Something I do not understand about finding end users:
Lets say I have a domain: goldenshirts.com, so we have two possible keywords: "golden," and "shirts."
When I go on google to create my email list, why would I search up "golden" and "shirts" ? Lets say I found a website: goldshirts.com and shirtsgolden.com, why would I contact them? Why would they be interested in another domain, "goldenshirts.com" ?
Or better yet, lets say I find a website: shirts.com and shirts-gold.com or shirts-insider.com. I just don't get why I should be contacting these end users because they already have their own website, why would they be interested in bidding for my domain?
It's a good question. And an important one. There are many reasons as to why companies and business' will purchase domain names, even if they are already hosting their business on a current domain.
The key is that the domain name you offer them is better than their current, and it gives them an opportunity to grow as a company and to increase revenue etc. A premium domain is assesed by search volume, branding, presence, potential to make money back and a number of other factors that determine value etc.
These are the top reasons as to why companies will buy domains:
Branding:
A strong web presence and complementary branding is key for any business to strive in today’s world. Premium domain names give business' the platform needed to be located by consumers already searching for them. Owning a domain name that illustrates a company's industry goes a long way in helping potential customers to locate and identify with their business. It let's people memorise them instantly, and it let's them secure and own their brands entire niche through a single premium purchase.
For eg, with "ShirtGolden.com" the phrase is backwards, it doesn't make sense. People don't speak and say "I bought a shirt golden", they say "I bought a golden shirt", and that's why GoldenShirts.com is better and holds a better brand.
Domain Names Are Appreciating Assets
Ever since the first domain name was registered in 1985, they have become strong commodities that have consistently increased in value, reaching sale figures up to and exceeding tens of millions of U.S. dollars. These are not 'one off' situations, these are re-occurring sale figures, simply because companies understand and appreciate the value that domains offer to their business'. To date, the highest recorded domain sale is 'LasVegas.com', which sold for $90 million. It is undeniable that domains are offering companies a substantial return on their investment, and so often (even if a company doesn't want to primarily use a domain name for their business), companies will often buy domains for holding. They will build a portfolio and after a few years, after prices have gone up, they will sell those assets. It's the same with most valuable things - arts, jewellery etc. I used to be confused as to why people would spend $50k on a Rolex watch...but I realised it's not because they want to make a statement. It's because that Rolex watch will increase in value, and in 5 or 10 years time (if kept well) that same watch will be worth double or tripple it's value. It's the same with domain names.
Credibility
Having a domain name that reflects a company's brand grants customers an instant sense of trust and authority. They will be significantly more incentivised to do business with '
www.Business.com', compared to '
www.My-Business-123.biz". If your end user previously missed out on the opportunity to invest in a good domain name, perhaps you can offer them the chance to now.
Domains Provide Instant Marketing Advantages
Premium domain names market and advertise themselves. Once registered, these domain names are set in stone and are active around the clock. It's no surprise that they come with added marketing advantages. After acquiring a premium domain, companies can expect to see a spike in web traffic due to their domains being a prominent result on search engines. Generating a consistent flow of customers directly to their business' landing page. Advertising in newspapers and other publications, on TV, or via online adverts are great ways of marketing your business but they have one big flaw: once you stop paying for the advert, the traffic slows down and eventually comes to a halt. A premium domain is a one-time investment that will generate results forever.
Everybody is using the Internet
More people are using the internet now than ever before, offering businesses an unparalleled audience which simply wasn’t accessible formerly. The internet has connected the world and has given every individual a platform to become a leader of the future. Owning a premium domain name gives companies the global access that could take their business from nothing to everything. A poor domain name doesn't have the same global reach as a premium one does.
Domains Can ALWAYS Be Resold
Domains are liquid assets, they are bought and sold very quickly with straightforward legality and minimal paperwork. If circumstances change and a company sees the need to liquidate their domain name assets quickly, it would not be an issue for them. The domain market has a quick turnover and premium domains can get snapped up as soon as they hit the market. It's not a lot of risk for companies to invest into big domains.
A Domain's Professional Advantage
Owning the right domain name comes with perks. Companies will be able to create professional company email addresses registered to their domains, that consumers will be able to identify their companies with. They can forward multiple sub-domains to their primary domain to increase traffic flow. Advertising will become streamline, as they will be able to forward primary domains to pages or products on their site for consumers to notice. Premium domains speak for themselves and are easily remembered when paired with business cards and marketing material.
A Premium Domain Makes A Business A Leader In Their Field
Having the exact, precise domain name for a brand will set a business apart from the competition. It will give them a platform to dominate the online space of their niche, leaving their competitors to opt for subprime and second-rate domains. While their competitors are limiting their level of online presence and in the process missing out on bulk traffic - a company that acquired a premium domain will be leading from the top.
Companies Can Easily Link To Premium Domains
What happens so often in the web industry is a reputable company will write an article linking a particular premium domain name to the business that they are writing about - only for all that traffic to be directed to the wrong place. All because that secondary business doesn't actually own their premium domain name. Business' and companies will assume that a company owns the premium .com domain that captures their brand - and so when they link to that premium domain name and those companies don't actually own it, they miss out on all that potential traffic. That's why owning a premium .com domain name allows companies to link to those companies, without sending the traffic in the wrong direction.
Instant Traffic
Premium keywords are already consistently getting tens and hundreds of thousands of searches each month via web search engines. Now imagine that a company owns the domain name that matches with the premium keywords already being searched. They instantly position their business' for success - they allow all those tens and hundreds of thousands of people searching for a keyword to land directly upon their businesss, turning thousands of people into potential customers, drastically increasing revenue each month.
Search Engine Ranking
It's a proven fact that premium domain names rank highly in seach engines over poorer quality domains. If a company owns the premium exact match domain name that represents their brand, they are instantly allowing people to reach them when they search through search engines. Search engine sites like Google will acknowledge instantaneously the authority that a premium domain name provides, and they will position those domains at the very top of their search results. That leads to self flowing traffic and huge business growth. If Google recognises a brand as a premium brand, so will customers.
Protecting A Brand
Owning the premium domain name for a brand can protect a company from a number of factors. It prevents other companies from securing the domain name and dominating under the same keywords as them. It also protects companies from leaked traffic. There have been multiple instances where companies who own the long-taield keyword domain of their brand have spent millions in advertising, and a huge portion of their traffic was leaked up to the top companies who owned the premium domain name under the same keyword. By securing a premium domain name, companies prevent leaked traffic, and they also gain traffic from other companies underneath operating under the same keyword leaking their traffic to upwards.
The Potential For Return On Investment
Purchasing the right premium domain name is like purchashing a turnkey business ready made in a box. There are already hundreds of thousands of people searching the premium keyword terms that represent business' into Google, and there are plenty of advertisers out there ready to pay out companies for hosting business' in those particular niches, let alone the income from selling any services or products that companies may provide. Once a copmany owns their premium exact match domain name and they are positioned well on Search engines, it's all a numbers game from there. All those hundreds of thousands of people searching for them and landing on their pages, multiplied by the cost of any products they sell, and by the cost of what advertisers pay out (CPC) - it's easy to see how a ROI can be made within months.
Premium Domains Are In High Demand
The demand for premium domain names is rapidly increasing. Companies are competing each day to land their business' on the best digital assets available. Securing a premium domain name today will leave a company secured for the rest of time. They will be the predominant controller and influencer of their niche, and they will be known as the leading brand around their industry - leading it's direction and growth. They will not have to compete any more to be the best, as you will have already secured the best possible digital investment for their company.
Global Positioning
There is only one king premium domain in a niche. And yet there are thousands of companies who have business’ and brands built around that niche. If a copmany owns the premium keyword domain name of their niche, they instantly set themselves aside from the thousands that compete with them. They dominate and own that entire niche. There is no further explaining necessary when explaining who they are or what their brand is - they simply state their domain name and people will instantly recognise them. Whereas you competitors will be left having to give justifications as to who they are and why they’re not the premium keyword that they’re branded around.
Relevance and Irrelevance
If a company owns the long tailed domain name of their brand, it’s very easy (and likely!) that another brand will swoop in and secure the premium version of the domain name, effectively making the other brand and company irrelevant – because the company who buys the premium name will be known as the niche dominator for that keyword.
I hope that helps, and thank you for asking that question. It's an important one that I think more domainers should know so they can justify their reasons when selling and marketing a domain to end users, and something that more end users should be aware of so they can see the advantages or purchasing premium names.
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