Thoughts

Andrew Miller

October 6, 2024

Patience is Non-Negotiable

We at Hilco Digital Assets closed a significant domain transaction on Friday and I am excited about it, which prompts the question, why? I am pumped about any domain acquisition, investment, or sale that we oversee and really, that anyone accomplishes, because every strong domain outcome is important for the overall asset value, regardless of who facilitates it. This specific deal got me hyped for a few reasons; It was the ultimate example of patience, on a domain that we have advised on for some time, had rejected offers that were good but not what we and our partner believed the domain was worth, and held out for this day that just came. Secondly, there is no greater satisfaction than a huge win for a client that we love and that is the case here. Lastly, the deal was done in collaboration with senior people at GoDaddy, and we worked through some challenges to get it to the finish line. I will post what it was next Sunday, but whether the price gets disclosed or not will be up to GD.

Surround Yourself with Champions

In Random Sunday Thoughts #124, I wrote about the importance of a champion in successful domain transactions. I wrote, “I can say with conviction that most of the domain name transactions that I have overseen as an owner, investor or advisor, have had a true champion on the buying company’s side. This is someone internally who knows exactly why they want the domain, what they will use it for, and how valuable it will be in that use case and how much enterprise value it will create. These folks often are the catalyst to a deal.” I had an interesting example of this the other day. I was speaking to my contact on the leadership team of a fast growing company that has engaged us to acquire a domain. As we discussed the strategy, and the initial offer I was authorized to bring to the seller, my contact, who is m accomplished, smart, and that champion, said “my investors get it, I know we need it, but other top execs do not see why we would ever pay that for it”. I am working with the team, but this again shows that 1) a champion is so important and 2) it is such a fine line between the company that understands the strategic importance of their category defining or exact match domain name and the exponential increase in enterprise value it provides, and those that don’t. In the same prior post, I ended, ” If you are a leader, it is your job to at least try to learn as much as you can and explore this. Dismissing it without doing so is the sign of a leader who will likely be limited in their quest for success.” The use cases of CEO/Founders we feature online paint such a clear, unbiased picture, https://lnkd.in/eFS_NYXp

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