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Driving Traffic Through Smart Domain strategy WebmasterWorld’s PubCon November 11-14, 2008
Why domains matter Domains have been continually growing to more than 168 million worldwide At the same time, aftermarket sales values have been increasing by approximately 20% year-over-year Upward trend continues showing that even in down or flat markets, domains are increasing in numbers and value Why?
Why domains matter Domains are assets that are both collectible and revenue producing  Each domain is unique – no two are exactly alike Hold an inherent ability to attract traffic Direct navigation traffic  accounts for 10-15% of  revenue for Google and Yahoo
Why domains matter Domains are equal parts pathway and destination … they are both the avenue and the storefront of the internet Creates the  first impression  online; Primary way an online consumer interacts with your brand or brand extension Also the primary way, they  locate your online store
Why domains matter What are the shingles you hang online doing to attract business and convince  people to enter the store?
How domains can help attract traffic  Help define and reposition brand promise Improve search optimization and search marketing Counter balance search using direct navigation Offer an easy way to initiate social media marketing and other engagement techniques
Impact on brand What are the key brand attributes or keywords associated with your brand (a.k.a., “category killers”)? Do you own those domains or can competitors move in on your territory and start aligning key attributes with their brand? Are you making sure people who are looking for you can find you? Lock in traffic and protect your brand associations by registering typos, nicknames, country code TLDs for all regions you operate in and other derivatives.
Impact on brand Case studies: ToddlerToys.com =  CreamCheese.com =  Underwear.com =  Microsft.com (missing 2 nd  “o”) =
Improving SEO and SEM Tie goes to the keyword domain All things being equal, the domain you use could be the tie breaker to get your site ranked higher Case Study: Tropical Birds TropicalBirds.com is a new site less than X months old Outranks  the Honolulu Zoo, several aviaries and hundreds of bird/pet stores Forces others to spend ad dollars for paid listings
Improving SEO and SEM
Improving SEO and SEM Significantly improved inbound link juice Most people still use your web address to provide links Which of these links would provide better signal to search engines for the term “spices”? “ Visit  Penzeys.com  for the best prices” “ Visit  TheSpiceHouse.com  for the best prices”
Improving SEO and SEM Consider going “retro” Domains available on the aftermarket offer additional benefits Age (unexpired domains) Page Rank Link strength Properly redirected , domains with these attributes can transfer or lend strength to your newer or lower ranked domain
Improving SEO and SEM Consider going “retro” Be sure to do your research Previous black-hat techniques or bad inbound links associated with the domain could do more harm than good If research checks out, be careful about updating too much – could get you sandboxed (however, this is widely debated)
Improving SEO and SEM Increase response on search marketing ads Marketing experts we work with recommend testing the domain you use, as well as the rest of the ad Depending on your product or target audience, display domain does have an impact on response For example, if you’re a cosmetic doctor advertising your service, which domain is more likely to pull better results?  BeckerMD.com LookYounger.com
Improving SEO and SEM No way to really know unless you test first Best for rebranding strategy or new brands Google compliance: Will need unique content, if selected domain is not the main website
Counter balance with direct navigation   More than 70% of internet users type in a domain name to get to their destination At more than 4%, direct navigation converts at twice the rate of regular search traffic Advertisers, such as Garden State Life Insurance, are increasing ad placements on parked sites, and getting better conversions at cheaper rates Makes sense to own key terms
Counter balance with direct navigation   Visitor is engaged and clearly has an expressed interest in subject Makes sense to own key terms  Provides constantly renewing source of interested parties who have self-selected your topic After initial investment, only cost is renewal fee
Counter balance with direct navigation Three ways to use direct navigation  Simple redirects to main site: Books.com = BarnsAndNobel.com Gift.com = JCPenny.com TennisShoes.com = KSwiss.com Verticle portals Baby.com = Johnson & Johnson Asthma.com = GlaxoSmithKlein NoFleas.com = Bayer
Counter balance with direct navigation Three ways to use direct navigation  Re-brand entire company/site OberonGames.com = iPlay.com  WBZL.com = SouthFlorida.com
Get your visitor engaged Category Killer domains are well positioned to be used as social networking sites Case Study: Skateboards.com Active site User generated content is free and fresh Videos, photos, stories forums and chat rooms Site is profitable without any external advertising … all current traffic is direct navigation
Get your visitor engaged Portal site positions your brand as the subject matter expert Case study: Baby.com Informational site requires investment and maintenance Pay off can be significant Word of mouth increases brand strength
Get your visitor engaged Landing pages can create unique connections  Case study: McDonald’s MorningImpaired.com Short-term content, less robust and less maintenance than full portal Usually funny or lighthearted Obvious lead generators … sign up for mailing list, download wall paper, play games
What’s the value of a domain? Potential ROI Case Study: Stocks.com Savings in CPC Monthly visitors:   10,000 Cost per click on key term:   $4.63* Monthly savings in CPC:   $46,300 Annual savings in CPC: $555,600 *Per SpyFu.com Nov. 3, 2008
What’s the value of a domain? Potential ROI Case Study: Stocks.com New Revenue Monthly visitors:   10,000 Typical conversion rate on website:  2%* Estimated new customers monthly: 200 Estimated new customers annually:    2400 Average profit per new customer: $100-$250* Estimated profit from new domain:  $240,000-$600,000 *Variable data – assumptions made to show potential. Actual values will vary depending on specific profit margin and conversion rate.
What’s the value of a domain? Potential ROI Case Study: Stocks.com Overview Estimated annual value (revenue or CPC):   $500,000 Years to reach ROI:   5 Value of 5 year investment: $2.5 million  Current asking price: $???  How much will the financial services industry segment spend in advertising this year? $1.1 billion in display only Q1 & Q2 2008.
Ways to acquire domains Registration – most single-word and two-word premium domains are gone Aftermarket is new primary market Live Domain Auctions Two main online sales platforms Auctions Listing services Expired and Deleting domain services Private brokerage and stealth acquisitions
Questions?

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effective_domaining_strategies-victor_pitts.ppt

  • 1. Driving Traffic Through Smart Domain strategy WebmasterWorld’s PubCon November 11-14, 2008
  • 2. Why domains matter Domains have been continually growing to more than 168 million worldwide At the same time, aftermarket sales values have been increasing by approximately 20% year-over-year Upward trend continues showing that even in down or flat markets, domains are increasing in numbers and value Why?
  • 3. Why domains matter Domains are assets that are both collectible and revenue producing Each domain is unique – no two are exactly alike Hold an inherent ability to attract traffic Direct navigation traffic accounts for 10-15% of revenue for Google and Yahoo
  • 4. Why domains matter Domains are equal parts pathway and destination … they are both the avenue and the storefront of the internet Creates the first impression online; Primary way an online consumer interacts with your brand or brand extension Also the primary way, they locate your online store
  • 5. Why domains matter What are the shingles you hang online doing to attract business and convince people to enter the store?
  • 6. How domains can help attract traffic Help define and reposition brand promise Improve search optimization and search marketing Counter balance search using direct navigation Offer an easy way to initiate social media marketing and other engagement techniques
  • 7. Impact on brand What are the key brand attributes or keywords associated with your brand (a.k.a., “category killers”)? Do you own those domains or can competitors move in on your territory and start aligning key attributes with their brand? Are you making sure people who are looking for you can find you? Lock in traffic and protect your brand associations by registering typos, nicknames, country code TLDs for all regions you operate in and other derivatives.
  • 8. Impact on brand Case studies: ToddlerToys.com = CreamCheese.com = Underwear.com = Microsft.com (missing 2 nd “o”) =
  • 9. Improving SEO and SEM Tie goes to the keyword domain All things being equal, the domain you use could be the tie breaker to get your site ranked higher Case Study: Tropical Birds TropicalBirds.com is a new site less than X months old Outranks the Honolulu Zoo, several aviaries and hundreds of bird/pet stores Forces others to spend ad dollars for paid listings
  • 11. Improving SEO and SEM Significantly improved inbound link juice Most people still use your web address to provide links Which of these links would provide better signal to search engines for the term “spices”? “ Visit Penzeys.com for the best prices” “ Visit TheSpiceHouse.com for the best prices”
  • 12. Improving SEO and SEM Consider going “retro” Domains available on the aftermarket offer additional benefits Age (unexpired domains) Page Rank Link strength Properly redirected , domains with these attributes can transfer or lend strength to your newer or lower ranked domain
  • 13. Improving SEO and SEM Consider going “retro” Be sure to do your research Previous black-hat techniques or bad inbound links associated with the domain could do more harm than good If research checks out, be careful about updating too much – could get you sandboxed (however, this is widely debated)
  • 14. Improving SEO and SEM Increase response on search marketing ads Marketing experts we work with recommend testing the domain you use, as well as the rest of the ad Depending on your product or target audience, display domain does have an impact on response For example, if you’re a cosmetic doctor advertising your service, which domain is more likely to pull better results? BeckerMD.com LookYounger.com
  • 15. Improving SEO and SEM No way to really know unless you test first Best for rebranding strategy or new brands Google compliance: Will need unique content, if selected domain is not the main website
  • 16. Counter balance with direct navigation More than 70% of internet users type in a domain name to get to their destination At more than 4%, direct navigation converts at twice the rate of regular search traffic Advertisers, such as Garden State Life Insurance, are increasing ad placements on parked sites, and getting better conversions at cheaper rates Makes sense to own key terms
  • 17. Counter balance with direct navigation Visitor is engaged and clearly has an expressed interest in subject Makes sense to own key terms Provides constantly renewing source of interested parties who have self-selected your topic After initial investment, only cost is renewal fee
  • 18. Counter balance with direct navigation Three ways to use direct navigation Simple redirects to main site: Books.com = BarnsAndNobel.com Gift.com = JCPenny.com TennisShoes.com = KSwiss.com Verticle portals Baby.com = Johnson & Johnson Asthma.com = GlaxoSmithKlein NoFleas.com = Bayer
  • 19. Counter balance with direct navigation Three ways to use direct navigation Re-brand entire company/site OberonGames.com = iPlay.com WBZL.com = SouthFlorida.com
  • 20. Get your visitor engaged Category Killer domains are well positioned to be used as social networking sites Case Study: Skateboards.com Active site User generated content is free and fresh Videos, photos, stories forums and chat rooms Site is profitable without any external advertising … all current traffic is direct navigation
  • 21. Get your visitor engaged Portal site positions your brand as the subject matter expert Case study: Baby.com Informational site requires investment and maintenance Pay off can be significant Word of mouth increases brand strength
  • 22. Get your visitor engaged Landing pages can create unique connections Case study: McDonald’s MorningImpaired.com Short-term content, less robust and less maintenance than full portal Usually funny or lighthearted Obvious lead generators … sign up for mailing list, download wall paper, play games
  • 23. What’s the value of a domain? Potential ROI Case Study: Stocks.com Savings in CPC Monthly visitors: 10,000 Cost per click on key term: $4.63* Monthly savings in CPC: $46,300 Annual savings in CPC: $555,600 *Per SpyFu.com Nov. 3, 2008
  • 24. What’s the value of a domain? Potential ROI Case Study: Stocks.com New Revenue Monthly visitors: 10,000 Typical conversion rate on website: 2%* Estimated new customers monthly: 200 Estimated new customers annually: 2400 Average profit per new customer: $100-$250* Estimated profit from new domain: $240,000-$600,000 *Variable data – assumptions made to show potential. Actual values will vary depending on specific profit margin and conversion rate.
  • 25. What’s the value of a domain? Potential ROI Case Study: Stocks.com Overview Estimated annual value (revenue or CPC): $500,000 Years to reach ROI: 5 Value of 5 year investment: $2.5 million Current asking price: $??? How much will the financial services industry segment spend in advertising this year? $1.1 billion in display only Q1 & Q2 2008.
  • 26. Ways to acquire domains Registration – most single-word and two-word premium domains are gone Aftermarket is new primary market Live Domain Auctions Two main online sales platforms Auctions Listing services Expired and Deleting domain services Private brokerage and stealth acquisitions

Editor's Notes

  • #3: - We all know that first impressions are important - How will consumers REMEMBER you after discovering you? - Also how will they RETURN to your online storefront - Domain strategy is critical
  • #4: - We all know that first impressions are important - How will consumers REMEMBER you after discovering you? - Also how will they RETURN to your online storefront - Domain strategy is critical
  • #5: - We all know that first impressions are important - How will consumers REMEMBER you after discovering you? - Also how will they RETURN to your online storefront - Domain strategy is critical
  • #9: What do you think it cost Hanes to have Michael Jordan and Charlie Sheen as spokesmen? According to estimates (SpyFu, 10/29/08), an advertiser bidding on the search term “Underwear” could expect to pay between $1,500 and $4,400 per day. What do you think it would be worth to Hanes to own the domain Underwear.com? We’ll talk more about this later.