In recent years, Chinese businesses have shocked the world with the playiness of spending millions of dollars buying domain names.
One of the hot names to be bought at high prices can be mentioned as: Le.com – $10 million, JD.com – $5 million or Vivo.com – $2.1 million. What is the reason for such strong actions?
Companies in the most populous country in the world have responded that the main reason for this decision was the behavior of Chinese consumers, who increasingly want to visit the product’s online site before making a purchase decision.
With the statistics of accessing 1.5 million websites on Baidu – the leading search engine in China, you can easily visualize:
The number of visitors to a website usually comes from five main sources: direct access, links from other websites, search engines, web directories and social networks. In the five years from 2012 to 2016, the percentage of direct access to the web increases significantly and is also the method most customers use.
This shows that the consumer himself once wanted to know about the product, they remember and directly type the domain name into the browser to access. Therefore, the big man did not hesitate to spend large sums of money to invest in buying a domain name that is easy to remember, closely associated with their product brand.
A domain name that is easy to remember in this market will include two criteria:
- Associated with the brand (of course)
- Use the popular extensions .COM and .CN
(According to statistical reports of Verisign, .COM and .CN are always the top two most registered domain name on the Internet)
Not only are they investing in domain names, Chinese businesses are also striving to promote the brand identity associated with the website address by giving it an appearance everywhere.
This trend has certainly been, is and will continue to grow not only in China but also in the world. Spending a large sum of money to invest in beautiful domain names, consistent with wise business strategies can bring unexpected results.
This is an interesting story that I found and really want to share with you in the end of 2017. Hope it will bring great confidence and motivation so next year you can hardly visit Coupontree to hunt coupon codes to build business web!