It’s a must read article for all domainers.
The article is written by David Teten who is “Partner with ff Venture Capital and Founder and Chairman of Harvard Business School Alumni Angels of Greater New York. I’m cofounder of the Venture Capital Access Program”
The “ff Venture Capital portfolio is evidence of how much we believe this, e.g., our companies Alerts.com, Gobbler.com, Identified.com, Patents.com, Phone.com, and Plated.com. The awesome story of how CEO Joe Fernandez bought the Klout.com domain is one of many reasons we were excited to lead the seed round in Klout. I was formerly Founder/CEO of a domain name investment bank, and still own about a hundred domain names personally.”
Here are a few highlights:
“If you’re a VC-backed startup, you should conceal your personal information when you initiate the negotiation process for a good domain name in order to detach the valuation of the name from your status. However, if you’re an unfunded college student, you should emphasize your current, presumably low-cash, status.”
“”I am comfortable endorsing spending six or seven figures on a good domain name, but only after you have proven a significant market exists for your product, you have achieved product-market fit, and you have either earned a lot of cash in the bank (the best!) or raised tens of millions in venture capital. It will dramatically lower your marketing costs in the long run. But remember, great dot-com names often sell for well below their market value; it usually isn’t necessary to pay a large sum, because there are few buyers who will pay the highest possible value for a given name. 23andme.com bought geneticscreening.com for $2,200.””
“”My recommendation is to start your company with a free or very low-cost domain name, with a strong preference for dot-com. ”
“Note one of the key ways VCs filter the deluge of companies raising funding is their domain name. ”
“I’m much less likely to even open your deck if your domain name looks pathetic.”
This is the first part of a two part story and as I said a Must read.
another great example is the Cloud.com story…
Of course, the domain name can be also leased with an option to buy. Usually makes more sense to many start-ups and VCs. The risk of failure will offset tiny premium paid for the lease yield.
This is so true- look at the tech crunch dotcom dead pool and all the companies SalesForce.com brings to life simply by repacking them in a $2 million name.
“It is no coincidence that companies with the best domain names often tend to rise to the top of their space. Foursquare won vs. Gowalla, Loopt, and others. Wesabe lost out to Mint.com; its founder later wrote that his awkward name was a key reason. A startup called Corpora made headlines for all the wrong reasons after tech bloggers ran an image search to find the company logo.
Domain names are less important than they were in the first Internet wave, because so many people will access your service on mobile and/or via apps, and because type-in traffic is declining. However, they remain key to your email identity, and fundamental to your marketing and even capital-raising.”
Dudh!!
all you need is one “good solid” domain name and it will change your life.
Market yourself via domains!!
Great article.
I have been fortunate to help many start ups acquire domains for their business.
Hiring a domain buyer broker is good advice.
“Domain names are less important than they were in the first Internet wave, because so many people will access your service on mobile and/or via apps, ”
But how do you get your app on their mobile device when there are 750 trillion apps – its called an generic/common use/intuitive .com that can be advertised on billboards, TV and other media sources vs. QR codes or facebook/WeAreNotSmartEnoughToGetOurOwnDomain
R. E. = ” “”My recommendation is to start your company with a free or very low-cost domain name, with a strong preference for dot-com. ”
Where did this clown get his Online Marketing Info. ?
Why would any so called, Online Marketing Expert ??, suggest you start an Online business with a poor foundation .COM to build your business on ?
Our Smart Money Online Marketing suggestion would be to start your Online business with the strongest (.COM ),Generic Business locator available by leveraging upfront through a Leasing program such as JointVentures.com.
Sorry but this guy in our opinion is not a Qualified Online Marketing Expert, no matter his pedigree, titles.
Gratefully, Jeff Schneider (Contact Group) (Metal Tiger)
Hello MHB,
Its obvious Mr. Teten needs to read “What They Don’t Teach You At Harvard Business School ”
Gratefully, Jeff Schneider (Contact Group) (Metal Tiger)
All VC”s, entrepreneurs and start ups need to understand how important naming is and an exact match domain name is.
“Domain names are less important than they were in the first Internet wave, because so many people will access your service on mobile and/or via apps, and because type-in traffic is declining.”
Did Owen Frager really say this or has someone stole his identity. Honestly, I guess I have to buy a new pair of glasses because that has to be a typo or something.
Private money hedge funds are coming into Online business Expansion in an ever increasing capacity.
When you look at V.C. start up success they are not doing well at all. F.B. is a V.C. example of how little they really understand Online Marketing strategies.
Gratefully, Jeff schneider (Contact group) (Metal Tiger)
No Todd I didn’t say that Forbes did. I was just quoting the paragraphs I commented on. The whole first paragraph and the last part of the second paragraph I have thumbs up to (“However, they remain key to your email identity, and fundamental to your marketing and even capital-raising.”)
Good point on how to stand out among 750 trillion apps. Domain names that can be expressed as a symbol (ie fish, apple) that transcend cultures, borders and languages- like the Exit signs and red lights and airline safety cards are where the REAL “smart-money” is.
Speaking of pathetic. That story is false. I purchased domain Phone.com, developed model, hired Ari, hired tech team, developed investors, tried to manage monkeys…………. All done for charity. They also mentioned two other companies I started and still own stock and their subdomain brands, without mentioning my existence. Most of those domains they mention are rejects from IREG failures. And fail to mention SEO.com entirely. Or Grassroots.org.
”
Our Smart Money Online Marketing suggestion would be to start your Online business with the strongest (.COM ),Generic Business locator available by leveraging upfront through a Leasing program such as JointVentures.com.
”
i see two problems here. 1. my guess is less than 5% of the domains on jointventures.com are worth the money being asked to run a business on. 2. Rick Schwartz modus operandi is tricking people.
R. E. = ” i see two problems here. 1. my guess is less than 5% of the domains on jointventures.com are worth the money being asked to run a business on. 2. Rick Schwartz modus operandi is tricking people. ”
How can a clown, such as yourself who really cannot figure out which identity to post from, have the expertise that Rick Schwartz does.
You are clueless, as to what ingredients make a truly great Online Profit Center. Everyone reading this drivle that leaks out of the side of your mouth, can only belly laugh at your sophomoric Marketing ignorance.
Better go sign in over at TechCrunch where the ignorance is on your same level.
Gratefully, Jeff Schneider (Contact Group) (Metal Tiger)
Hello MHB,
We are wondering why you have not posted Part II of mr. Tetans article above ?
He seems to have suddenly seen the light of the future of Online Marketing in this missing piece, from your coverage.
“Build Your Startup on a Vacant Domain Name” PART II ??
Mike Manns observations are dead balls on !
Gratefully, Jeff Schneider (Contact Group) (Metal Tiger)
@Jeff
”
How can a clown, such as yourself who really cannot figure out which identity to post from, have the expertise that Rick Schwartz does.
”
Rick Schwartz just announced to the world beep.me is worth 250k or 100k on a rainy day – and your citing the expertise of Rick Schwartz publicly?? – all Rick Schwartz can do is trick since the day he got porno.com from someone for less than 1 months earnings – a great deal people would say, BUT when you add this to the pre paid adult trffic programs he promoted off the back of schill posts, a big hitters protection club and amazing high octane type in traffic claims, along with the mob multi billing credit card scams, and it ilustrates a pattern of beahviour – tricking people. and it is nothing to be proud and hounoured to be a part of, quote Jeff Schneider “i’m proud and honoured to be a part of jointventures.com” – more like your desperate for someone to get tricked in to thinking your domain name is worth paying X for because of the thousands of things it will do for a business except it probably isnt suitable for a business really at any price becuse its probably too long tail or not quite the exact match needed for a e commerce business
Denise aka Graham Check it!
@ Graham,
Do you relize that all your wasted energy is being wasted in futility.
You obviously have a hard on for Rick Schwartz.
Therapy might help?
Gratefully , Jeff Schneider (Contact Group) (Metal Tiger)
well look at this, Owen and Jeff working together to defend Rick Schwartz like Batman and Robin he he – one says the ebid.com owner is Quote “a pillar of the community” and the other anounces to the world he is “proud and honoured” to be associated with jointventures.com – so it really is true, birds of a feather flock together
There are a few things to keep in mind before starting the domain registration process. You have to do a bit of research/brainstorming first in order to pick a good domain name that’s still available. Try and find out the best domain names for your business/niche. More than just a fancy name, a domain name is a powerful asset in the online real estate. You also need to be aware of other similar domains that can confuse your audience, whether it is sufficiently descriptive or memorable, how easy is it for people to share, and a number of other considerations. You should focus on your target audience by finding out what they are searching for in your niche. The Google Keyword Planner tool can help with this. It’s a free and powerful tool.
Once you have a few ideas, see if they’re still available and if you can register them. All registrars (like GoDaddy or NameCheap) have a domain name search bar. Enter your ideas and find any matching domains currently available for registration. If available, the registrar will then give you the opportunity to register it for a set period – usually anywhere from one year to five years. However, keep in mind that registration fees can vary greatly between registrars. It is important to compare domain name prices and know what you actually get for your money.
Basically, to recap, how to register a domain name simply means that:
* You need to have a domain name that’s not yet taken
* You need to familiarize yourself with the different options that you may or may not need (e.g., privacy protection, email service, etc.)
* You need to have a means to pay (i.e., credit card or PayPal)
I recommend spending some time going over the step-by-step guide here: blogerr.net/how-to-register-a-domain-name
You can also register a domain for free although this is not advisable especially if you’re thinking long-term. Free domain name registration (and hosting) is only suitable for those who are “experimenting” online or for hobby/fan-type websites.