Long before the Internet even existed, John Stuart, CEO of Quaker Oats, understood the power of a great brand with his famous quote:
“If this business were to be split up, I would be glad to take the brands, trademarks and goodwill and you could have all the bricks and mortar – and I would fare better than you.”
In today’s world, meaningful, generic, descriptive domain names are of equal if not more value than the brand names themselves.
Test it yourself – if ice cream comes to mind, will your first thought be “Dreyers”? Or might you instinctively go straight to icecream.com?
The video above is perhaps one of the most compelling explanations of why generic, descriptive domain names are so rare and thus valuable, produced by Frank Shilling and Jeffrey Gabriel. Transcript:
“… domain names have gone up faster than any other commodity known to man. … a domain name is the first step that people take when they are starting a business or have an invention or an idea. At this day and age, that’s where it begins. “
“The Internet is growing profoundly. The population on this planet is swelling. All these people are going to want to have an identity online. There is only so much real estate… on the web, and there are only so many unique, meaningful identifiers for people to describe themselves. There are a finite number of search terms and there are a finite number of dictionary words. And there are certainly a finite number of compound phrases in the English language and in other languages. For the most part, meaningful, generic, descriptive domain names have held their value and gone up in value significantly, and consistently, in the last ten years. Corporations and individuals throughout the world are starting to realize its value and the power that it can deliver. .. ”
“The domain name itself is often the most valuable asset that a company has. It’s one of the most misunderstood assets. There’s nothing… you can buy in the hundreds or thousands of dollars, or even in the tens of thousands of dollars, that can be worth millions of dollars. Now that the world has become more digitized, buyers of these domain names are becoming a lot more savvy and understanding of the value of a domain name. Valuable, generic domain names are so rare, there just aren’t enough good ones to go around for the billions of people who want to make an impression online, who want to better their lives. Everybody has those dreams, and the domain name is the most foundational asset of those dreams as it relates to things online.”