Domain marketplaces are rewarded on a commission basis for bringing buyers and sellers together and doing whatever they can to ensure a transaction occurs. What domain investors need to appreciate is that a marketplace gets paid a commission on a sale transaction, whether it’s the individual investor’s domains or not.
What am I getting at here. One of the most valuable assets that a domain has is traffic. In fact, there is a whole business model of monetization that is based upon the fact that advertisers love the traffic so much they are willing to pay a lot for it.
Ask yourself this question, “How much did a marketplace pay for your domains traffic?” Each day you are sending red hot leads into the marketplaces and yet most of those leads go to buying other people’s domains. My second question is, “What commission did you received on those sales?” Here’s the answer, zero.
The counter argument to this is the commission levels are set by taking into account the traffic. I don’t buy into this argument because if that was the case there would be differing commission levels based upon traffic and this does not happen....