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Domain Name Guide – The importance of a premium domain name

Thursday, May 15, 2008
By admin

A premium Domain name is the foundation of any successful online strategy, and is often the difference between success and failure for e-commerce ventures.

Here are some of the reasons why Businesses and Individuals invest in domain names:

  • Instant Brandability - With the right name your brand is already built, e.g:, A targeted domain name can be used to protect your current brand, or promote certain areas within your business.
  • Instant Credibility - Your domain name is the first thing people see., gives out a far more powerful message than You can also personalise your e-mail addresses:, looks much more professional and is far more likely to be opened than:
  • Easy to remember & relevant to your business = Repeat Business. More businesses are competing on the web, and to get noticed amongst the billions of pages you need to have the best real estate!
  • Descriptive name – helps with search engine placement. It also helps if the domain is relevant to your business, both for SEO and also for customers understanding of what you do.
  • Business Asset/Investment The name is a business asset that will increase in value as more Individuals and businesses come online. Memorable, Generic and Brandable names are rapidly increasing in value as people realize the need to stand out from their competitors.
  • Minimise competition: If you don’t have a great name - you can be sure your competitors will. Work out the lifetime value of each customer you could lose by buying a poor quality domain name.
  • Targeted leads – Can happen when you have a relevant and Premium name (e.g., Because the name is short and relevant to a product. It’s becoming quite normal now for people to type your domain name into the browser instead of going through a search engine. (This type in traffic has been proven to convert up to 80% of visitors – whereas search engine traffic averages around 1-2%) – Hence your advertising Budget will be much more cost effective.
  • The correct name is a Salesman working tirelessly for you 24 hours a day. Combined with this is the fact it’s an entire marketing campaign, that will never be outdated or irrelevant.
  • If you are a new business it will enable you to launch your brand into the publics mind at a very low cost, and get the kick start you need to start competing in the global marketplace.

Then of course there is the old argument:

Domain names are too expensive – You’ve no doubt heard this and may even think it yourself. In some instances I’m sure this is the case, but most domains you see are certainly not overpriced.

Why: Well consider the value to you of one customer. Not just for one sale, but their lifetime value. This customer will probably refer friends who in turn will refer others.

But forget referrals for the time being.

Lets just say this customers lifetime value to you is: $2500, and because of your new premium name you have 200 new customers.

That’s a potential of $500,000 in revenue which has come to you because of your name. If the name is good enough these customers have probably been gained by type in traffic, or traffic gained with minimal advertising.

So I’ll say it again: Domain names are not expensive.

There are now nearly one billion people who access the web on a regular basis and these numbers are increasing at an incredible rate every month, and just as importantly, so are the spending habits of these new and old users.

The office for national statistics has data proving that people are ditching the high street to shop online. Both for ease of use, a greater selection of products and also because of the fact that goods are 13% cheaper online.

To capture your share of this expanding market you need a Premium Domain name.

So give your business the best start it can get and invest in a name that’s brandable, easy to remember and relevant to your business.

The golden days of the Internet are still far ahead of us, so make this the time that you cement your online success.

The Namecake Team

To see our list of Premium Domain Names Please Click here.

We also have many other articles you may find interesting:

1 Comment »

  1. by Mike @ |  November 17, 2008, 11:06 am  

    Nice detailed article.. You touched on some good points.

    Keep up with the good work ;)


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