Why Babe Ruth and TV (Stars and Ads) are the Roadmap for Domain Name Values

Morning Folks!!

Everything we do and discover already happened in another medium and your job is to find that parallel and connect the dots by finding the corresponding components. That's how you get ahead of the crowd.

I will tell you what I see because it is bigger than the first 20 years put together. The difference between the pay Babe Ruth got and what 'A-Rod' gets.

Except I see the years condensed. Per the chart below, it took 50 years from Babe Ruth Until Catfish Hunter making 10x more. Compare that to a domain name that may have only taken 5 years for it to go up 10x in value. Maybe even 100x in value. Maybe much more. So in this medium things are accelerated and always has been. But the start is slow. It always is. The bigger, the slower. But now we are past slow. We are rolling. Rolling along. Rolling along and gaining momentum.

With top baseball salaries It took only 20 years for the next growth of 10x. 1975 to 1995. So I have always used THIS model below melted in with the history and growth of TV, the survival of Radio and the phenomenon of the Hula Hoop along with all the advertising dollars spent and how long it takes the masses to adjust to something new and big. Then ending up with a sale somewhere because nothing happens until a sale is made. In other words, study the past to see the future. It all happened before. Just with another medium or with a different vehicle.

The 1994 NBC clip that has been going around TV and the Internet this past week is a PERFECT example of how FAST we are moving to change the world like that in less than 20 years. It accelerates from here in an exponential way. Facebook is the beginning not the end. An exit for your domain an on ramp to your domain a window into your domain. All roads still lead to the domain regardless of the stops along the way.

And while $70,000 was a lot of money in 1927, it did not have the buying power that $33 Million has today. Where are we today in reference to that graph and the ultimate value of domain names? I would say somewhere between 1972 and 1975. The upside is something incredible.

1927 $70,000 Babe Ruth New York Yankees
1930 $80,000 Babe Ruth New York Yankees
1949 $100,000 Ted Williams Boston Red Sox
1966 $130,000 Willie Mays San Francisco Giants
1972 $200,000 Hank Aaron Atlanta Braves
1975 $740,000 Catfish Hunter New York Yankees

Major League Baseball's reserve clause was struck down in 1976, beginning an era of free agency and thus market-value player contracts

1979 $1,000,000 Nolan Ryan Houston Astros
1981 $2,000,000 Dave Winfield New York Yankees
1985 $2,130,300 Mike Schmidt Philadelphia Phillies
1986 $2,800,000 George Foster New York Mets
1990 $3,000,000 Rickey Henderson Oakland Athletics
1991 $4,700,000 José Canseco Oakland Athletics
1992 $5,800,000 Bobby Bonilla New York Mets
1993 $5,975,000* Ryne Sandberg Chicago Cubs
1995 $9,237,500 Cecil Fielder Detroit Tigers
1997 $10,000,000 Albert Belle Chicago White Sox
1998 $14,936,667 Gary Sheffield Florida Marlins
2000 $15,714,286 Kevin Brown Los Angeles Dodgers
2001 $22,000,000 Alex Rodriguez Texas Rangers
2005 $26,000,000 Alex Rodriguez New York Yankees
2009 $33,000,000 Alex Rodriguez New York Yankees
Source: http://en.wikipedia.org/wiki/List_of_highest_paid_baseball_players

Have a GREAT Day!

Rick Schwartz