URL Hell
| posted by Kevin OhannessianIt seems GoDaddy.com has a new service, appraising the value of domain names. There are two price points, one with two-hour turnaround and one with a more comprehensive report that takes two business days. While this is a logical extension of GoDaddy's business, I wonder if it's a good thing for the Web.
While the frenzy for domain names has heated up again, I would hate to see domain names becoming even more of a commodity, with companies and speculators once again buying and selling names at absurd prices. That kind of land grab could have disappointing consequences for individuals and even small businesses. Users who want premium URLs for genuine purposes may be burned. And for what? When a corporation finally gets the URL it's likely to simply redirect surfers to its main site.
Of course, that's only if this appraisal service speeds the renewed rush to snatch up domains. Do you think such frantic buying will occur? Do you think the common user will be left out?
Comment
Recent Comments | 4 Total
October 22, 2005 at 11:34am
daveThere is a key interdependence between URL value and trademark ownership. Does GoDaddy evaluate whether the domain name CAN be legally utilized as part of their appraisal service? If so, that is a great benefit that has never before been available...at least to my knowledge.
If a budding entrepreneur can tie federal trademark and state corporate names databases together with domain registry availability databases in a search tool, that would be a very productive service for anyone who needs to name a product, service, or enterprise.
Dave
October 22, 2005 at 1:59pm
mahendra kumar dashLooking for Domain name and specially for a particular domain name has become the business of the day.But how long the craze will last and who will survive the test of time are the important issues.But it is good for marketing and the time of net has come and days to come net will dominate and the importance of domain name and registry will grow up and up.
October 22, 2005 at 6:39pm
Mark Alan EffingerWhat Bob Parsons and GoDaddy are doing is nothing new. There are a slew of domain appraisal services and sales channels on the web (I live in Vancouver, Washington, not far from www.dotster.com, one of the larger one's in the business).
First, a response to Dave: Yes, GoDaddy works both the domain name and the trademark issue. They are actually one of the first to make that a marketing position, and they're pretty good at it.
Secondly, the domain name grab never ended. I pick up a few domain names every other week:
1) As a response to an "inspiration"... maybe a business model springs to mind, or a new technology arrives on the scene, and I want to play in it. As an example, I've owned www.videopaper.com for 5 years, just WAITING for the market to be significant for embedded electronic inks to emerge.
2) A BRAND is an important value component of your business. So developing a brandable URL is a key component of that. We recently worked with a startup called Iconomy. They didn't have the URL for that name, so purchased www.theiconomist.com as a stop-gap. After 3 months of brainstorming, we finally arrived at the fact that the Domain owner would get their $5,500 for the URL because we saw the value, long-term, in owning a simple, short, memorable and easy to spell domain name. It was worth every penny.
3) There are a number of creative approaches to domain ownership: leasing, purchase over time, and working a deal with a competent web developer who might own the name, so you can utilize their talent to get your web presence up, and YOU can focus on your core business.
The domain valuation market is big, and will continue to be so as long as dot-com is oceanside real estate, and new business models arrive on the scene. It's a good thing.
Let me know your thoughts, as I'm constantly adderessing this issue internally as well. Maybe I'm off. Maybe there's more to this than I'm seeing, or I'm not catching the issue here.
Let me know.
Best of success,
Mark Alan Effinger
http://www.richcontent.com
http://www.exitpath.com
October 23, 2005 at 11:29pm
Leslie TrossetI purchase around a dozen domains a year when I see great re-sale potential in it or dream of developing another business myself down the road.
During the domain buying frenzy I would purchase the .com along with the .biz and .net. Now, I only buy the .com because it has the greatest value.
For example, I've owned www.agedtoperfection.com for many years and want to develop the site but haven't gotten around to it yet. That name is perfect for a vineyard, age-beef, cheese, or a senior citizen home!
You just can't beat the price of domain names, so I'll continue to buy.
Sincerely,
Leslie Trosset, CEO
BizTechLink
Comment