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.uk as a quick cash injection for some small businesses?

Discussion in '.UK Domain Name Consultations' started by Edwin, Nov 28, 2013.

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  1. Edwin

    Edwin Well-Known Member Exclusive Member

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    I wonder how many smaller businesses, who happened to have had the foresight to set up on desirable, completely generic .co.uk domains, will see the .uk launch as the opportunity to inject a one-off cash windfall into their regular business flows by selling off the .uk?

    After all, many such firms may only be operating at a local or regional level and may consequently not care about creating a "competitor" (especially if they sell to a firm in a completely different part of the country)

    They may see the loss of traffic due to potential confusion as inconsequential, especially if they're driving most/all their traffic through offline means such as ads in the local paper, leaflets through letterboxes, the livery on their van etc.

    On the other hand, a few thousand pounds (or more - some of them have really nice names) for doing "nothing" except selling something they've never had nor needed until now may seem like manna from heaven, especially if they're going through rough times right now.
     
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  3. woopwoop United States

    woopwoop Well-Known Member

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    I think a lot of the businesses in this situation would have received decent offers for their .co.uk in the past and had the similar dilemma of selling it and taking another .co.uk for their local business.

    If they didn't do it then, then I think they are the type of business owner who will hold the .uk to see what happens. Maybe at the first sign of success/failure of .uk they will sell the .co.uk/.uk respectively to realize their windfall.
     
  4. Edwin

    Edwin Well-Known Member Exclusive Member

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    I doubt it. Even a small business may have business cards, leaflets, advertising materials, branded uniforms, signage, van livery etc. They're not going to give all of that up for a few thousand pounds. I'd be amazed if many of them got offers, because the offer-makers must already realise that.

    .uk is different because it's completely fresh, clear, unused. The only opportunity cost to selling the .uk is not being able to use it yourself.

    In fact, there might be an angle there for some enterprising, proactive domainers to get in quick and secure some decent names by judicious aftermarket purchases from companies that don't want/need "their" .uk domains. That's of course if you expect .uk to "win" longer term.
     
  5. invincible

    invincible Well-Known Member

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    Obviously we cannot predict how the .co.uk vs. .uk battle will pan out over the coming years therefore a decision about the value of a .co.uk on its own, a .uk own its own and the pair will have to be made on a domain by domain basis. The value might depend how well the domain element lends itself to .uk and who the .co.uk competitor is/what their web presence is about.




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  6. woopwoop United States

    woopwoop Well-Known Member

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    I see that they are different cases however I don't think the decision making in either case is all that separate. It comes down to how much do you value your name and how much you need cash. Those who value their .co.uk will not jump so quickly to sell their .uk in my opinion.

    Those who are cash needy might sell their new (soon to be acquired) .uk just like if they were cash needy before .uk would they have considered selling their .co.uk (depending on how cash needy they were).

    I think if we're talking about the subset of all businesses who would readily give up their .uk to make a few quid, then it's this same subset who would most likely give in to a decent offer for their .co.uk. Too many factors: specific name, industry, cost of replacing business cards/letterheads etc, and most importantly what offer they may have received.

    I don't think that this group is all that big, but we'll have to wait and see.

    I don't think offer makers on the whole consider the costs of the business to switch to another domain.

    Many offer makers don't even know if there's a live site on a domain when they send an offer. I've been on both sides of that (offer maker/receiver). Offers are most often made based on how much the domain is worth to the offerer.
     
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