For a company, a premium domain is a powerful marketing tool that generates money attracting visitors to your web, whether in sales or ad clicks. Equivalent to buying a commercial property in one main area, except that the domain represents only an initial investment because the maintenance costs are reduced to annual renewals. In addition, a domain appreciates faster than a building.
The most important companies in the world are aware of the value and utility of owning and operating the generic domain in its sector: Time magazine is popietaria of money.com, so that if you type in your browser this domain will be redirected to time.com / money /; dogs.com is owned by PetSmart; if you type chips.com you get to the website of Intel; if you type news.com you will be redirected to cnet.com/news/; and a long etc.
Authority, credibility and leadership.
But why are these big companies seem to have agreed to acquire for their products or services domains, often paying fortunes? The main reasons are:
Look at the terms: Authority, Credibility, Leadership … are the words that dream every night marketers of any business, large or small. What dollar value do these concepts ?, How much time and money it would obtain through traditional marketing techniques ?.
Okay, not obtained only with the purchase of a domain, there are many other factors “offline”. But if you own a keyword, who is the leader? who has more authority ?.