How does using domain names for Internet advertising work?

Answer 1

The way it is set up, the internet cannot ignore domain names which are like phone numbers to a phone book. Domain names are therefore destinations that Internet traffic will ultimately end up at when web searches are performed. Attracting that Internet search traffic by matching the search to a generic domain name is known as "Domaineering". Domaineering is a semi-composed word derived form the notion that domain names can be "engineered" or crafted to attract Internet traffic from search engines. "Domaineering", which is also known as "domain monetization", is a niche web-based marketing business involving the acquiring and monetizing of names specifically for their use as an advertising medium or platform. Domaineering differs from primarily speculating on domains as intellectual property investments for resale as in "domaining" where generating advertising revenue is considered more of a bonus while awaiting a sale of a domain.

Analogous to the index headings in the yellow pages of a phone book, the domain names function as virtual Internet billboards with generic domain names being highly valued for their revenue generating potential derived from attracting Internet traffic hits. Revenue is earned as potential customers view pay per click ( PPC ) ads or the Internet traffic attracted may be redirected to another website. Hence, the domain name itself is the revenue generating asset, not merely functioning as a web address. As the value is intrinsically in the generic keyword domain name and not in a website, these domains are not intended to be developed into a conventional websites because they are more valuable to their owners as an income producing advertising platform.

As with traditional advertising, domaineering is part art and part science. Often to be the most effective as advertising tools, the domain names and their corresponding landing pages must be engineered or optimized to produce maximum revenue which may require considerable skill and good knowledge of search engine optimization ( SEO ) practices, marketing psychology and an understanding of the target market audience. Domaineering generally utilizes a firm offering domain parking services to provide the sponsored ad "feed" of a word or phrase searched for thus creating a mini-directory populated largely by advertisers paying to promote their products and services under a relevant generic keyword domain. Occasionally content is added to develop a functional mini-website.

Ethical domaineers and others who advertise online using generic keywords as metatags believe domaineering provides a useful, legal and legitimate Internet marketing service which helps better organize the world wide web. Domaineering is practiced by both large companies who may have registered hundreds or even thousands of domains to individual entrepreneurial minded domaineers who may only own one or a few. The generally accepted definition and origin of domaineering as a distinct Internet marketing practice is attributed to a Canadian Professor named William Lorenz.

Answer 2

In the parlance of Internet vocabulary or computer jargon, "domaineering" is relatively new marketing term that has gained rapid acceptance taken from the observations of ecommerce by Professor William Lorenz of Canada.

According to Prof. Lorenz, domaineering is the niche web-based marketing business of acquiring and monetizing Internet domain names by purposely focusing on their use specifically as an advertising medium. In essence, the domain names function as virtual Internet billboards with generic domain names being highly valued for their revenue generating potential derived from attracting Internet traffic hits. Revenue is earned as potential customers view pay per click ( PPC ) ads or the Internet traffic attracted may be redirected to another website. Hence, the domain name itself is the revenue generating asset conveying information beyond just functioning as a typical web address. As the value here is intrinsically in the domain name as an information carrying vehicle and not in a website's products or services, these domains are developed for advertising, ( i.e, "parked" ), and not into "conventional" websites. It is a mistake to characterize a parked domain as "undeveloped" when in fact many are among the most highly specialized and monetized domains being as they are used solely for the purpose of providing an advertising service which generates income for their "domaineer" owners.

As with traditional advertising, domaineering is considered part art and part science. Often to be the most effective as an advertising tool, the domain names and their corresponding landing pages must be "engineered" or optimized to produce maximum revenue which may require considerable skill and keen knowledge of search engine optimization ( SEO ) practices, marketing psychology and an understanding of the target market audience, including Demographics and buying habits. Domaineering generally utilizes a firm offering domain parking services to provide the sponsored "ad feed" of a word or phrase searched for thus creating a mini-directory populated largely by advertisers paying to promote their products and services under a relevant generic keyword domain. Occasionally content is added to develop a functional mini-website.

Ethical domaineers contend that their product, i.e., "domain advertising", is a bona fide offering of goods or services in and of itself which provides rights to and legitimate interests in the generic keyword domains they use. This serves as a rebuttal or defense in addressing occasional spurious accusations of cybersquatting on trademarks. Domaineers and others who advertise online using generic keyword domains believe domaineering provides a useful, legal and legitimate Internet marketing service while opponents of domaineering decry the practice as increasing the ubiquitous commercialization of the world wide web. Those same opponents of domaineering suggest that a better use would be for one firm to develop a website for it's products using a relevant generic keyword domain pointed at or as it's URL oddly for the same commercial purposes they cite the domaineer using it as, i.e., advertising. Having, however, one firm control a relevant generic keyword domain in this way to exclusively market it's own products under could be viewed as a significant barrier to entry by denying potential or actual competitors the same advantage to penetrate a market or maintain / increase market share. Domaineers instead can offer their generic keyword domains to several or more firms to advertise under thus promoting healthy competition and making markets more perfect than they otherwise might be which benefits consumers.

Domaineering aka "domain advertising" is practiced by both large organizations which may have registered hundreds or even thousands of domains to individual entrepreneurial minded domaineers who may only own one or a few. The identification and defining of domaineering as a distinct Internet advertising practice is often attributed to Canadian Professor William Lorenz's pioneering work in ecommerce evolution.

"Domaineering" is sometimes mistakenly confused with the similar sounding word "domaining" when the two are distinctly different in meaning. Domaining, in computer terminology or the lexicon of Internet slang, is best defined as primarily speculating on Internet domain names as intellectual property investments for resale. Domaining may, but does not require, the use of domain parking services. In domaining, generating advertising revenue from domain parking, ( if done at all ), is considered something of a bonus while awaiting a sale of the domain. In short, domaining is the speculation on domains for capital gains by those commonly referred to as "domainers".