Four letters: The liquidity of LLLL .com domain names

Guest article by Theo Develegas, Founder of Acroplex.com

Skyscrapers symbolizing the value of short domains

Domain investors often seek to acquire four letter .com domains, also known as LLLLs, due to their liquidity and reselling value.
Consisting of four letters (A-Z) these 456976 .com combinations provide almost half a million short domains, far more than just three letter combinations—yet, still very usable for businesses, brands, and projects.
Among domainers, LLLL .com domains have been “flipped” or resold multiple times, thanks to the characteristics of this particular class of domains:

 

  • They are short
  • Arrive in plenty of combinations (AAAA to ZZZZ)
  • They are memorable
  • Can be liquid - easily convertible to cash

 

As liquid domains, LLLL .com’s can quickly be converted to cash via a direct sale or auction, making them very attractive as an entry point for beginner investors, and as appreciating assets for seasoned domain investors.
While it’s true that some LLLL .com domains have sold for hundreds of thousands or even millions of dollars, these are essentially pure four letter words, commanding far more value than the “average” four letter .com. The best LLLL .com domains are those that, even though they don’t belong in a dictionary, are pronounceable regardless.

 

For example, combinations of alternating consonant / vowel / consonant / vowel (also known as CVCV domains) sell for far more than others. Other combinations can seem random but often form acronyms, or contain letters, or letter pairs that can easily identify businesses, products, or trends.

 

It’s a fact that Chinese domain investors favor LLLL .com domains that do not contain a,e,i,o,u,v and are prepared to pay top dollar for these domains. Known as “Chinese premiums,” such LLLL .com domains exceed the going rate for the category.

 

Since 2005, Sedo has achieved almost 8,500 sales of four letter .com domain names on its marketplace, according to NameBio. That sheer sales volume demonstrates the popularity of LLLL .com domains among domain investors and end-user buyers. Sedo operates a very active marketplace that attracts sellers and buyers and LLLL .com domain auctions always perform well. During 2020, Sedo conducted three successful public auctions of four letter .com domains, with the average closing rate exceeding 80%.

 

Here a small sample of these sales, with the approximate price in Euro:


Zehe.com - 4,212 €
Afef.com - 1,479 €
Ddod.com - 1,599 €
Yerr.com 4,478 €
Serd.com - 3,095 €
Drco.com - 2,432 €
Rxin.com - 2,049 €
Twoj.com - 2,014 €
Ifux.com – 1,480 €

 


As one can see in these sample sales, there are plenty of opportunities to sell LLLL .com domains that do not form recognizable words in most languages, and yet deliver a solid amount of cash to the seller.

 

And now for the exciting news:
With the latest LLLL .com auction taking place from September 16th to 23rd, Sedo is once again inviting owners of four letter .com domains to submit them for consideration; the starting price is 99 USD (or EUR, GBP.)
Whether you participate as a domain seller, or as a domain investor, keep an eye out for the Sedo auction of LLLL .com domains. It’s an opportunity to liquidate or to expand your domain portfolio!

 

For more information, visit the Sedo calendar.