It has been a while since I last updated this site. This has been due to other commitments. Today’s post shall not be a focus on satellite but on other information that can be of immense benefits to some of my readers if not all. We are discussing cybersquatting today. What it means, the perpetrators, how to deal with them and most importantly how not to fall a victim of one.
WHAT IS CYBERSQUATTING?
Cybersquatters called is also known as “internet business”, specialising in buying prospective domain names and subsequently reselling them.
Some participants in the domain market modestly prefer to call themselves “domain investors” and distance themselves from cybersquatting, as the latter is associated with the capture of pirate domain names shadow market, unscrupulous dealings and even blackmail. They say they are engaged in “registration of domain names in the future,” “for investment purposes” and not their seizure.
At the same time, no matter how many “domain investors” not disowned involvement cybersquatters, methods have generally the same.
Cybersquatters, in full compliance with the name, the domain captures and holds it until it will become so in demand that it can be sold at a more expensive price.
WHERE DO CYBERSQUATTERS GET THE DOMAIN THEY BUY FROM?
There are two basic approaches:
The first – to register names that are known to have prospects of becoming big brands. They also get information about products that are about making entry into the market.
Another approach is to buy abandoned domain. Here, everything is much easier. On Web sites, many registrars have sections where the audience bid for liberated domains. Most of these squatters select the most promising ones and redeem them at auction. The case remains very simple.The squatters try to find the former owner of an abandoned domain and try to persuade him to buy out the name again. Buying up abandoned domains (or dropdomain) is now the main activity of most cybersquatters.
BASIC TRICKS THAT CYBERSQUATTERS USE
You should know that many resources advice “how to avoid becoming a victim of cyber squatters”
Most of these “tips” are reduced to two points:
1. You are to blame for that missed the desired domain;
2. Arguing with cybersquatters is useless, you should immediately agree to their terms.
However, to be led by speculators is not necessary. If you are offered to buy back same domain you lost “for a reasonable price”, it is better to refuse. The offer price is usually several times higher than the one you paid for cybersquatters domain at auction.
Common tactics of cybersquatters – arrange attraction unprecedented generosity: to offer “exclusive offer” price “just for you” sell “at cost”, etc. All these tricks are aimed at one thing – to sell the buyer a specific domain. Some buyers are looking for in such cases, the domain name of an alternative spelling. Such an embodiment is acceptable. After all, the project or the company’s rarely desperately need exactly the domain that persistently trying to sell at a higher price.
Another well-known trick of cybersquatters is to turn himself into a friend to the buyer. He already knows about your project and most likely already staked multiple domain names containing its name. When you begin to give him audience, he will tell you that your domain is turned into the wrong hands, but he will help you get it back. These are tactics, all of them are the same scheme: the buyer “as a friend” offer to negotiate with the “bad guys” (which actually does not exist) and to pay a certain sum. In other words, he is both the bad guy(a) who has taken your dropped domain or prospective domain as well as the good guy who is your friend that is trying to help you redeem your lost/ abandoned domain. To put it in a layman’s language, I may have a www.myname.com and my business is doing well or has a very good prospect. Cybersquatters will just go an buy all other extensions of my domain name and lure me to buy tem back from me once my buz has enlarged to the level whereby I may need further domains. E.g, Cybersquatters will buy myname.biz, myname.net, myname.org and so on.
TYPES OF CYBERSQUATTERS
Brandsvotting – These types capture brand names, domains containing the names of companies, purchase of domain names with emerging and promising companies. These include all cases where squatters register a unique name and then re-sell them in different ways.
Named cybersquatting – the registration of domains with the names of celebrities, show business stars, politicians, prominent businessmen and even the characters of works of art (such as Harry Potter or Dzheyms Bond). Most cases are known to the registration of domain names with Madonna, Patricia Kaas, Bruce Springsteen. Methods of obtaining money may vary from blackmail celebrities themselves when placed on the captured domain porn site (as it was with the address PatriciaKaas.com), until a peace treaty with the contract the amount of compensation. Less commonly, public people manage to seize the right to a domain name. It could, for example, Roberts after she registered her name as a trademark
Geographic cybersquatting – registering domain names with geographical names. The most promising names of popular resorts and tourist destinations – Egypt, Turkey, Bali and so on. Most of the names and their variants are already registered in various languages.
Industry cybersquatting – the registration of the names of various industries and spheres of activities, products, and types of services. As a rule, it does not imply the registration of brands and names of firms and is therefore considered a legitimate way to earn money on domains.
Typosquatting – registration of names similar to well-known brands or portals, misspelt, or variations of domain names (yadex.ru, jandex.ru, adiads.com, downlaod.com and the likes). As a rule, these addresses are located sites earn on advertising by random incoming traffic. Less often interested in the brand owner buys a domain, as it was with jandex.ru.
Buying abandoned domains – Domain purchase of the rights for which the owner does not have the time or could not be extended. In this case, cybersquatters received information about the liberated domain, buys it, and then offer the former owner at an inflated price
DOES CYBERSQUATTERS ONLY BUY AND SELL DOMAINS?
Cybersquatting involves not only in buying and selling of domains. These market professionals have the credentials to search for perspective and abandoned domain names. Accordingly, it is of great importance to potential customers. They need to be properly treated, convincing to buy a domain name at a price above the market.
We also need cybersquatters to be able to establish connections in the world of Internet business, to keep abreast of innovations in the start-up environment, so as not to miss out on prospective projects and to have time to stake out the desired domains. Therefore, intelligence gathering is also part of the daily work of cybersquatters.
According to one of cybersquatting, the participants of this market has its own site and forums. At these sites, they do not share information about upcoming deals, and the more sales lead. There’s more talk about general trends, discussing the known cases and the already completed deals.
HOW DO I PROTECT MYSELF FROM THE TRAPS SET BY CYBERSQUATTERS?
1. Do not disclose the names of future products or projects. First it is necessary to register a domain, and only then announce the product launch. Another embodiment – to select a name for the product based on the availability of the domain name. Otherwise, you will end up buying your new domain name from cybersquatters. You can buy one for like $250 instead of 10 to $12
2. Select the original names examples of how to create names for startups or popular applications. This will in other to reduce the probability of coincidence with already occupied domain names.
3. When buying basic domain enrol multiple “confusingly” or similar names so that cybersquatters also failed to take them (Example: jandex.com, yadex.com and yandex.com or yandex.biz, yandex.ru, yandex.org). The cost is in all cases cheaper than to buy them one by one from the squatters.
4. Participate in domain name auction.
There, cybersquatters often hold free domains. Participation in the domain auctions does not require special knowledge and skills. Some auctions are held at registrars sites. There you can pick up suitable domain squatters without surcharges.
5. Check back History of sales in the auction is in the public domain, where you can always see at what price the domain was original.
6 Always extend your domain name registration in time the registration of a domain name if you already have a domain. As a rule, all contracts are for one year.
7. Do not cooperate with cybersquatters. They will always be the winner.