Exclusive translation:This is how foreigners view 2-letter.com domain names!

knowledge 29 Aug 2023 03:01:13 AM By:DN platform editor
Abstract:

Overview: A domain name, in simple terms, is like the address of a website on the internet, comparable to Madison Avenue or Rodeo Drive in the physical world. Just as Facebook acquired FB.com for $8.5 million in 2010, which is now valued at

Overview: A domain name, in simple terms, is like the address of a website on the internet, comparable to Madison Avenue or Rodeo Drive in the physical world. Just as Facebook acquired FB.com for $8.5 million in 2010, which is now valued at over $1 billion, many major companies globally possess premium domain names. For instance, American Airlines owns AA.com, Google has AR.com, Burger King uses BK.com, and Disney owns GO.com. Having a premium domain name enables users to find websites quickly and accurately.

Exclusive translation:This is how foreigners view 2-letter.com domain names!

Background: A (requesting anonymity) is the founder of an overseas domain brokerage team with a transaction record exceeding $180 million. The team aids Fortune 500 companies, private equity firms, venture capital funds, small enterprises, and individuals in acquiring and selling top-tier domains. A has previously purchased premium domains for branding purposes and sold two high-quality domains in 2004 and 2010, with both buyers maintaining market leadership in their respective industries. Currently, A has been engaged as a consulting advisor for the sale of the two-letter domain TB.com.

Advantages of Premium 2-Letter Domain Names as Brand Addresses:

1. Demonstrates company strength and enhances brand image.

2. Attracts valuable internet traffic proactively.

3. Showcases a company's core competencies.

4. Facilitates easy recall for users and aids product promotion.

5. Increases organic or paid clicks from searches and social platforms.

6. Enhances user conversion rates.

7. Research indicates that customers prefer industry-relevant domain names.

8. Elevates search relevance and authority.

9. Attracts more precise user traffic.

10. Consolidates multiple site addresses into a single branded web address.

11. Domain name uniqueness prevents competitors from obtaining it.

Premium 2-Letter Domain Names:

1. Numerous successful case studies highlight established companies rebranding with 2-letter domains.

2. See the full list: 2-Letter.COM – Who Owns Them?

3. CEOs/founders of these companies believe the value of these brands has grown exponentially (9 figures).

Domains as Appreciating Assets:

1. Premium domains are the most valuable and scarce internet assets.

2. Domains constitute intangible assets for businesses.

3. High-quality .com domains appreciate the fastest.

4. Among most asset categories, premium domains offer high investment returns.

5. 2-letter .com domains provide maximum value to your business with low risk and high returns.

Considerations When Evaluating Premium Domains:

1. Choose a domain aligned with your brand.

2. Embrace the concept of "Domain first, project later" – preemptively reserve premium domains.

3. Have a strategic outlook. Identify potential staff members within your company to manage domain operations effectively.

4. Recognize that this is an asset on the balance sheet, not an expense on the income statement.

5. Advertising costs exceed the acquisition cost of a premium domain, but one is an expense (advertising) while the other is an appreciating asset (domain).

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Exclusive translation:This is how foreigners view 2-letter.com domain names!