I Spent $40,000 on Premium Domain Names Last Year – Are They Worth It?

I invested a hefty sum of $40,000 in premium domain names last year to support my digital publishing business. These domains are highly valuable, as they can serve as a powerful branding tool and increase the visibility of my content sites online.

What is a premium domain name?

Premium domain names are domain names that have been previously registered and are now being sold for a higher price than a typical, newly registered domain name. This can happen for various reasons such as the domain being in high demand, having a short, memorable name, or being a commonly searched term.

Pros and Cons of Premium Domains

When it comes to premium domain names, there are both pros and cons. On the positive side, a premium domain will have an immediate impact on your search engine ranking and branding efforts. Moreover, it’s likely that you won’t have to worry about someone else buying up your desired domain as it has already been taken.

Why purchase a premium domain

People buy premium domain names for several reasons, including to establish a strong online presence, to secure a domain that is relevant to their brand, or to prevent others from using it for similar purposes. A premium domain name can also provide a competitive advantage, as it can be easier to remember, rank higher in search engines, and convey credibility.


The main disadvantage of purchasing a premium domain name is the cost. Premium domains can be expensive, ranging from hundreds to thousands of dollars. There’s no guarantee that buying a premium domain will lead to success; it all depends on how much effort you put into marketing and promoting your business after acquiring the domain. It’s also important to note that once you purchase a domain, there is always the chance it becomes less valuable in the future. If the market changes or your brand gets outdated, the value of your domain may suffer.

Factors to Consider When Purchasing a Premium Domain

When it comes to purchasing a premium domain name, there are several factors to consider. First, you should think about how much money you’re willing to spend on the purchase; this will help guide your search for domains that fit within your budget.

Research the market

Research the market and compare prices to get the best deal. Make sure to check if there’s any risk of trademark infringement by using a certain domain name. Finally, look into whether or not the domain is widely used or has a good reputation; this will help ensure that you are making a wise investment.

Do a Background Check on Moz

Before you purchase a premium domain, it’s important to do a background check on Moz. This will tell you if the domain has any existing backlinks, as well as its Page Authority and Domain Authority scores. These metrics will help you determine whether or not the investment is worth your money. Make sure to look into who owns the domain and if there are any legal issues associated with it.

Check out the Wayback Machine to see how the website looked in previous years. Did it look spammy or legitmate?

Calculate the potential return on investment (ROI)

The best way to determine if purchasing a premium domain is worth your money is to calculate the potential return on investment (ROI) using your current blog income. This involves taking into account factors such as the cost of the domain, its estimated value, and any additional costs associated with developing or marketing it. Once you have all of this information, you can use it to estimate the potential monthly income you might earn from the blog and how long it will take.

For example, if you have a blog making $1,000 per month and the premium domain you want costs $5,000, that means you won’t make money from the blog for at least 5 months after getting it to the point where your current blog is now.

How to Buy a Premium Domain Name

Once you’ve decided on a domain name and done research to ensure that it’s worth the investment, you’ll need to purchase it.

The best way to buy a premium domain is directly from the current owner or an authorized third-party broker. You can also use services like NameCheap and GoDaddy to buy domains at competitive prices.

How Much Do Premium Domain Names Cost?

The cost of a premium domain name can vary greatly, depending on its popularity and availability. Generally speaking, the more popular and in-demand a domain name is, the more it will cost. Premium domains can range from hundreds to thousands of dollars. It’s important to research the market and compare prices to get the best deal.

Are Premium Domain Names Worth It?

Whether or not a premium domain name is worth the investment depends on your specific goals and budget. Premium domains often come with advantages like higher search engine rankings and improved brand recognition, but they can be expensive.

For me, the cost of the premium domain names I acquired was worth it due to the long-term brand growth and recognition I hope to achieve. I see my blogs as little media brands, and having a short and direct domain name helps me show the public that the site is an expert resource.

There’s no guarantee that purchasing a premium domain will lead to success. Ultimately, it’s important to do research before investing in a premium domain and consider the potential ROI.

Premium domain names can be an effective tool to support your digital publishing business, but it’s important to research the market, calculate potential ROI, and do a background check on Moz before making any decisions. Investing in a premium domain name can be beneficial if you’re willing to do the research and spend the money on it. It can provide your business with increased visibility and exposure, which could lead to more customers and profits. By taking these steps, you can make sure that your investment pays off in the long run.

Good luck!

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