treated it, dare I say...as a car.....here is another phrase...a domain enthusiest if you will

Added:

As far as cyber-squatting....Id take that as registering a domain that is identical to a well known brandname and syphening traffic intended for that brandname and passing off their brand as being ownded by or associated to your own.

Whats the legalities of having a disclaimer at the top of the web page saying 'This site is not associated with Brand XYZ but feel free to veiw the site'...would that be cybersquating? Or is it just to buy a domain like 'micro-soft' and then threatening to sell it to 'app-le' if they dont give you couple of million dollars for it?

 

[Blue Wren]

In my experience (which is little), I can concur with Snoopy's earlier comments; mention domain names and sale in the same breathe, and you'll get the response - cybersquatter.

 

[CyberClick]

Speculate just seems to have a negative or amateurish connotation to me, as opposed to invest which suggests a more legitimate business or professional strategy. Maybe it's just me.

Investing requires speculation but does speculating require investment?

 

[CyberClick]

As far as cyber-squatting....Id take that as registering a domain that is identical to a well known brandname and syphening traffic intended for that brandname and passing off their brand as being ownded by or associated to your own.

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