What makes a domain name premium? Domain owners and investors think they have the best domain names in the world, and sometimes need to be brought back to reality. We will review what makes a domain name premium, and they provide the best opportunity to acquire beachfront real estate on the Internet.
Premium domain names do not always end with a .COM. Sometimes, names are considered premium because there is a clear commercial path to success. This is a digital footprint that has commercial viability.
Qualifying a premium domain name
So, what makes your name premium? Let’s consider a few criteria needed to qualify your domain name as premium:
- Is this a generic or single word domain?
- Is the extension .COM or another globally driven brand?
- Short, pronounceable and meaningful
- Is there desired Commercial appeal?
- Clear path to development success?
- Significant search volume or brand equity to the asset
- Rich-SEO history and white-hat SEO-friendly past
- Follows a pattern, or rich-acronym
- Catchy, Brandable and Scalable
- Timeless Upside—names that don’t “go-out-of-style”
Its important to focus on a Domain Name and use these pointers above to add significant value and long-term equity to your brand. Find the inventory that can be resold years’ from now, if your venture or business doesn’t succeed. Building that equity in the digital real estate will help you retain “curb appeal” long after that venture goes belly up.
Approaching a name taken
So now you found the perfect domain name for your brand. Its short, brandable and can be scaled and has the commercial appeal. Now you need to contact the owner to see if they might sell it. Contacting a current domain owner can help determine the intended use—would the owner sell the current inventory?
You need to nail it! Take the time to conduct comprehensive due diligence on the opportunity. Make sure you vet all aspects of the asset during the diligence phase. This is the best time to implement your strategy.
Answer the following questions in an outline format. Who, What, Where, When, Why, and How?
Who: Who owns the asset? Find out more about the owner
What: What is the current owner doing with the Premium Domain Name?
Where: Are they using it? Where is their venue? Audience?
When: Is the site active today? Check out the history of the asset
Why: Why would someone want to sell? Why does it make sense for them?
How: what is your approach, and how do you intend to scale?
The outline should also contain a clear strategy toward name acquisition. If we cannot secure this asset, do we have a viable plan? In addition, you should ALWAYS establish clear boundaries and dictate that as the buyer; you set the tone for the negotiation.
Diligence proves to be the most important phase of any targeted Premium Domain Name Acquisition. Have you conducted a trademark search? Any idea how hard the keyword is to rank for in the search engines?
If the Name target is not available, what is the backup plan? Assign a value to the asset in question and clearly outline your budget. Contact the domain owner with a clear path forward. Make sure your timing is mapped accordingly so you have ample time to negotiate and reach the correct point of contact.
Clearly identify the plan ahead of time so you don’t get caught spending more money down the road. Ask questions and formulate your strategy BEFORE making contact with any domain name owner.
How to decide if your domain name is Premium.
You hear it all the time—Beauty is in the eye of the beholder. Sometimes, a domain name is considered premium because it has significant importance to a product, brand, or service. It could be that the domain name receives a bunch of type-in traffic; has a nice backlink history; offers commercial appeal or upside or is short and brandable. The domain name must solve a problem, or provide value to a consumer. It must be free of any black-hat SEO tactics and history. The domain name should also contain a positive connotation or meaning. It should not focus on a specific technology stale business model and should be seen as an equity play—long term.
They are valuable because they add instant equity and brand upside. They provide timeless value and are considered Beachfront real estate. They solve a problem or get someone to take action, and most importantly—they are full of credibility.
The strategy should be comprehensive and performed before a company gets funded, or sources exponential growth.
We talk about the importance of .COM, however, there are many other crucial TLDS that add value to Companies large and small. Different domain names work for different entities and should be evaluated on a case-by-case basis and not grouped together. All acquisitions follow different paths and are dependent on many variables.
Discuss with an Expert or Premium Domain Name Broker
So, now you found the domain name, but don’t have time to make the connection or do the diligence and research? This is where you find a suitable and reputable expert or broker in the space. There are good resources online to help find reputable and professional domain experts.
Check out the following resources to find a Domain Broker Expert
Domain Investing: https://domaininvesting.com/guide/list-of-domain-brokers/
Your domain name expert or professional will keep your money off the table and should offer insight, direction, and a smooth process forward. They should be able to complete all aspects of your transaction including diligence, contact, negotiation, contracts, escrow, and transfer. Take the time to ask the appropriate questions.
At NameExperts.com, we always encourage you to get in touch for a comprehensive analysis and strategic discussion. The experts should always focus on what they do best. As a domain name expert, we see first hand how our proven and methodical approach towards brokerage works time and again. For more information on our services, including our appraisal service, please click here.