When I ask you who you think the most successful domain name investors of all time are, who comes to mind?
Likely this list includes Frank Schilling, Kevin Ham, Yun Ye, Gary Chernoff, Scott Day, Rick Schwartz, Mike Berkens, Andrew Rosener and Mike Mann.
And what sets them apart from the pack?
They’re not worried about maximizing the cash they can take home this year.
Yes, they need some level of cash to live on, to pay the bills, to pay the mortgage, to pay their staff, to invest in their company.
But they understand that they if they can keep their premium domain names longer, that they will receive capital appreciation that will benefit them in the long term.
They understand that saying no to the $100,000 offer toady, by saying no to the $500,000 offer tomorrow, and by saying no to the $1 million offer next month will lead them to the $3 million sale they know their domain name is worth.
And, yes, I know we don’t all have names in that valuation range. Scale it down. Saying no to the $1,000 offer today, no to the $5,000 tomorrow, no to the $10,000 offer next month will lead to the $30,000 sale your domain name is worth.
Now I’m not talking about day trading. There are domain name investors that play the short game, and buy numerics, acronyms and other domain names with liquid value, looking for the trends, and playing the daily or monthly arbitrage game. More power to you.
But the big money is in the long game. Look at the companies that play the long game.
Google, when they went public, shocked Wall Street by telling them they were not going to be giving quarterly earnings guidance because they expect their shareholders to understand they’re in business for the long-game.
Jeff Bezos of Amazon has been hailed as the “prophet of no profit.” Bezos has always played the long game, minimizing or eliminating profits by reinvesting it in business growth, because the vision was always to create the largest retailer in the world, not just the largest bookstore.
Short-term thinking can produce good profits today, but loses the long-term game. 99% of investors are playing the short term game. But the 1% with talent, the 1% that understands how to play long game — they’re going to win every time.