What characteristics of a domain name would you splurge for?
If you are in the market for a new domain name, there are many variables to take into consideration. Domain length, popularity, age and extensions are only a few of the items that play a part in domain valuation, but a buyer’s perceived value seems to vary.
GoDaddy and eNom will be hosting a one and two letter .org domain auction that is sure to bring in some serious domain investors as it opens to preapproved buyers.
Elliot’s Blog has conducted a poll asking what readers thought a single letter .org domain was worth. Interestingly the majority of voters to date (43.2%) considered their value to be under $50,000. However, there was also a significant number (41.41%) who believed a single letter domain could be between $50,001 and $250,000, a considerably large investment!
But why does the perceived value vary so significantly?
There are many variables that a domain value relies on. While domain length is extremely important, and a shorter domain normally indicates higher value, investors also consider the domain’s extension, potential branding ability, and its popularity.
Those who valued single letter .org domains in the higher price ranges probably had a more broad evaluation, taking into consideration the length of the domain as well as its rareness and ease of recall.
On the other hand, the voters who valued the domains under $50,000 may have focused more so on branding ability and the domain’s extension. While a short length is ideal, you’ll want to purchase a domain that relates to your business and will rank well in searches. A single letter domain may just be too short for some businesses to use successfully. In addition, the .org extension is among the most popular gTLDs, but .com is still king at this time.
Regardless of each individual’s perception of domain value, it will be interesting to see the results of the GoDaddy and eNom auction and how much investors are willing to spend to buy these unique one and two letter .org domain names.