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3 letter Domain name value?

Difference of opinion

         

jRyck

5:49 pm on Jun 18, 2005 (gmt 0)

10+ Year Member



Our company has owned-- but really never used-- a 3 letter .com domain name for some time.

Some overly optimistic friends/clients have suggested it could be sold for "big bucks".

I say they're nuts and that the domain name insanity where prices were... well, insane-- passed us by years ago.

I'm right-- right?

Glamba

7:54 pm on Jun 18, 2005 (gmt 0)

10+ Year Member



Seems like 2 and 3 letter .COMs are hunted lately by resellers.

The trouble is branding, unless you are know by a 3 letter acronym or have a keyword domain.

jRyck

1:03 am on Jun 19, 2005 (gmt 0)

10+ Year Member



>> The trouble is branding, unless you are know by a 3 letter acronym or have a keyword domain.

Thanks for the input.

But I never really understood the advantage of branding as it relates to a domain name-- or for that matter even why current site traffic is always all that important either.

Sure, if for example you are starting something like a biz selling musical instruments and you are able to get a domain that currently has significant traffic in a related business, that would be a good thing.

But-- to continue a nonsensical example-- if you make industrial cleaning supplies what good would even the most "desirable" domain name be-- if it wasn't directly related to your business? IOW, if you got music.com, what possible benefit would that be to your cleaning supply business? Is the rationale that "any/all traffic is good traffic"?

But hey, perhaps I'm missing something...

dauction

1:20 am on Jun 19, 2005 (gmt 0)

WebmasterWorld Senior Member 10+ Year Member



music .com would get a huge amount of natural type-in traffic and it would generally be used by domainers in a "parking" situation.

The name is "Parked" at any one of a number parking companies that line up advertisors and split the revenue generated off the domain with the owner/s.

The owner may resale name to a enduser , (Company in the music Industry) , to another domainer or simply live off the revenues a domain like Music.com brings in (without ever needing a search engine).

Whileyou are busy trying to Market your "brand" , a name known only locally , names like Music.com are generating pure profit and constant state of increasing in value.

jRyck

3:16 pm on Jun 23, 2005 (gmt 0)

10+ Year Member



>>music .com would get a huge amount of natural type-in traffic

I'm not saying it isn't true, but it's hard for me to comprehend that very many people simply pick a subject word and type it as a URL address. Is that scenario supported by any reliable supporting data? I know I _never_ do that myself.

Now of course, typing "music" into your favorite search engine is another matter altogether.

Eltiti

3:25 pm on Jun 23, 2005 (gmt 0)

10+ Year Member



If you look at the "most popular keywords" at, say, that service that tracks words ;-), you'll see "google", "yahoo" and "ebay" in the top ten.

One would expect people to enter these terms in the address bar of their browser, not the input field of a SE, right?

IMO, if they do this, they could easily do the opposite as well!

otc_cmnn

9:03 pm on Jun 23, 2005 (gmt 0)

10+ Year Member



We own many one word intuitive product/category/sports domains and I can assure you, LOTS of people do just type in 'widgets.com' when looking for widgets or widget info. Y!SM pays us a lot of money for this type in traffic as it is highly targetted.

As for the 3 letter domain, it is worth something to a company with that acronym but if it is not an actual word I think you should be more than happy to get 10-20k for it.

PatrickDeese

9:14 pm on Jun 23, 2005 (gmt 0)

WebmasterWorld Senior Member 10+ Year Member



Yes - people definitely type in $keyword.com, as well as $kw1$kw2.com - I have domains that benefit from type in traffic.

jRyck

3:42 pm on Jun 25, 2005 (gmt 0)

10+ Year Member



>As for the 3 letter domain, it is worth something to a company with that acronym but if it is not an actual word I think you should be more than happy to get 10-20k for it.

Of course one of the main questions people always ask: "What's it worth?" can always be answered simply by saying: "What someone is willing to pay for it!".

But that indisputable logic aside, I still don't understand why a 3 letter domain-- even it was a common word-- would necessarily command a high price-- just because it's a word.

For example, in the spirit of self enlightenment, I just did something that I said earlier I never do: I picked a 3 letter word out thin air and typed it in as a URL-- "cow.com" (probably a Freudian thing rooted in my early years on a dairy farm... ).

Low and behold, this brought up what I consider to be a pretty useless site which if I understand what I'm looking at, is apparently set up primarily to generate traffic/revenue to the site owner(s)? It seems I'm finding that more and more searches lead me to these kinds of pages. Even if you spot a link that looks potentially useful, further clicking just leads to more and more "directory" pages with no real information. Personally, I think they're for the most part useless, and I typically bail out immediately.

But the common wisdom is that enough people actually will type "cow" in as a URL, end up on this site, click through to another site, and actually buy something form that site? Enough people will do that to make the keepers of cow.com $$$?

Understand I'm not trying to be confrontational here, simply trying to understand how all this stuff works.

cyberair

4:31 pm on Jun 25, 2005 (gmt 0)

10+ Year Member



That domain name was sold on ebay for $45k. I don't think that its true worth can be assessed by what you see right now on the site.

The domain's worth is based mostly on its capacity to be branded and remembered without confusion.

Cow is very simple. Any focused marketing plan to brand that domain name would probably be very successful.

jRyck

10:37 pm on Jun 27, 2005 (gmt 0)

10+ Year Member



>>As for the 3 letter domain, it is worth something to a company with that acronym but if it is not an actual word I think you should be more than happy to get 10-20k for it.

It's not a word, but it's easily "pronouncable". No numbers, or dashes...

I would think that in some ways this would be a plus (more generic potential for new concepts/products) while at the same time a liability (marketing challenge to wrap a concept around a "new" word).