What will it take for end users to embrace domains as virtual real estate?

I am sure I am not the only domainer who has been frustrated by lowball offers from end users or disinterest in domains which are much better than what the company is currently using. The general perception seems to be that a domain is a low $XX expenditure that is incurred to launch a website and once you have a website, there is no need for another domain. Yes there are exceptions on the weekly DNJ report. But most end users do have that mentality - expecting $XXXX for a domain name to them is like paying $XXXX to see a movie. Most members of this forum do view domains as branding tools which capture the mindshare of potential customers, can be used to promote a company's products and services, are easy for customers to remember when they come across the name in some form of print or TV advertisement and set a company apart as a leader in its field. My reluctance to participate in new TLDs is largely driven by the fact that I see too many end users settling on hyphenated or otherwise newbie-type domains . While they will spend thousand of dollars on other types of business expenditures - marketing, professional services, IT costs, travel, etc. the end user mindset toward domains needs to change radically before domains are viewed as company assets rather than trivial items. What will it take to move the needle?

 

Good post garptrader.

The answer ? A very decent dot com and a big budget IMO. The chances are a big company will already have their domain of choice and developed to the Google number one slot anyway. The smaller business might not do this -- but of course they have smaller pockets if you target them.

It is very true that many companies spend $$$$$ on advertising etc, but won't spend coin on a domain.

Best,
Paul

 

most spammers "send solicitations" to people who already have one or more domain names.

so, yeah, if you're asking four figures for a newly registered domain, that has no obvious benefits that would immediately enhance their business, then why should they consider buying it?

i think many domainers mindset needs to change, if they think they can continue to send lists of.... low quality, non .com, no-type-in-traffic-having domain names with no intrinsic value, to unsuspecting entities.


as those who tend to "wait for offers", see things quite differently.

but that's just my opinion....

 

I hear what you are saying. Has to be driven by the marketing department to articulate the value of a domain name as part of the company's branding strategy, It aids customer awareness and source differentiation but ultimately increases sales. I found the large companies understand this but you need super premium names for them to bite. Small companies find it a hassle and are happy to stick with what they know.

 

I agree. Very few end users and even domainers understand the real value of a domain. Getting end users to see the light is hard to do.

I think explaining it like real state might be the way to go. The location(.com) comes first. Like 5th ave in New York.
Then comes the keyword/domain. Like a building on 5th ave.

The better the domain the better the placement in the building. So there are a couple places within a building that are the best place for business. Like the ground floor for foot traffic and the penthouse for the view and status.

There many floors in between the ground floor and the penthouse, but those two are the top of the line and are the most expensive locations.

So cars.com is one of the best domains for that niche. It would be a penthouse or ground floor store on 5th ave.

Usedbluecars.com would be like a junkyard in the backwoods of West Virginia. (nothing against WV, I love the place)

You will have much more traffic and find more customers on 5th ave then come across a junkyard in the backwoods. Plus those customers will be more willing to spend money at a store front on 5th ave or Rodeo dr.

I know that's a lot to explain but that's the way I look at domains.

 

In my opinion it's hopeless. We are in 2016, the Internet is not new. It's completely mainstream now, and becoming pervasive (through mobile, geolocation, IOT etc).

There is one thing that irks me a lot: almost everybody uses free E-mail like gmail or similar. E-mail is absolutely essential, many people literally keep all their life records in their E-mail, and they would possibly commit suicide if they lost the data, or access to the account.
Why do people use services over which they have no control, and no rights whatsoever ? I know, it's free. It's not a right but a privilege that could be withdrawn at any time. And you have zero privacy too... remember it's free, you are the product. People are cheap.

Even domainers use gmail...
Get your own domain name, then you can have cool E-mail addresses and they are yours forever, and you also set up a site for your business (or blog). Why so few people get their own domain name in 2016 ?
Domainers don't get it either, so it's not surprising that end users don't get it.

There are success stories involving companies that 'upgraded' their domain names, and improved their bottom line as a result. But those stories are not very publicized outside domaining circles. So there is not enough awareness about the benefits of (good) domain names.

Generally, somebody who wants a website done will contact a 'webmaster' and this is where the problem begins. There are plenty of amateurs and lots of websites that are overcharged, poorly designed and often vulnerable. Very few webmasters/web design firms put any emphasis on branding in general and domain names in particular.
Who is going to educate end users ? In theory the registrars could be in a position to take up that role (in part), but domain names are heavily commoditized. The emphasis is always on low prices, or add-ons.
Domain names are often free with hosting. They just are not being presented as something valuable. The website is always more important than the domain name, which is the brand. That isn't logical.

 

Agree with Kate for the most part.

Regarding use of gmail , the most important aspect is easy of use. Gmail is super easy and fast to use, it just doesn't compare with one's own email server.

 

You can still use Gmail (for business) with your own email address at a very low annual fee (like i do), so not really an issue..

 

Well, you can use Gmail servers with your own domain, for like 5 bucks a month. That's the sweet spot. Avoid using free email servers, those tend to be listed on spam lists all the time, it's not worth the effort...

 

Really I think coming at it from a real estate angle only resonates with domainers. Businesses understanding branding. Booking.yeah. Radio test, memory retention, mindshare, postive association, authority and so on. Those that get it, do from a marketing angle, that's how I sell them but a good premium name sells itself.

 

On the other end of the spectrum are buyers who will spend big bucks on domains, but are unwilling to put the money into developing them. Most of my big sales over the years have been to this group (I'm assuming, judging by the lack of serious development).

 

This is very true. Domaining and being tech savvy don't tend to go hand-in-hand, which is why there has been success with 'landing page' services for domainers.

I also think that the responsibility for lack of awareness lies on our shoulders as well.

Every single serious domain investor should have a blog, and should be talking about domains and their value.

 

My observation is solely based on what I'm seeing in Finland but here it goes anyway:

Little by little business owners are starting to understand the importance of domain names. I'm seeing more and more Internet based businesses popping up with awesome, to-the-point domains. And not just Internet based businesses but general services (e.g. plumbing, car repair and so on) as well.

In general, I think, or feel, that the change is coming. My gut-feel (yup, just that, nothing more) is that within the next five years aftermarket domain sales are gonna increase substantially across the board.

 

In Austria i do also notice more and more commercials on TV advertising their businesses/startups & domain names since the past 2 years.. marktguru.at, lieferservice.at (food delivery) etc.. these are strong & to the point domain names, so there might still be a change for the better just underway, although slow..

 

Sometimes it is hard for us to see domains like "regular" people do. Many of us spend a large amount of our time domaining and it can be hard to see the forest for the trees.

We see the value in domain names because this is what we do, and it is not unusual for us to spend large sums of money sometimes when obtaining names of value.

The whole new tld thing just complicates things and makes it even more confusing for people who are not domainers.

The best prospects are larger companies who may have a better understanding of the value of a good and relevant name, and since they are not spending their own money - in many cases, they could have less trouble spending a higher amount for a name.

In my opinion the name you are trying to sell should be of very high quality and be laser targeted to the business you are approaching. This makes it more desirable and easier to sell because they have an easier time seeing the value and potential of a good name. Good names are easier to sell.

Crappy names that are not even remotely related to the business you are targeting will never sell, and you will never get them to pay up or see the value past a $10 reg fee.

 

Domainers don't like spending money on premium names, so why expect the public? Look at most of the popular domain blogs and site names NP members use.

 

well I agree. i think many domainers mindset needs to change. We see the value in domain names because this is what we do. In my opinion coming at it from a real estate angle only resonates with domainers.