The Rick Schwartz Domain Name and Traffic Blog: RicksBlog.com – Home of The Domain King®

Morning Folks!!

I can’t say it has been easy to find someone to keynote at
T.R.A.F.F.I.C. this time. I rejected more speakers than any in our 5 year history combined. It
gets harder and harder to select the right person for the right time. Generally
few understand our picks anyway. Barbara Corcoran was a good example and now
she is in the big leagues simply because she has a unique understanding of
business and like us, she is a renegade investor.

So I went through hundreds of possibilities. Funny enough, even
Tony Hsieh of Zappo’s was offered to us. But we were looking for something a
little different. So we opted for folks like Jeffrey Jordan the CEO of Open
Table, Matt Mullenweg of Blogger fame and an old friend, John Reese of
Income.com. However all had conflicts. But I expect we will see these folks as
keynoters at future TRAFFIC events and eventually it became a real blessing in disguise.

We really had some great speakers offered to us but none
really fit what we need to accomplish at this point in time. Time was running
short. I was prepared to go up on stage and tell folks I would rather have no
speaker than to present a speaker that did not accomplish what we need to do at
this particular moment in time. That was what I was prepared to do. But I would
not give up and kept looking. Finally I reached out to Owen and he had an idea.
It was one of those regular Owen “Let’s jump on this windmill” suggestions. But that did not mean it was not a great idea. It was brilliant. It just meant that the odds were 100-1. But it was time for the long ball.

So I contacted the folks I need to and was even told by them that was a long
shot and explained why. But nonetheless, would make the offer. Well to my surprise,
he accepted. YES!
So another speaker may come to TRAFFIC and few will understand
why until he leaves. Not really. I think you will understand his choice and the reasons behind it. I expect to announce that person as early as Friday once it clears the hurdles and approvals that speakers like this need. So not a done deal, but we are very hopeful that everything will fall into place.

I believe the Internet is about the consumer and how he
thinks and how he uses the net and how folks are evolving. In my case it was
something forcing me to come online once a day. Just one time a day back in mid
1995. We all start similarly. Once a week. Once a month. Then the metamorphosis
happens. It turns into daily minutes. An hour. A few hours. And as we all know,
it finally consumes you! The social networks like Twitter and Facebook have
driven the initial push and in the last couple years have changed how the world
interacts. I watched my friends that have no association with the Internet and
how they evolved. How they changed. How they use it. How often. I started doing
that back in 1995 with my own father. Then my mother. Then my best friend that
hated the Internet and would never use it. (He uses it everyday now too)

Sometimes you can learn more from the man on the street than
all the experts in the world. Experts get too close to a situation and can no
longer focus on the BIG picture. Too much information.

So as we celebrate our 5^th anniversary with our
17^th show, I think you will see TRAFFIC take a much different course
than any other show. That is until they follow in our footsteps. But we are headed to the other side of
this mountain. Isn’t it time to meet your surfer? Meet your customer?

Have a GREAT Day!
Rick Schwartz

Morning Folks!!

The next 90-120 days will be absolutely furious. Perhaps the
single best business environment I have ever seen. There will be more companies
that are “All in” at one time than ever before in the history of civilization.

“Rick! How the hell can you make these outlandish statements
with no facts to back you up?”

It’s easy, it is just a FACT that has yet to happen and just
because the experts can’t see it does not mean I have to be blind to it. This
is going to happen just like the sun will rise tomorrow. That is what my gut
says and I listen to my gut not Paine Webber, not some 'Expert' not some government official, not someone with a motive, not someone selling stock, etc. etc. etc. My gut.

Of course this is just half the story. The other half is
what happens in 2010. Those that go “All in”. Some will win, some will lose,
there will be many more losers.
Some big ones will topple. So what is coming is a last effort at success
for many. And even if they gain success for themselves, it may be short lived
as new taxes and other headwinds will start to play a large role in things. So
survival even in 2010 does not guarantee survival after that.

One thing I have maintained is these jobs that have been
lost for the most part will never come back. That is something we have not
dealt with for a very long time and the only way out is to retrain the
population to do 21^st century jobs. Dig ditches or learn to build a website. I see a second crisis in housing. What happens when folks owe $500k on their house and the same house across the street is selling for $250k and has more upgrades? What percent will walk away? It's coming.

But the point of this post is to let you know that the
single greatest window of opportunity in MY lifetime is opening and it won’t be
open long. Just look back at my posts during the past 12-14 months. It explains
the things we have gone thru and each step of the way was a guide to be ahead
of the curve. To see what I saw coming around the bend. I have maintained that
through these bad times would produce great opportunity. The greatest of
opportunities. Most are blind to this. Just don’t see it. But we are here on
the doorstep. The period we are entering is one to take notice of. Take notice
because you will never see it again in your lifetimes. I have a knack for
spotting “Unique Opportunities in Time.” This is one of them. A very short
window but a life changing window. A window that will come crashing down this
winter and beyond.

Participate or sit on the sidelines. Just don’t say you didn’t
know or understand. There is not one person reading my blog that should not
walk away from this period as a big winner. It may not be visible today, but
make sure when you look back to 2009 that you can point to at least one thing
that absolutely changed your life. DO NOT walk away from 2009 and this Fall empty handed. Way
too many treasures out there and only the ones that don’t believe it won’t find
it.

Have a GREAT Day!

Rick Schwartz

Morning Folks!

A 9 is a 9 is a 9 is a 9 and it will stay that way until the
end of time. A 9 is a 9 for me. A 9 is a 9 for you. A 9 is a 9 even if you are
not 9. A 9 is a 9 for everyone. Every person, every place. It does not
matter what language you speak, what party you are affiliated with, what religion you believe, what part of the planet you are on. A 9 is a 9. A 5 is a 5. It’s the one
piece of the universe that is constant. That is perfect. Numbers don’t lie,
people do. People with motives to make a 9 anything other than a 9. To be
frank, nothing pisses me off more than somebody bastardizing numbers to suit
their own purpose. We have witnessed the greatest bastardization of numbers
since dirt came to earth and folks, we are all going to pay dearly for this. Don't believe me, believe the damn numbers if you have enough balls to actually do the math and follow the bouncing ball.

I tried to do a little math on my iphone calculator today.
It crashed it each and every time. My old calculator can’t handle the numbers
either. But I am a numbers guy. I can still do it long hand. I can also attach
a meaning to what we are all going through. My friends, the numbers don’t work,
we are coming to a true crossroads. Don’t believe me, believe the numbers.
Numbers don’t lie people do. Politicians do. Stock brokers do. Accountants do. Banks
do. And when you find out that they all lied, it is YOU that will be hosed. It is you that has already been hosed.

I have thought long and hard this year. I have worked every angle. I have looked at things 1000 different ways. The numbers don't lie. Numbers are my friends. I have come to the conclusion that income producing domain names are the single best asset on the planet. Not a one better including gold. No matter what happens to the dollar or the euro or any other currency or political unstability or war, income producing domains have no equal. None. It is the single best hedge against whatever is to come. It may fluctuate, that is what markets do, but I don't see greater safety in any other single asset at this moment in time. Of course the rules can and will change and your assets will and have become targets. But they are targets for the very reason I have stated. It is the electronic gold of this century and your #1 JOB is to protect your booty.

Have a GREAT Day!

Rick Schwartz

Morning Folks!!

In the not too distant future I will be announcing my 12th domain sale is
PunchBowl.com. Another multiple 6 figure deal plus other
considerations. There should be a press release forthcoming and the
buyer will decide how much of this to go public with as there will be a
confidentially clause . There is some real interesting developments out
there and this recession will just make great domain names more and
more important and meaningful and eventually many will become
priceless. Many already are. But when the investors of the universe
understand all the facets of a domain name it will render so many other
investments and collectibles secondary to what a domain name means.

The economy is in turmoil, some domainers are struggling to keep above
water. Great domains have never been in more demand. Folks, this is
report card time. The working equation has changed drastically and
therefore many business models have been blown to smithereens. All I
can say is that it is never too late to start doing it right. Never too
late to adjust to new times and new opportunities. Last August the
bottom fell out of the market. Look how much has changed in just 1
year. Look at your own attitudes when I began writing about the
impending economic meltdown. 1 year ago, most readers here were not
affected by what we have gone thru and really thought I was going off
the deep end. In retrospect you can see that what I saw coming was
accurate. Just another event I clearly defined before it occurred and I
did it in front of the world. Many told me to cool it. But my job is
not to paper over reality. My job is to articulate reality before it
happens. To take advantage of that information before others. That's
your job too!

I
said at that time that you can't pull back on the throttle. That you
have to gun that baby if you expect to survive and thrive. Those that
did not heed those words have quietly disappeared. I listened to my own
advice and while I had my very worst year in ppc since the beginning, I
also put more meaningful deals together than ever before. Planted seeds
that will sprout into fruit trees not just fruit. Aligned myself with
successful people and companies. All that before I even get to the huge
changes in TRAFFIC
to bring the event around the world and around the corner. Not just to
domainers. If you want to continue your incest then you will only do
business inside the industry and the other shows will be better for
you. Have fun with the masses! But for those of us that understand what
we have and where the future is and where the opportunity is, we will
focus on end users. Focus on folks and companies outside the domain
industry. Engage those that we choose to engage. Those of you that are
stuck in the domain world, I see no shackles on your legs, just ones
imposed in your minds. TRAFFIC will evolve into a show that attracts
people from outside the industry as the Internet hits the next stage.
New blood, new money, new opportunities. We lead, everyone else
follows. What am I talking about? I am talking about things in the
future that are coming that others don't see. Why don't they see it?
You'll have to ask them. But my record is pretty damn clear and I see
it and they eventually will as they follow in our footsteps and trace
the new path we blaze. So the choice in life is to follow leaders or be
stuck with the masses following followers and never having a clear
direction.

Let
me be as clear as possible. IF you KNOW what elements constitute a
great domain, then all I can say is there are more domains out there
than any one of us can actually buy. I see an incredible amount of
quality domains for $500-$5000. When I say quality, I mean a domain
that has 10x, 20x ,100x the value it is being sold for. The same work
and money to buy those as all the CRAP I see people buy.

I have a post buried in this blog from the spring. It was like giving the keys away to the joint. That was close to what Mike Berkens
said about that post. I explained in detail what constituted a great
domain as opposed to a worthless one. It was one of my least read blog
posts and I don't even know a comment was made. Go figure.

Have a GREAT Day!

Rick Schwartz

Morning Folks!!

Sometimes you realize you just can’t explain an issue better
than somebody else already did. Such is the case with the DNJournal article on
Michael Berkens. What happens when
you can’t explain something very simple, but complex and abstract is that you get frustrated. But when you can articulate something to your own
satisfaction, that gives a sense of calm and control.

Recently I have written a few blogs about human nature. But
I never dug deep as Mike did. This is what he wrote and I think it helps
explain things in a calm and understanding manner:

'Somewhere along the way we went
from a society who looked at success stories and used them as inspiration to create their own, to one
that looks at successful people and eagerly awaits and looks forward to their
fall. If you could get the honest answer of the American population,
almost all would say they admire Donald
Trump, almost all would love to be like him, enjoy the success he has, but
almost all would say they would be happy
if he lost it all.'

'Everyone would love to have 100
great domains they could have registered in 1995. Everyone wants to have what
Frank has. But 99.9% of the general
population missed the boat and now
they’re pissed off at the one’s who
got onboard, who thought of it first, who beat
them to the punch.'

'People who own a lot of
apartments are called “slumlords.' People who take over public companies
are called “corporate raiders.' People who practice law and get large
verdicts are called “ambulance chasers.' People who have sudden success
are dismissed as being “Lucky.' People who own a lot of domains are call
“cybersquatters.' This is human
nature,' Berkens said.

This is just a tiny part of the article Ron Jackson did on
Mike Berkens. Mike is one of the few people in this industry that “I” actually
pay attention to. Besides, Bandit was one of the biggest motivations for
getting Freddy.

Have a GREAT Day!

Rick Schwartz

PS> Want to easily look up and scan my last 200 posts back to 2007? Check out Domaining.com

Morning Folks!!

Before I get started on the Neanderthals (Lighten up, I have been called much worse), I want to thank TechCrunch.com for following the Candy.com deal. They have written about it twice now and that is a good thing. Their articles have been good. So I have nothing bad to say about TechCrunch.com and want to thank them for following the sale. What this post focuses on are the comments, the readers, the closed minds in light of years of evidence.

Now what is funny is about 2 hours after I write this blog post and decided to sit on it for 24 hours to see how the comments developed, Mike Berkens wrote a great analysis that frankly I would find too frustrating to actually invest the time to articulate what he did in a pretty calm manner. So my tone is slightly different……but then again I am a lot more frustrated after 14 years and it shows. I really hate when folks ignore facts. I give them points when they make sense, we deserve the same.

You would think after so many years of the Internet, the booms and collapses, folks would actually progress. But one just has to look at the comments and see that the same ones were posted a dozen years ago. However in face of all that evidence and progress, they remain locked into their box and the only thing they can do is lash out. The difference today is instead of me fighting a lone battle, this has erupted into a great opportunity to educate by an entire industry.

I don’t see why it is so hard to grasp the concept of making more sales with a recognizable and targeted domain name. You pay a premium for a great location in the real world. Where is the disconnect? The great location provides more traffic and more opportunity to make sales. But it is important for domainers to keep things in perspective. These attitudes still exist and they are hardened. It does not matter that they are wrong. These type folks never look for answers. They are locked into beliefs as if both feet were in cement and they become prisoners of their own close mindedness. It illustrates why things are the way they are.
Now they make some valid points but have a bad habit of dismissing our valid points. So until that changes, we are stuck in 1997. Opportunity missed.

Imagine folks out there running businesses, marketing for corporations, in charge of sales and when you show them 500, 1000, 1500, even 50,000 customers lined up at the front door of your store (Domain Name) before you even open it and that happens with a different set of people each and every day, week after week, month after month, year after year and they don’t see GREAT value there, well what can you say? It would be like talking to a rock, a rock in a cave. They seem so proud to remain ignorant. How does one justify remaining ignorant in the fastest moving business environment the world has ever known? It would be laughable if it were not so sad that so many companies actually listen to these fools like they were oracles. They listen to them because they too are ignorant. Hey Mr CEO, Hey Mr. Owner, kick these folks to the curb and start LEARNING the Internet for yourself. YOUR survival depends on it. It is no longer okay to say so and so takes care of that part of the business. You best get involved because just like 15 years ago, TECHIES are making BUSINESS decisions and techies make lousy business people. They don’t get it. They don’t see anything but a screen and a keyboard and have no concept of consumers and human nature and sales and customer service. They need to be locked in a room and YOU need to tell them what to do not the other way around. Some folks hire lawyers and listen to every word they say. Others hire lawyers and direct them. Both have value given the situation. But if you don’t know the difference from one situation from another, GOOD LUCK!
A Great domain name does not guarantee success. It just puts the wind at your back and increases your chances of success. If you are successful, you won't be mildly successful, you will be wildly successful. How many of you heard of Melville Candy Company before the candy.com deal?? How does it affect their stature in the industry? Will it open doors that may have been closed to them before? Does it cary some heft? Does it give you some credibility? No guarantee, but if you tap into all the assets associated with a great domain name, you won't be at the mercy of an overpriced and underperforming media. I could go on for 2 hours and not repeat a single benefit. If you don't see all the benefits, take off the blinders and read some of the comments over there. I rest my case. Still not convinced? Go watch some GEICO commercials.
Have a GREAT Day!
Rick Schwartz

Morning Folks!!

Timing is everything. Go back to my oldest posts on the net and you will see my obsession with timing. Nothing matters more. It’s pretty close to everything in my equation. The only other thing I pay particular attention to is having patience. Patience and timing is everything to me and hardly on the radar screen for others. It’s like jumping rope, the only thing that counts is the patience to time your entry and then time your jumps exactly right.

I think I can safely say that in the years ahead, TRAFFIC will hit nearly every corner of the world. The expansion and aggressive schedule may be met with some resistance at first blush as there is no question there is “Show Fatigue” in the industry. But going forward things are changing. There is a fairly long hiatus between now and the next TRAFFIC in late October. More than 4 months and a season and a half away. Since we won’t be going to New York in 2010, there is some serious business we need to accomplish there. I am here to tell you that the timing for the NY show is perfect. When you see the slate of speakers and topics we will cover and the fact that doors that were closed to us before are now open, you too will realize how important timing is.

I am sure there are many opinions about doing these shows and the aggressive schedule. So far, almost all positive. Folks know we are going to do some major trailblazing that makes the path less resistant for everyone.

The two Rick’s unleashed and clawing their way to the future and the promises they hold for all of us. Get ready for some real progress. Major breakthroughs. Nothing happens overnight, but I can certainly say that in a year or two from now the decisions that were made this week will not only transform TRAFFIC but will transform the industry and every sponsor and every domainer will benefit. This is really the biggest thing since TRAFFIC was announced 5 years ago. Fasten your seat belts, this is going to be a wild, exciting and profitable ride for everyone that participates. Howard and I are thrilled that we will all be joining forces to work for a common goal. Don’t worry about who you like and who you don’t. Worry about making as much money as you can and having a great life for you and your family. Rick, Howard and I as well as our support teams and families will do everything we can to bring all of us to a place we all know we should be. Call it passion, call it obsession, call it anything you want, but we are all driven because we KNOW the power and value of our assets and it is up to US to make sure that the WORLD knows.

Have a GREAT Day!

Rick Schwartz

Morning Folks!!

In my posts over the past year I have stated over and over this is the time to do bold things. This is the time to expand not contract. This is the time to take advantage of the times if you can navigate the treacherous waters we are in. To stay ahead of the times you have to build when others would think this is the wrong time. When the common wisdom is to think it crazy. At first look you might think this is crazy. But it's really not once you digest what we are trying to do and accomplish.

In the past months TRAFFIC has expanded from just shows in the USA to
doing shows in Australia and Amsterdam. Both shows have had very
favorable reviews and outcomes and we are looking to expand on that
success.

Howard and I are happy to announce a new working
partnership with RickLatona.com and his team with respect to future TRAFFIC shows.
Starting in 2010 TRAFFIC will put on 6 shows worldwide with even more
slated for 2011. The 2010 schedule that we presently intend to use will
look like this:
January/February in Las Vegas
March/April in Amsterdam
May/June in Toronto
July/August in Reykjavik, Iceland (But also considering several other spots) What's your choice?
September/October in South Florida
November/December in Hong Kong
This
aggressive schedule will bring TRAFFIC To North America, Europe and
Asia in 2010. We have other exciting things in the planning stage that include South America and
we will announce them as soon as possible.
More importantly we
want to break down the walls of the domain industry and bring in folks
from allied industries and we have a formula and a team that can now
make that happen. By the end of next year it will be evident how big
this change is and everyone reading this will benefit by the reach out
program we are about to engage in. Nothing happens overnight, however
we have set a new and exciting course and you will become the
beneficiary of those changes.

Have a GREAT Day!
Rick Schwartz, Rick Latona, Howard Neu

Morning Folks!!

As many of you know I have been in a lot of industries. Emerging industries or emerging companies. Usually blazing new trails with new products or new ideas. They all have a common thread. They all have more self-inflicted wounds than ones from their competitors or enemies or from the outside. That makes themselves their worst enemy.

It was true in the adult world as I watched their “Industry” see a high point and then because of abuse and attitudes I also watched it melt. Watched many of the players that built it walk away. Disperse. Go in different directions. Do new things. It was never as much fun after that. That was not the first time I witnessed it so I knew how things would unfold.

I would say we are flirting with that point in the domain industry. Folks early on were humble and enjoyed progressing and new ways of doing things and sharing and supporting. It was fun because we did not take it or us so seriously. But we are at the point now where the face and look of the industry is changing. We have become hardened in our attitudes. Hobby has turned into business. Business has turned into doing whatever you have to do. Doing whatever you have to do has turned into how others react and view what you have to do and see if it affects them. Even if it doesn't afffect then directly they are still likely to have strong opinions about it. So friends are made. Foes are made. Sides are taken. Reactions then dictate business. It deteriorates into a vicious circle. It's hard to cure that virus.

The industry as we know it is in change. Massive change. What once was a tight group are slowly departing and going there own ways. Smaller groups. Less power. More diversity.Some fighting for survival. That is a normal phenomenon. It happens as an industry matures. It happens when an industry is hit by adversity. It happens when things are changing. Right now we have all three at one time and more. So welcome to the beginning of the end of the “Good ole days.”

Look what the first half of 2009 has brought us already. Ron Sheridan no longer at Domain Sponsor. Matt Bentley not with Sedo. Dan Warner leaving Fabulous. Add the ones I missed. Add the ones that are coming. That equals a changing face. Funny how outlooks are different on the way up the hill as opposed to going down the hill and measuring at the same points. When you are climbing and hit $20 million you are excited and life is great. On the other side, when you hit higher numbers and fall back to $20 million, there is despair at hand. The Same number, just a different outlook.

The seeds of the end were planted quite a while ago. The beginning of one road and the opening of many. Soon you will ask, “Whatever happened to so and so?” Many of us will get distracted in many different ways. We will take different paths from here. Those paths will likely cross again. But they won’t crisscross in the way we have grown accustom to.

Have a GREAT Day!
Rick Schwartz

Morning Folks!!

Everyone always wants to know how big deals like this happen. I will start by saying that besides having the right domain names it happens by not wasting your time with every person you get an email from. You’ll be wasting your time answering spams from domainers for the rest of your life. A party that is truly interested will contact you over and over again. They will tell you who they are. They will be professional. And, you can’t piss off someone that really wants what you have and it rolls right off their back. They have a bigger mission than getting pissed off. So once they get pissed off, you know there was nothing there from the get go.

So Greg contacts me for the first time on February 8th of this year. Normally I would blow it off. Especially since it was a Hotmail account. But he signed his FULL NAME, his COMPANY NAME and his contact info. So he gets upgraded and at least gets a reply. I tell him we are in Multi Million Dollar territory and he says they have a budget of $500k-$1M. I tell them that I get an offer for $1 Million every month and my price is $3.5M.

Little by little after a lot of 'No's' we find out what is important to each of us. The circumstance that we each face. By March 18th we have a deal. But it is a long way from a deal to a DEAL. As you can see 2.5 months since the lawyers got it. But to hammer out a REAL agreement that PREVENTS future litigation, takes time and patience. Every item needs to be addressed and a remedy provided if you don’t want to end up in court someday. So the hard work is here. While you agree to the major points, the lawyers are the architects. They have to construct a solid agreement that can hold up under scrutiny and prevent any unforeseen circumstance and address what happens. To me, this is the KEY to any deal that is not just a cash transaction.

Besides the 2% off the top, I also have a provision in case Hershey’s or Mars or whoever wises up and acquires Greg’s company or the domain at some point down the road. There are a lot of moving parts in a deal like this. Lots of give and take. But the more moving parts you have the more flexibility you have in places where one can give some thing up that has little importance to one party while having great value to the other party. If price is the only thing you are negotiating with it is much more difficult. Not as much fun either.

When we finally had the agreement setup we still needed an escrow company that could work with us, knew domains, and was secure. Moniker worked up a custom escrow agreement in concert with our lawyers. They were the lynch pin in all this. But we could not worry about that part until we got everything else nailed down.

So from here, we will see. Should be a fun journey.
Have a GREAT Day!
Rick Schwartz