It’s been a curious source of wonderment to domain owners that at least 75% of all companies worldwide don’t own generic domains that describes their prodservs. Owning a domain name that simply describes the product and services your company provides is the most important marketing investment for your company, especially if it’s a dotcom domain. It’s called “backbranding”, and it’s a simple and straightforward way to own your competition online.
Outside of the biggest corporations, such as Proctor & Gamble, Johnson & Johnson, Barnes & Noble and thousands of others, the majority of all global businesses don’t own their basic prodserv domains. They’re missing out on the best backbranding investments they’ll ever make.
However, every once in a while I come across some domain I think will be big, although it is an obscure name in the present to most, in the FUTURE, it could be worth thousands of dollars.
I was reading a story about researchers finding a “protein” that could be connected to hair loss. This discovery could help find a cure for baldness . I noticed this newly discovered protein was called prostaglandin.
Being in the business of buying “future trend” domains before they mature, I did a quick whois on the name of this protein. Lo and behold, the humungous drug company Pfizer, Inc. owns the domain name in the .com extension. Good for them.
So, where’s the gold rush by businesses on all the great future trend generic domain names hundreds of domainers already own? Are these companies “waiting it out” as to not tip their hand that they definitely realize the value of generic domains? Are they afraid they might drive prices up? It’s an understandable strategy, because I’m seeing some valuable domains getting sold for cheap everyday now.
As we domainers are wondering when the companies are going to rush to contact us with their checkbooks, we find that they definitely do know the benefits and opportunities generic domains provide. They can’t be that stupid or uneducated. Not anymore.
I wondered if it might just be about “we big guys don’t want to start any “gold rush” on domains we find valuable that are owned by some “little” guy (or major domain-owning powerhouse) who are buying these domains for only $9 each”, and instead, are buying their domains *OOTB as opposed to putting out big money for aftermarket domains.
This means, domainers may have what companies need and want, but these companies don’t think they need us… yet. The true outcome will simply be based on how many category and niche domains we invest in that cover every angle of marketing of those generic prodserv domains.
The Fact Is For People Who Think Domainers Are “Pirates” or “Squatters” and UDRP decisions sometimes are based on what a company can do with a domain over a domainer simply parking the domain.
• The domainer does the work for any company that wants a generic descriptive domain name by simply locating it.
• The domainer does the research to “locate” a viable phrase or word that may be valuable in marketing online
• The domainer or his domain consultant analyzes the potential value of the domain for the resale of the domain
• The domainer buys the domain name, either OOTB or from the aftermarket.That domainer may have spent over $100k or more for the domain. Domainers understand domain power, which allows them the “safe” investment of that much money in a simple domain name.
Let’s finally all say it. Many people in online marketing and those companies who want our domains for cheap are chomping on sour grapes. They didn’t act fast enough to buy the domain. It’s that simple. A domainer is WORKING to understand domain values, the correct domain to buy, and how much to pay for it. Build it out or resell it. Domainers deal with these decisions on every domain they own.
Shout it from the rooftops: Domain investing is a legitimate business, and no company interested in a domain name can snub their wallets at that fact.
If they are “holding back”, they will soon find that a domain name they should have bought for $50,000 today might be worth $5 million in two years because someone else bought it, either a competitor or a domain buildout company that will make the domain become another competitor online. (See “Hotels Dotcom”)
I think it’s time that the gold rush on generic domains starts now, and every company that represents itself online becomes a successful prospector in buying their perfect relevant domain in the domain aftermarket.
*OOTB = “OUT OF THE BASKET” or “new registration”
Very well said, and analyzed, Stephen. Thanks.
@Gene
Ol’ buddy, what did I say? What did I say? Something good? What was the topic? Either way, thanks for the kudos, my friend. I try, Lord knows…
Great article. Some of these smaller companies may not have purchased their generic category killers because they have been foolishly waiting for the new gtld rollout. As such, I, too, want to sponsor a new tld and hereby affirm my committment to the process…
YES, I am interested in trying to get an unreasonable number of suckers to sign up for my silly gtld and in annually charging them far more than the price of a .com.
YES, I am interested in creating a new, longtail tld which will leak traffic like crazy and only help its .COM counterpart.
YES, I am interested in trying to trick investors into believing that hundreds of thousands of idiots (no, wait…millions!!!) will actually want to set up cyber businesses under our .CRAPOLLA tld when history has clearly shown that there is no interest in alternative extensions.
YES, I am interested in offsetting promotional and advertising efforts of each of the Fortune 500 — all of which exclusively use .COM. I acknowledge that I will also need to offset over 20 years of .COM brainwashing and am willing to certify that I have the trillions of dollars that will be needed to successfully do this.
YES, I am interested in obligating myself to an ICANN contract that makes no sense and am willing to blindly support this business which will most likely be hemmoraging money forevermore with no possible exit strategy. I am prepared to go down with the ship and sell blood, sperm and my wife’s jewelry if necessary since bankrupcy can not be an option.
YES, YES, YES…sign me up! I am very interested!
@ Shaggy
You should be a columnist – you are soaked in sarcasm that quickly points out the object of your “affection”.
Beautifully written and logically sound. Thanks for writing!
Most larger companies use marketing companies that tell them generic names are not that important. They want to trick them into believing their “marketing” company will do a much better job than a generic domain with a “brand” name that they have to throw money at forever.
Many time I have contacted the marketing company with a generic name their clients could benefit from having and they don’t even respond.
Also many larger companies have too may ties that can’t make a decision. Too many pen pushers, no leaders.
Peace.
@Stev
It’s to no advantage to an advertising company or a marketing firm to promote domain names to their clients. Why? Because a great generic domain name for their clients will bring in many more customers than the ad agency or marketing firm can bring in with hourly-charged campaigns they create. This is a fact. And by now, if a company doesn’t realize that traditional advertising is a toilet bowl of cash being flushed compared to an investment in a domain name that will appreciate in value as long as they use it, they will lose, and their competitors who DO realize the power of a domain, will win, online and off. Nice response! Thanks
Been busy the past 2 years with my small business doing exactly what you said. I am very surprised that the big companies are not all doing the same. We produce anything wood so I buy keyword domains related to furniture or wood products that have some decent volume of Google searches.
I was surprised that at a GoDaddy auction yesterday I bought shopbench.com for $34.
Probably not super for a domain investor, but is ok. But for me it means with a little SEO I can easily get listed for that keyword.
I sell furniture or shop benches or anything made from wood.
I have about 600 names so far most in some state of development to promote one Brand “Glenn Furniture” All the websites are being developed around the same theme and contact info so as not to confuse our clients, too much.
It brings in the sales and the Google ads pay for the yearly reg fees.
IT IS 100% FREE ADVERTISING, with a commission on top of it.
@ Glenn
You got “ShopBench.com” for only $34? THAT IS HUGE! Think of how your company can use that backbranded generic domain to promote an ebook you create that shows people how to build a good shopbench, at different sizes and styles you provide. $9.99 for a 50 page ebook with illustrations you sell on that site can bring in $1000 a month easily. Congrats!
Thanks admin, and I will use your suggestion.
Thanks for reminding me I’m not crazy for buying all the geo restaurants dot com for our restaurants.
@blitz
I can guarantee you that your geo restaurants domains will pan out. Try creating ad directories for them… seems those bring in serious money.
Great article! Some companies seem to miss out on relevant generic domains simply because of the corporate red tape that stalls most business decisions and some simply because of lack of vision/leadership.
Did you see the reports back in February this year about the drug that showed ,in words of a Doctor “amazing” results in treating alzheimers by removing plaque from the brain ?.
I wonder who got that domain ?.
@mike hall
Did you do a whois check for the drug name?
@admin Yes I did whois search but Bexarotene is covered by privacy .
While we’re on the topic, thanx to you domainers who left the “multi screen” market way open for me – yay!
The Next, Next Thing
http://techcrunch.com/2012/03/18/the-next-next-thing
Multi-screen Advertising
http://advertising.microsoft.com/multi-screen
Good growth for multi-screen services
http://advanced-television.com/index.php/2011/08/10/good-growth-for-multi-screen-services
@Louise
You are always on top of the most intricate and secretive new products being created or researched. Kudos for you thinking. It will pay off big soon.
MediaMind Ad of the Month – Feb ’12: “Nissan Qashqai Multiscreen Action”
http://www.youtube.com/watch?v=vdx4gia4bBY
Okay, I have my multiscreen website started – the consumer version. There is all business-to-business buzz about multi screen, but lacking is a blog dedicated to what is available to us now! I hope to fill that gap. Check it on your iPhone. It is truly multi screen viewable!
@ admin, thanx for kind and encouraging words. We should stick together in the “network” so as to resist outside influences.