The most difficult step in the process of being successfull online for me is: choosing a market/subject that you're passionate about that isn't already saturated. As a test, my wife and I picked pets and health (diet & fat burning) for 2 sites. We're using Amazon as our main income source. We've had them over a year now and I must say, for all of the work we've put into these sites, it's very frustrating.
I can sympathize; my biggest earner has been booted off every good position it had. Are you including social media in the mix?
I get why short and very descriptive domain names are very expensive, but I just never understood why people would pay thousands of dollars for a domain name. I remember one of my first e-commerce event I met this entrepreneur who told me he paid his DN 3000$. I was simply wondering why he didn't try to find another good available DN.28) Domain names are an incredible investment - I am talking category defining premium domains. As soon as you can - try to buy yours. They are usually very expensive. There is likely only one in your industry. The ROI is huge and comes in more ways than you would expect.
Anyway, I think that with the new panda update domain names have less effects on SEO. It is still important to have a good short one that stick to the brain though.
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