Comments on: DomainSponsor Speaks Common Sense http://domainnamewire.com/2008/10/02/domainsponsor-speaks-common-sense/ News and Views for the Domain Name Industry Sun, 21 Mar 2010 14:09:45 +0000 http://wordpress.org/?v=2.9.2 hourly 1 By: Matt http://domainnamewire.com/2008/10/02/domainsponsor-speaks-common-sense/comment-page-1/#comment-449010 Matt Wed, 29 Jul 2009 04:09:26 +0000 http://domainnamewire.com/?p=2580#comment-449010 Typos generally convert very well. One of the best converting types of domain names, sometimes even better than pure generics. There is a VERY VERY small amount of generics that are very specific and convert great. These are usually developed or in the hands of very large portfolio owners. Anyway, what Google/Yahoo will do is cut out trademark typos when they get complaints or lawsuits. I doubt they'd even willingly cut out trademark typos without getting complaints - it is wasted money. If they were to block out all typos, this industry would collapse. 95%+ of the industry's revenue is made up of typos. Other than typos, you have good specific generics, non-targetted generics, expired traffic domains, long-tail domains. All of these on average have lower conversion rate than typos other than the specifically targetted generics, such as "BuyShoes.com". Matt Typos generally convert very well. One of the best converting types of domain names, sometimes even better than pure generics.

There is a VERY VERY small amount of generics that are very specific and convert great. These are usually developed or in the hands of very large portfolio owners.

Anyway, what Google/Yahoo will do is cut out trademark typos when they get complaints or lawsuits. I doubt they’d even willingly cut out trademark typos without getting complaints – it is wasted money.

If they were to block out all typos, this industry would collapse. 95%+ of the industry’s revenue is made up of typos.

Other than typos, you have good specific generics, non-targetted generics, expired traffic domains, long-tail domains. All of these on average have lower conversion rate than typos other than the specifically targetted generics, such as “BuyShoes.com”.

Matt

]]> By: bc http://domainnamewire.com/2008/10/02/domainsponsor-speaks-common-sense/comment-page-1/#comment-292302 bc Thu, 04 Dec 2008 17:08:15 +0000 http://domainnamewire.com/?p=2580#comment-292302 well, the good thing is that google understands the process very well, what converts what not, what is important for the advertisers, what not. Google must keep the advertisers happy first, for that makes the search possible well, the good thing is that google understands the process very well, what converts what not, what is important for the advertisers, what not. Google must keep the advertisers happy first, for that makes the search possible

]]> By: Stephen Douglas http://domainnamewire.com/2008/10/02/domainsponsor-speaks-common-sense/comment-page-1/#comment-255752 Stephen Douglas Fri, 03 Oct 2008 04:00:32 +0000 http://domainnamewire.com/?p=2580#comment-255752 Inexpensive domain development sounds like a solution to those tasty longtails if they get kicked to the curb by any PS. DISCLAIMER: I am biased. Inexpensive domain development sounds like a solution to those tasty longtails if they get kicked to the curb by any PS.

DISCLAIMER: I am biased.

]]> By: jp http://domainnamewire.com/2008/10/02/domainsponsor-speaks-common-sense/comment-page-1/#comment-255267 jp Thu, 02 Oct 2008 16:52:42 +0000 http://domainnamewire.com/?p=2580#comment-255267 I'm of the belief that Google, & yahoo are too smart to just throw away money. Its not that hard for them to tell what is, and what isn't converting on the domain level. They arleady have systems in place to do this. Why would they toss an entire category (such as typos) when some typos convert great? I think as a generalization you could say typos may be in jeopardy, but I wouldn't go so far as to say "All Typos". If it makes Google money, I don't think they will toss it. They will just continue to improve their tracking systems so that they can better pin-point the domains that make them money vs. the domains that don't. If there is a domain that is proven to make conversions for advertisers, fear not, if google doesn't want to play the part, someone else will. Unfortunatley the balls that google drops probably won't be picked up overnight. The point in time you need to worry about is the point at which the cost of further improving the pin-pointing system exceeds the expected value of the revenue to be generated. When there is no longer a cost benefit to an entire category such as typos, then there is a problem. A great example is in gold mining. They say that there is still a large percentage of gold still in the gold mines. The thing is the mines fill with water, and it costs more money to keep pumping out the water than the gold is worth. So therefore there is no longer a cost-benefit to mining for gold. Interestingly it seems with the rising value of gold that the table may turn on this issue yet but you see my point. I’m of the belief that Google, & yahoo are too smart to just throw away money. Its not that hard for them to tell what is, and what isn’t converting on the domain level. They arleady have systems in place to do this. Why would they toss an entire category (such as typos) when some typos convert great? I think as a generalization you could say typos may be in jeopardy, but I wouldn’t go so far as to say “All Typos”. If it makes Google money, I don’t think they will toss it. They will just continue to improve their tracking systems so that they can better pin-point the domains that make them money vs. the domains that don’t. If there is a domain that is proven to make conversions for advertisers, fear not, if google doesn’t want to play the part, someone else will. Unfortunatley the balls that google drops probably won’t be picked up overnight.

The point in time you need to worry about is the point at which the cost of further improving the pin-pointing system exceeds the expected value of the revenue to be generated. When there is no longer a cost benefit to an entire category such as typos, then there is a problem.

A great example is in gold mining. They say that there is still a large percentage of gold still in the gold mines. The thing is the mines fill with water, and it costs more money to keep pumping out the water than the gold is worth. So therefore there is no longer a cost-benefit to mining for gold. Interestingly it seems with the rising value of gold that the table may turn on this issue yet but you see my point.

]]> By: Johnny http://domainnamewire.com/2008/10/02/domainsponsor-speaks-common-sense/comment-page-1/#comment-255215 Johnny Thu, 02 Oct 2008 15:48:22 +0000 http://domainnamewire.com/?p=2580#comment-255215 We'll see...... but I think the writing is on the wall already. I think it is in Google's play book to cut domain rev. back as much as possible in the name of "quality" and then when all that has been stripped away they will then deliver the death knell. Right now the don't want to nix it all at once or there will be a big shift to competitors... they'd prefer if we would lose our businesses slowly and suffer and let many domains drop. We are competitors to them and they want to get rid of us... now that we have helped them become #1. We’ll see…… but I think the writing is on the wall already.

I think it is in Google’s play book to cut domain rev. back as much as possible in the name of “quality” and then when all that has been stripped away they will then deliver the death knell. Right now the don’t want to nix it all at once or there will be a big shift to competitors… they’d prefer if we would lose our businesses slowly and suffer and let many domains drop.

We are competitors to them and they want to get rid of us… now that we have helped them become #1.

]]> By: dncartoons.com http://domainnamewire.com/2008/10/02/domainsponsor-speaks-common-sense/comment-page-1/#comment-255064 dncartoons.com Thu, 02 Oct 2008 11:00:43 +0000 http://domainnamewire.com/?p=2580#comment-255064 it means traffic that does not convert...not anyone kind of traffic. Typos probably convert so google will not give up that revenue. it means traffic that does not convert…not anyone kind of traffic. Typos probably convert so google will not give up that revenue.

]]> By: Johnny http://domainnamewire.com/2008/10/02/domainsponsor-speaks-common-sense/comment-page-1/#comment-255061 Johnny Thu, 02 Oct 2008 10:59:05 +0000 http://domainnamewire.com/?p=2580#comment-255061 jp..... they are probably getting cut b/c there is a rumor from a Google insider going around for about three months or so that this would happen..... specifically the long tail, but I am expecting typos and expired traffic will go this direction too. Typos convert less b/c generally speaking folks that can't spell are either uneducated, which means they probably have less money to spend... hence lower conversions. Also, many of the typos have foreigners going to them which have lower conversion rates. Expired traffic.....well.... you know the story about that. jp….. they are probably getting cut b/c there is a rumor from a Google insider going around for about three months or so that this would happen….. specifically the long tail, but I am expecting typos and expired traffic will go this direction too.

Typos convert less b/c generally speaking folks that can’t spell are either uneducated, which means they probably have less money to spend… hence lower conversions. Also, many of the typos have foreigners going to them which have lower conversion rates.

Expired traffic…..well…. you know the story about that.

]]>