Internet Business Group (IBG) has spent more than £1m to purchase several “cheap” domains.
Internet Business Group has purchased several domains for a total of £1.1m. Two of the domains are cheapholidaydeals.co.uk and cheapaccommodation.com.
The company is quick to point out that the value behind the domains is the existing traffic, not the actual names. According to an article in The Independent, the chairman and chief executive of IBG Maziar Darvish said, “I agree that in their own right, domain names are worthless.” (I have to disagree there, but hear him out):
He said that the current sites already generate hundreds of thousands of pounds worth of advertising revenue and that once IBG replaces the current web sites with its own, it expects usage and revenue to grow rapidly.
Indeed, these domains are nothing to scoff at. Cheapholidaydeals.co.uk is a PR 8 with an Alexa rank of 72,871 and Cheapaccommodation.com is a PR 8 with an Alexa rank of 191,656.
It is unclear whether this purchase happened recently or is just part of a PR campaign. The Whois history at DomainTools.com shows some minor changes of ownership (e.g. contacts) over the past year, but nothing very recent.
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