Why you need to buy your Brand Domain Name?

Why you need to buy your Brand Domain Name? This is one of the questions I get when I do business consulting to start-up and small businesses.  So, I decided to round up some of success stories that had published online from start-up to successful businesses that you may know.

This is a must read article if you’re planning to name your next online business. I would like to share their stories of success in this article so I can use it for reference if someone ask the same questions again.

What is a domain name? For a short description, this is your online identity so you can be reach in cyber space. From bits to bytes to IP Address to DNS to your Domain Name. I don’t want to bore you with my article so go search if you need more detailed information about domain name. Keep in mind,  in cyber space there is no wall between us so we are neighbors. No boundaries no limitations.

In starting a business, you need to have an online presence a website. Before you make a website, you need to have a domain name, a place holder of your products and/or services, it is your brochure. At this point in time, your domain name is simply a place holder, no value at the moment. Your revenue will dictate the value of your domain name and your brand, this will become your assets and foundation of your business growth.

Now let’s talk about business growth and your brand. Okay, you started a simple domain name that you think it is very useful and appropriate for your business. And later on, your business grow and your customers helping you build your brand by sharing (word of mouth) their success to their family, friends, communities and social networks. But the problem is they are sending their referrals from a different websites due to incorrect domain name because you’re using a make up words, hard to spell name or wrong spelling, using unknown domain extension, etc. I can go on pointing out that you registered a wrong domain name in the first place.

Let’s take an example Microryza (pronounced “micro-rise-ah”) a website for crowdfunding scientific research. “The name “Microryza” was a play on the word “Mycorrhiza,” a fungus that helps other bacteria grow”. I think this is a perfect name for scientists or anyone in the medical field, but not to a common people like Joe the plumber, Mary your Accountant, Jacquiline your conservative neighbor, you and me :). It is hard to pronounce or spell, and hard to remember. According to Cindy Wu, the CEO of the company, they accidentally being called “Micro-Zynga”, that pushed the team to change the name and re-branded to Experiment.com. It is not cheap, the reported price is $54K.

According to the founders, the response so far to the new name has been fantastic. Continue reading “How Microryza acquired the domain name Experiment.com” to know what’s involve in choosing alternative names and getting their domain name.

The domain name is a valuable asset that will help your business to the next level.

Do you think Experiment.com $54K is an expensive purchased? I don’t think so, this is a very cheap purchased considering the premium valuation of a generic name. Let’s not forget about Candy.com sold for $3M, Toys.com for $5.1M, and other generic domain name.

How about AppSumo acquiring Sumo.com for $1.5M. Do you think this is too much? Listen to  OKDork by Noah Kagan podcast sharing his experience on how he acquired the Sumo.com domain name.

He explained the following:

• Why a domain name matters – a good domain equals a legit company.
• Let you own your brand and be the definitive source.
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Brand name – Sumo.com

Brand name – TeamWork.com

Brand name – Buffer.com

Brand name – snappa.com

Source: http://chrisgimmer.com/snappa-com-purchase/

 

References:

How Microryza acquired the domain name Experiment.com – https://priceonomics.com/how-microryza-acquired-the-domain-experimentcom/