BackgroundOver at NamePros poster thevictor asked this question:
Hey NP,I decided to take a little while to provide an in depth response there, but I thought I would also post it here (this version is slightly expanded with a few additional links).
There are many threads dedicated to showcasing, appraising, discussing these new gTLDs, but I am having trouble finding any information as to why an end-user would want to invest in a ngTLD versus a .com domain name? What are some use cases and/or selling points for a ngTLD? Aside from them being very unique and one-of-a- kind, how would you respond to a .com holder who asks this question? Thanks in advance for any insights or success stories regarding this!
A whole book could be written in response, so you should not consider these the only reasons why sometimes new domain extensions make sense for both end users and domain name investors. I sincerely hope that I have provided what the original poster desired, some specific reasons and examples.
Why Use a New Domain Extension?
- You want a powerful, single word domain name, but that name is simply not available at any price to you in .com or .net. This is probably the driving reason behind the domain name sale of a couple of weeks ago of blockchain(.)ventures for $42,000.
- You believe that a domain name doesn't need to have a .com tacked on, and it is more aesthetic and elegant to simply have a domain name that describes exactly what your enterprise is. If you listen to the interview by the person who paid $500,000 earlier this year for home.loans that is essentially his reasoning (and he had earlier business success with a similar other name). Or about a year ago casino(.)online sold for $201,000.
- You can express the exact name of your company through a ngTLD, e.g. look at DXC.Technology. Their name is their website. Nothing added. Elegance defined.
- You do use a .com or cc for your main site, but you also want a descriptive domain name for a subset of your activity. Design is central to a business like Kohler. Surely it made sense for them to use Kohler.design? (and they do)
- What you do can be described perfectly and concisely using a ngTLD. That is probably why earlier this year Talk(.)show sold for $50,000, and maps(.)Amsterdam sold for about $8500. Also in 2018, tax(.)help sold for $6000. In these, and many similar cases, you see the domain name and you know instantly what the site is about. With extensions ranging from loan to review, club to trade, blog to store, and over one thousand more, it is hard to think of an operation that would not fit with one of the ngTLDs.
- You want to use domain name phrases in a marketing campaign. Most of the legacy gTLDs and cc TLDs are difficult to make into domain name phrases. But this can express endless ideas when creatively using ngTLDs (see the recent examples over at the thread where people listed their 5 best ngTLD domain names for loads of great examples). I set up a few examples from my portfolio so you can see how they work. For example, if you enter we.redefine.fun or all.curlers.win or help.diversify.science it could redirect anywhere on the web (try them out). Phrases like this are easy for people to remember and can be entered into social media as clickable phrases. The good folks over at Names.of.London (yup just click the phrase) have great possibilities available at reasonable rates. You sell art? They have art.for.sale that you can rent very inexpensively!
- You are a small (perhaps single person) business, and you can combine your name with an extension to express exactly what you do. For example if my name was Jane Doe and I was an accountant, the domain name JaneDoe.accountant would perfectly describe my business. This works particularly well for sole proprietorships where you must use your exact name. I describe this on the blog here.
- You want good value in your domain purchase price. There are countless small sales of ngTLDs, many below the $100 Namebio limit so don't show up in that database (a more extensive one for small sales is DNPric.es, but it too is far from complete).. In a bit of self promotion, might we be out of step to point out the great deals in some of the new extensions that we have over at NamesThat.win? You run a roofing business, wouldn't it be cool to have the domain name roofer? Or your company produces sensors for the Internet of Things, why not the domain name sensor? Into robotics? Shouldn't your domain name be simply robotics? All of these are available right now in the gdn (global domain name) extension for between $125 and $175! You can get a memorable, descriptive name for great value in new domain extensions.
- You feel that the dot com bubble burst in 2000 except for the domain name business. You find this is the era to have something new, something like The.club, and are willing to pay $300,000 for that as was done in January of this year. But the really great thing is you don't need to pay funds like that to get a still pretty great name. You sell hiking equipment, wouldn't hikers.world by an applicable domain name? Your startup works with gene therapy techniques - edits.life says it pretty concisely? Your reference site is the place to read about Exchange Traded Funds (ETFs), the most popular growing investments these years. Surely ETFs.site would work well. We have all of these right now for less than $130 each, and thousands of other domain investors have similar deals on great names with ngTLD extensions.
- You can purchase single letter domain names in some of the ngTLDs. For example A(.)top sold for just over $96,000. Sometimes you don't even have to pay that much for a single letter ngTLD. For example, in 2017 V(.)photo sold for $15,000 and G(.)rich for $13,750.
- You can use a ngTLD as part of a call to action. With a two word phrase like Act(.)today (that sold for $20,000 in 2017), Our(.)place (sold for $10,000 in 2017) or Learn(.)wine ($10,000 sale from 2017) you can simply and directly urge the reader to take some action.
- You want to shake up things a little. The parent body of company Alphabet don't have a lot at abc.xyz, but who can argue that it isn't a cool and appropriate domain name? Speaking of cool, isn't 2(.)cool a rather unique domain name? It sold in the Namescon auction this year for $2900.
What Else?At some point I will probably post a second part on this topic, with additional cases and examples. For example, I wanted to talk a bit about the more specialized extensions and their use. I also hope to address the idea that the underlying value of a domain name is of more importance than simply looking at what that extension has sold for in the past.
Please feel free to suggest your own ideas that I have left out! And of course if a reader is looking for more big ticket sales scan through lists such as this one over at DNJournal, or use the Namebio database and search on one or more of the new extensions. Thanks to all the insightful people who keep NamePros the vibrant online domain community, as their experiences and ideas have inspired my interest in domain names.
So while most sales in the daily domain report at Namebio are certainly .com, there are good reasons for both end users and some domain name investors to consider investing in the "new" extensions. I also did a post more from the domain investing perspective related to this topic here. The domain investing community should be large enough for those who prefer legacy domain extensions, country code domains, and the new extensions.
Photocredit: The image at the top of this posting is by Pixabay user qimono.
Note: While an effort was made to make sure that this post was current and correct at time of writing, if any details are important to the reader it is their responsibility to independently establish that information. This posting is for informational purposes, and is not to be construed as individual advice for any domain investing decision.