Company to launch new e-commerce store for area rugs.
A group of investors in Iowa have purchased the domain name AreaRugs.com for $405,000 and plan to create an e-commerce store to sell rugs online. It was an all cash transaction.
Lee Weber, head of marketing for AreaRugs.com, said he had to be patient to get the domain name. “It was a name I had on my radar for a long time,” he explained to Domain Name Wire. “I had reached out to [the owner] a long time ago and he didn’t want to sell it.”
The seller works at a flooring company in Dallas, Texas.
The key investors are already in the rug business, which lends credibility to the venture.
In a press release, the company explained its rationale for spending the money on a domain name:
Even in the desolate economy, Ward and his team are confident that the domain will thrive and will eventually become a big success. The team considers the endeavor less risky than most from the outside would and is very optimistic in regards to is expected return on its investment. “It is very rare to have the opportunity to buy a premium ‘.com’ domain name in a proven online consumer category,” said Lee Weber, Head of Marketing, AreaRugs.com. “In economic times like this you have to think outside the box for ways to get the most out of money and our investors feel that we should have no problem getting a decent, if not exceptional, return out of this investment.”
domains says
This is the best domaining blog bar none, love it.
have to say they paid an insane price imho, but good for the ‘industry’
area rugs expert says
Area rug is really impress me. I am looking more info
Peykar Rugs & Carpet says
That’s a pretty significant investment, but I think it’s paying off for area rugs.