Domain investors in China should buy Western Premium domains

written by

Joe Uddeme

Joe Uddeme

Domain investors in China should buy Western Premium domains
  • Domain investors in China
  • Western Premiums
  • .com global domain appeal

For those of you that follow the domain investor market, specifically in China, you can see all types of newly minted investors looking for the next great domain name investment. Most Chinese investors are focused on the domain names that have relevance inside of mainland China. The most popular investments in China are the short acronym domain, or simple numeric domain names as they translate to meaning to the Chinese culture. Some examples include the following:

15.com (NN.com)

123.com (NNN.com)

TR.com (LL.com)

TYPL.com (LLLL.com)

6N.com (LN.com)

N6.com (NL.com

Western Premiums:

Most Chinese investors will tell you they tend to shy away from the Western-type domain names as they don’t have meaning in mainland China. Names that contact vowels, and the letter “v”. Are they limiting their long-term growth potential? Some would say it’s a safer investment. We tend to disagree, and here’s why…

As domain investments continue to increase in China, we are seeing the investor branching out into some of the new GTLD extensions as alternative investments including; .club, .top, .wang. They are acquiring these names for much lower costs than the typical .com investment. Is that a solid investment? We say NO…

The Chinese investor is savvy, but they are limiting their investment opportunity. In most instances, domain investors in China are only focused on these types of names because they create liquidity and are very attractive to the Chinese on a quick-flip model.

Additionally, the Chinese investor should look at the plethora of available .com domain name inventory on the aftermarket. Tons of fantastic domain inventory is readily available. Short, generic and easy to spell English words that are SOLID investments.

The saturation of the Internet continues to precipitously grow year-over-year, currently, 52.2 percent of the Chinese population is online. Case in point, you can do the math and see the longer-term opportunity.

Should you limit yourself as an investor? With the .com market  stronger than ever with fantastic acquisition opportunities and names that ultimately have that global appeal and market reach.

Domain investors in China will start to acquire the short, generic .com domains as trillions of dollars are available for private Chinese investors.  George Kirikos had a fantastic post in twitter, referencing 12,000 startups  that are being created every day in China.

The domain investor continues to evolve and grow. Investors should  look at the longer-term investment opportunity and acquire names that are globally acceptable and not limited to mainland China only.

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What to Do Instead: A short name is easy to remember, easier to spell, and thus, has a better chance of becoming a household name. It also makes it easier when you want to branch out into branded items, or you want to create a logo, etc. Unfortunately, the very easy 3-letter names were all taken as early as 1997, but there are plenty of others available that are appropriate. The shorter your domain name is, the easier it is to share through word of mouth. It’s also easier to type into your search bar, especially if you’re using a phone. 2. Pick Something Easy to Spell, Pronounce, and Remember What You Want to Avoid: A name that is difficult to spell can negatively impact your traffic because it can mean that users don’t land on your page. They might even end up with a competitor, instead. You’ll also want to avoid using multiple spellings and the use of hyphens, numbers, or special characters. Your customers will often misunderstand numbers or misplace hyphens. 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