Is virtual real estate the new frontier
What is a domain name worth? well the average price of a .COM domain name is $2,595, according to a study released last week that analyzed 10,608 domain sales during the first quarter of 2011.
This could be pretty useful information for digital marketers out there to work into their budgets, but more importantly, they should look at the overall value that a domain provides because the return on investment can be fairly substantial.
Domain names are a pretty basic tool in the digital marketer’s arsenal and should be a main component of any campaign, brand management strategy, product marketing strategy, or even an SEO strategy. However, their importance is often overlooked and can sometimes be cast aside due to the sticker shock of how much the right name costs.
Domains have been sold for $13 and for $13 million, but if you consider the average price, it’s a reasonable investment in the grand scheme of a marketing budget. To put it in a brick-and-mortar perspective that most anyone can understand, $2,600 is roughly the cost of a vinyl sign or display booth, making it a very reasonable investment for most companies.
Another thing to remember is that a domain is an investment, The money you spend upfront on a domain will pay dividends in the traffic it helps generate, but it’s also an asset that will appreciate in value over time. According to the same market study that benchmarks domain transactions, the average price of a .COM increased 9 percent from the first quarter of 2010 to the first quarter of 2011.
We often take domains for granted because they’ve become a part of every day life, but they’re a valuable tool for driving traffic, and in the end, that’s what it’s all about. Short and memorable domains can make your site easier to find for new and returning customers; keyword domains can improve SEO and reduce the money you spend on SEM; domains that define a category can capture natural type-in traffic. With the right strategy, domains prove their value many times over.
You only get one domain name, when it’s gone, it’s gone. Securing your business or personal domain name should be one of the first things you do online for Branding, Marketing & Sales.
If you require help securing a domain name for your business or to check out our stable of branded domains, call us today 1.866.259.2483 or drop us a line, we would be happy to help.