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First DomainTools Live Auction Results
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August 18th, 2007 by 
Jay Westerdal
We had over 1,200 people online and 300 in the live audience, this was the most viewers of any domain auction ever. We sent out invoices and confirmation emails to everyone on Friday. The grand total came out to $3,841,528.00. We learned a lot in our first auction. First off, the auction was too long. It lasted about 6 hours or 7 hours with breaks. I think we will go down in history with the world’s largest live domain auction. I don’t think anyone wants an auction this large again. There were too many lots. We promise never to do an auction that large again. For the first time out of the gates we pulled off a very impressive auction platform. We proved that we are an auction house and that we have what it takes. A few people were on the fence about a company that has never held an auction before we prove to them we can do it. Other auction houses are even calling us to congratulate us and how well it was done. We used technology that domain community has never seen before and for that matter the world. We have been swamped with praise in the last two days. I had over 500 emails addressed to me that I went through and it took me away from the blog for a few days.
While there was a lot of praise, personally I am looking for ways we can improve and do better. We had a full bar and food available for everyone in the audience but we had no waiters walking around taking orders. A bidder would have to leave his seat to get that wine. That can’t be good. One thing I will change about the live auction format, the $50 increments slowed the auction down. If should only be $100 increments or higher. We can improve the auctioneer interface to make it easier for the auctioneer to follow the bid history. We have a custom display for the auctioneer so that he can see Internet bids and the current winner. Another thing was the auto-follow logic could be better. The side bar always followed, we will allow people to disable that in the future.
One of the things that people loved was how well a person could follow the auction online and see everything. The online audience felt they had the advantage and the floor also thought they had the advantage. We had one bidder that felt comfortable to bid on the floor, go up to his hotel room, bid there, and then return to the floor and bid there. The interface was very intuitive. USteam.tv
had a chat room filed with about 100 people chatting about the auction. People found the chat room because the UStream logo was on our interface. I like the idea of people being able to chat online at the same time. So I think we will enable that in the next version of the auction interface as well. For picking domains for the next auction we have plenty of ways to improve that process. A lot of the big bidders loved some of the names in the auction but felt they were a little over priced. They would have bid had the price been a little lower on some of the names. Other names were priced just right and we got bidding wars.
We had a few people that wanted a domain but didn’t want to be the first bidder so that name didn’t sell. They then approached the seller and found out several other people did the same. People thought they could get a deal if no one bid, but little did they know the owner had reduced their price so they got action in the auction. There were not going to get a discount at a lower price after the auction. The moral of the story is bid in the auction. I will talk about second bidder syndrome in a future post. There is a lot of game theory in it. Generally, it only happens in the $100,000+ range.
Overall, I think we pulled off a great auction and I am looking forward to our secret announcement in two weeks.
UPDATE: A few domains were missing, the total is actually $3,841,528, we have added the missing domains to the bottom of the list.
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Posted in Domain Auction, DomainTools Auction |
35 Comments »
August 18th, 2007 at 4:56 pm
One thing I am impressed with, Jay, is rather than relishing on what almost everyone agrees was a huge victory and success, you are looking for ways to make it an even better event. This is a common trend among the most successful people, and have little doubt about the promising future of the DRT auction. Great job and thanks!
August 18th, 2007 at 4:59 pm
Hi Jay, I had a name that sold but do not see it on the above list.
UPDATE BY JAY: There were 157 on the list above. I remember seeing 165 sold. That discrepancy was already on my todo list for Monday. I will track down the missing ones and add them to the list. I found the one you are talking about and it is weird it is not on the list. I have a copy of the email that we sent to you and the buyer and it was included in there. I think the missing ones are buyers that didn’t have DomainTools accounts.
August 18th, 2007 at 5:26 pm
“…invoices and confirmation emails to everyone on Friday…”
As a buyer I did not received anything!
That’s the problem with email, most never reach their recipients with so many antispam protection.
I am sure that I am not alone.
So maybe you should post the info somewhere in your site.
…
UPDATE BY JAY: Cybertonic, I will have the team post the announcement in people’s control panels as well. That should be done on Monday.
August 18th, 2007 at 6:38 pm
Truly an impressive auction. Open and free for anyone to bid, which you would think is common sense. But yet others try to charge thousands of dollars just to participate in an auction. And I liked the integrity of the auction–no obvious shill bidding.
The technology was truly amazing. The video was synchronized with the online status updates to the auction. It was easy to follow and understand what was going on, who was bidding, what was the high bid, and when it was going to be sold. Hopefully next the time the quality of the list will improve a little. This will likely come as you guys get more experienced in filtering tens of thousands of domains.
August 18th, 2007 at 7:38 pm
Jay and Team,
Congratulations to you all on a tough job well done.
Though my two domains were among those many excellent values which didn’t (this time) sell, it’s great to see another sales/auction option for the industry.
Looking forward to following (and participating in) you and your new platform/approach both “at home”…as well as “on the road” (for other domain conferences, events, etc) in the months and years to come…
August 18th, 2007 at 8:33 pm
Congratulations on your successful first event. Some excellent sales there…
One thing you will definitely have to work on is the quality selection process. That was made clear by your addition of a number of domains after the official list was closed. Also obvious that domains named in the blog (of the “Did you check my list yet” variety) got more attention, you can be sure everyone will want comments next time just hoping that you will notice.
Lastly – you should categorize submissions (ie. domains with place names, gambling, generic, adult) so that you can more easily choose the best in each category. Oh – and one more thing – no more preliminary lists.
August 18th, 2007 at 9:51 pm
Although my domains did not make the auction I followed it very closely. I am blown away at how successful it was. I think you have managed to take the domain auction industry to the next level and everyone will be forced to follow. Good job and congrats!
August 18th, 2007 at 10:07 pm
Jay, this event was brilliantly conceived and executed. It’s clearly state-of-the-art. I missed most of the live auction part but I’m still happy. You picked four of my domains and ALL FOUR SOLD (including one that sold at four times the reserve). You are a domain GOD!
August 19th, 2007 at 12:03 am
Jay, congrats to you and your team for a ground-breaking auction. Most of the criticism I had in mind you have already covered in your blog entry so I’m confident the next auction will be even better. Not that this wasn’t good – it really was. Excellent job.
Regarding the live chat along with the video feed – please make it open for bidders and sellers only – should be enough to have 1,000+ chatters. We saw a lot of crap being posted in the Ustream chat room. It was completely non-informative and chaotic. Or, make a public and private chat separately.
Another suggestion- maybe limit the number of domains that each member can submit. Also maybe get rid of some crap dotcoms and include some premium non-dotcoms instead. There is definitely increased interest in .net, .info, .us names.
Once again, congrats and good luck with the next one.
Josh_1
August 19th, 2007 at 1:42 am
Thanks cybertonic – yep, the email did get filtered into spambox with default gmail setting. no wonder…
Agree with josh1 too with regards to separate chat. Let ustream has its public chat, and domaintools have its own private one. perhaps an invitation should be sent to all participants as a reminder to join a day or two before the auction – I don’t remember any reminder being sent in last week regarding this event. I almost missed the session – Managed to get in around the 100th name. Wonder though if enabling/promoting text-chat would interfere (or distract bidders from) the bidding process because it’ll be more time consuming than say voice chat. Hmm… how about a voice chat too?
Anyway, congrats Jay and team for making history and setting up higher standards to follow for everyone in e-commerce industry. Thank you.
August 19th, 2007 at 3:24 am
The whole process was a technological milestone, as well as a class act.
I agree that is was LONG – but I didn’t mind. I was up and interested at the 1st – 200th and 450th domain. There was just that much energy about the event.
Categories might be a good idea.
I can’t wait to hear what the secret is – .. no really .. I cant wait – can you tell me? I won’t tell anyone! ha ha ha
Congratulations on a job well done!!
August 19th, 2007 at 4:26 am
hi greetings ,
‘the DoMain Round Table ’s real successfully ,
particularrly facing
the current wholeworldswide stocksmarkets[e.t.c.] rollercoastering ,
but ,
ynot[why-not] the DoMain Round Table 2[to] take place
quarterly , or , at least , semi-annually ??
??
ThANKye , 2w
August 19th, 2007 at 4:41 am
Jay,
I hope this new-fangled internet catches on. I sat at home in my underwear and made over a million dollars (before commission). It really doesn’t get any better than that.
Thank you!
>;-)
August 19th, 2007 at 4:45 am
I was WAITING FOR THIS BLOG FOR A FEW DAYS . SIR I AM YOUR GREAT FAN AND I HAVE NOT SEEN ANY BETTER BLOG SYSTEM THAN YOURS SO LIVELY AND SO INFORMATIVE. CONGRATS FOR GREAT SUCCECC . I think u are providing great respectability to domain business .I wish u all the best
Also the results have been quite impressive . All domains which have been sold are great
August 19th, 2007 at 9:47 am
I was one of those on the fence folks. The auction looks like a great success and congrats to you. Like anything else, a little competition does wonders for the industry. I love options. Whens the next one?
August 19th, 2007 at 9:54 am
Congrats, Jay. I have seen lots of positive comments on various blogs.
Don’t listen to the naysayers–you have taken domain auctions into a new direction–but do consider good advice, some of which appears on this blog commentary.
I, too, learned a lot about the process. Some of it was a humbling experience (for me), but we all learn from our experiences, both good and bad.
Next year, you’ll really kick serious butt.
Best,
jss
August 19th, 2007 at 11:14 am
Like other correspondents, I have watched this whole auction process from initial selection through to the auction itself. You certainly have raised the bar about what will be expected from domain auctions in the future. You have already commented about improving the selection process which is good to hear (speaking as one whose domains are still showing as “pending review”!)
Of the domains sold, approx 77 were sold for reserve price only, with no bids beyond that. Much blog commentary prior to the auction emphasized that sellers were encouraged to lower their reserve prices to encourage spirited bidding. Since this did not happen in most cases, I feel that domain ownwers might be a little more cautious in future to lower their reserve with expectation of multiple bids beyond that reserve.
I look forward to the next DomainTools auction.
August 19th, 2007 at 11:27 am
Jay, it was so cool to be able to see and listen to Frank Schilling
address the live audience from here in New York City…and to watch as one my domains was auctioned and sold.
Read Sahar’s blog from August 16 if you haven’t already. He wrote a very nice roundup of his experience at DT auction. He is obviously a man who looks at things through very positive eyes. You’ll appreciate his comments, I’m sure. What a guy…and you too!
Patrick
UPDATE BY JAY: Thanks, I read it the other day, I just hyper-linked it so everyone else can read it too. Sahar, thanks for the nice words.
August 19th, 2007 at 12:05 pm
Great job, Jay. Loved having the live audio and video along with the online bidding.
Btw, P6.com
sold and is not listed. TTYL
August 19th, 2007 at 3:56 pm
Jay, you and your staff did a bang up job. I’ve been in the entertainment business for over 30 years, won 9 Emmys, launched some of the biggest shows in TV history including WHEEL OF FORTUNE, JEOPARDY, AND OPRAH. Never have I seen such an outstanding first-time effort to “get it right”.
I sold two domains in the auction for a combined total of just north of 70k (Castillo.com
and Hot.TV
). Obviously, I’m pleased.
The sale of a Spanish domain and a alternative (to .com) domain proves that there is a market for unique domains. Therefore, I’d like to recommend that you seriously consider holding, or working into an existing auction:
a) INDUSTRY SPECIFIC AUCTION. Featuring hot categories such as REAL ESTATE, TRAVEL, ENTERTAINMENT, etc. This would help to attract new buyers from these specific industries–and therefore drive up prices. I could see Donald Trump in the crowd or online bidding on a domain like “NewYorkRealEstate”, or Martha Stewart bidding on “GourmetCooking”. This would give the auction REAL FOCUS. Each Industry could have, say, 30 minutes of featured domains. It would also give the press something unique to cover. Bottom line, get these other industries involved and watch the numbers SOAR!
b) ALTENATIVE LANGUAGE DOMAIN AUCTION. This could be huge–especially if you were to present Spanish domains at this point. As you know, our Castillo.com
sold for over 35k in your auction. It was one of just a couple alternate language domains. Buyers will open up their checkbooks for these domains. The Hispanic market is heating up on the net!
c) ALTERNATIVE DOMAINS. I really think there is going to be a huge market for .Mobi, .TV, and a few others in the next couple of years. Again, we sold Hot.TV
for 35k in your auction. I suggest that you consider devoting 30 minutes in the next auction to high profile, alternative domains–I’m talking major quality one domains that can be highly brandable, like Hot.TV
.
Hope these ideas are useful and worth considering. You deserve nothing but praise for your first effort. I look forward to participating in the next auction–as a seller, and as a buyer.
David Sams
August 20th, 2007 at 8:41 am
I’ve posted a complete list of sold status and reserve vs sold price here: http://www.nomkit.com/live-auctions/domain-tools-seattle-auction-results-and-nomkit-analysis-august-19th-2007
August 20th, 2007 at 10:20 pm
Thanks for your hard work putting on this auction! I had a blast watching it.
Rebate.com
sale inspired me to pickup RebatePros.com
, hopefully I can attempt to roll with the big names, look out for my names in next years auction.
Mark Fulton
http://www.DotSauce.com
August 22nd, 2007 at 3:19 am
Hello Jay,
I have written to your staff to remove the domains from the account, especially to make them invisible from the Browse auction page.
I do not mind if they remain in the account, however it is very wrong to let the domains remain in the browse showcase.
This is a disadvantage to the sellers who did not sell their domains or not all of them.
Better is to show a page of domains that were sold. It has been a week now and that page is hanging there and is not being substituted by sold domains page.
August 23rd, 2007 at 2:28 am
DomainList.com
sold for $7100 is missing from list.
Also, I wired the funds on Monday, but no acknowledgement of receipt yet.
In regards to the auction, my only remaining concern I have is how on-line bidders will be verified for the next one …
Live bidders were required to physically sign an agreement and even have their photo ID copied for record keeping … but on-line bidders presumably could simply signup, submit a credit card (maybe?), and bid with little to no further verification … a potential huge risk if a few mean-spirited folks wanted to mess up the bidding for whatever reasons.
Many of the other concerns myself and others had before hand were addressed … again, the validation of on-line bidders is one that should be more scrutinized for the next auction.
Other than that, keep up the fantastic work – the technology, format, etc was awesome
Ron
UPDATE BY JAY: Online bidders we can actually track better then in room bidders. Payment history on DomainTools and where they are coming from is very useful. How long they have been members and usage of the site is a good determining factor to an online bidder. A random bidder that showed up on the day of the auction online we would double check. Anyone could show up to the auction and bid if they had ID. I feel more conferable with the people online.
August 23rd, 2007 at 5:36 pm
Ok. Good points … I figured there was something I was missing – again, you guys have all the bases covered
Ron
August 23rd, 2007 at 10:32 pm
Hello Jay,
I see that you and your staff have been continiously neglecting my request to remove the auction domains.
If I do not see them removed, I will have to take it seriously.
Apart from all my positive and constructive criticism, I do see quite a lot of immaturity and I really hate to speak about it. You and your staff do need to learn quite a lot of proffessional and ethical behaviour.
You cannot just force people from accepting the fact that the domains listed in the auction remains in your browse domain listing. I have been froced to refrain quoting prices to a couple of requests and that drives me nuts.
UPDATE BY JAY: We have not taken the browse domains page down. We will add a note to the page and let people know it is a historic page. I am glad to hear people are contacting you about your domains. I will give you a call and talk with you about this.
September 5th, 2007 at 1:53 pm
I’ve had little contact or news on the status of the auction. I posted a support ticket over a week ago about the escrow summary being incorrect which has yet to be answered. I both purchased and sold on the auction, and neither transaction has been completed yet. I’m a little disappointed at how well the thing was planned, but how little communication has been done after the sale follow up.
I was charged for my domain purchase August 17, but have yet to receive it over two weeks later, even though the whois history shows it in the hands of NI on 8/26.
I submitted transfer information twice, and the sold domain has yet to transfer, and the transfer window has already closed twice at fabulous.com
. In addition, the escrow on my payout shows less my purchase which has already been paid for.
You did a great job on the auction, now please follow through with those who participated.
UPDATE BY JAY: This is our first time at Escrow. I assure you we are learning a lot of lessons and streamlining this process as we go. If you email agreement at domainroundtable.com
they will be able to answer any questions and assist you.
September 7th, 2007 at 8:35 am
Jay,
The personal contact form added for the bank secrecy act doesn’t save the info. My sold domain was transferred as of Aug 30. When should I expect the funds ?
Thanks,
crinu
UPDATE BY JAY: We have sent funds to over half of the sellers so far. We expect to finish this next week. There are one or two buyers that are dragging their feet.