Sedo has a good article about cornering niche categories of domain names. Read it here.
I agree that focusing on niches for domain names can be a good approach. If you focus on a particular industry you can better understand the keywords and sales values. But you also need to be careful. Back in the day one buzz word that started gaining momentum was “vortal”, which meant vertical portal. Domain speculators grabbed thousands of domains like “BaseballVortal” or “DoctorVortal”. But the buzz word never took off, and those domains retained very little value. On the other hand, had you invested in somethingblog.com, you’d be rather happy with your investment. A better approach to niche investing is focus on a topic, such as baseball or office products.
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