The best is yet to come to the Chinese domain market
August 10, 2019 (Sat).
Steve Jobs used to talk about dots and connecting them to see a bigger picture. I like to collect bits of data to develop my own world of domains. Today, I'd like to share with you some of the dots I have accumulated over the years to help me paint a better picture of the Chinese domain market.
In June 2018, I was watching Sisy's World News (文茜世界周報) produced by a Taiwanese TV station when I saw the report of China having 140 million entrepreneurs -- the largest number in the world. I took a screenshot and then filed it away.
In October 2018, again I was watching Sisy's World News when I heard the National Development and Reform Commission (国家发改委) spokesman say that there were 27 million private enterprises and 65 million sole proprietors, giving a total of 92 million businesses operating in China. I saved that bit of interview as an audio file.
In February this year, the China Internet Network Information Center published a report on the Chinese internet development (第43次中国互联网络发展状况统计报告). I I picked up the following vital numbers from the report: 38 million domains (56% .cn, 34% .com) and 5 million websites.
The numbers paint a picture of great demand demand for domains in China, because currently only about 5% of Chinese businesses have a website. It also shows that .com has a large share of the Chinese domain market. Even though .cn has the largest number, .com domains achieve much higher prices in China.
You can sell to China if you own acronym domains such as JD.com and DJI.com, or simple English-based domains such as BabyTree.com and SenseTime.com. The best value will be realized if your .com domain falls into the upgrade path of a Chinese company, as illustrated in the $1m+ sale of OFO.com in 2017 to a bike-sharing startup in China.
In short, China is still in the early stage in its domain market so there will be a lot of opportunities to sell domains to to this country of 1.4 billion population.