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I was wondering which of the following would be better from a ranking standpoint for my site? Please note that the following URL's are fake to my knowledge.
I believe the first would be better since the search engines seem to weigh more heavily upper level domain areas. As in not deeply into a directory structure. But am not sure.
Although I am interested in hearing any opinions for sure I am more interested in hearing a definitive answer based on sound research or page ranking analysis. If such an answer exists.
Any insight on this?
Some SEs seem to have a dislike of subdomain.example.com, as it has been abused a bit historically, not least by free hosting services who often structure free domains using it. Sites on free domains are rarely high quality
You would only get this URL structure if you were using some sort of dynamic delivery system. The pros and cons of these systems have been endlessly debated here, and various workarounds discussed. A site search for the system you want to use should turn up good information