… but that doesn’t mean you should register thousands of “meh, it’s only 8 bucks” domains because when renewal time is around the corner, it would definitely add up 🙂

I said this a while back as well: let’s assume you have a budget of $8,000 and that there are two scenarios:

1) buy one great domain

2) hand register 1,000 domains

In both cases, you spent exactly $8,000.

For the sake of our example, we’ll assume you paid $8 per new registration at your registrar and that the renewal cost is also $8 per year.

Great.

But how much does it cost to keep your asset(s)?

Well, in the first case, only 8 bucks per year.

So $80 and you can keep it for 10 years, bringing your total cost after 10 years to $8,080 (the $8,000 acquisition cost and $80 to renew it for 10 years).

In the second situation, however, it would cost you $8,000 each and every year to keep the 1,000 domains you hand registered.

In other words, for 10 years, it would cost you a whopping $88,000 (the $8,000 acquisition cost and $80,000 in renewal fees for 10 years per domain).

There you have it.

The difference between 80 bucks and $80,000 even though in both cases, your initial investment was $8,000.

So next time you’re in a “meh, it’s only 8 bucks” hand registration mood, read this post again and you’ll thank me later 😉