15th April 2009 Ads featuring generic domain names 'attract double click-through rates'
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The generic domain name sector has experienced some good news recently, including the sale of Webcam.com for $1.2 million and Toys 'r' Us' $5.1 million purchase of Toys.com.
However, the glad tidings do not end there - a new study undertaken by Memorable Domains has found that generic domain names in online advertisements could result in up to 105 per cent more clicks than an advertisement featuring a more specific example.
The research examined the AdWords performance of advertisements with identical headlines, content and copy, but with different display and landing page addresses.
One example given in the report is a comparison between ElectricBicycles.co.uk (an 'ideal' name) and YourBikes.co.uk (a 'reasonable' name) and InAHurry.co.uk (a 'coined' name) - sites all thrown up by using various search terms related to electric bicycles.
The former address, deemed to be an ideal match, received 15 per cent and 42 per cent more clicks than the latter two names respectively.
ElectricBikes.co.uk received 393 clicks through the search term 'electric bicycles' and 514 clicks when the search term 'electric bikes' was used.
Therefore, it could prove to be very lucrative for advertisers and businesses alike to feature a lead to a generic domain name, such as Ads.com or BathFan.com, in an advertisement, the study concludes.
However, the type of generic domain name is also important, the report added, as "an 'ideal' generic domain name was able to produce more clicks across all keywords than a 'reasonable' generic alternative".
The report concludes that "generic domain names perform particularly strongly where search and domain keywords match closely. This suggests businesses might do well to isolate keyword groups within their PPCSE (pay per click search engine) campaigns and use an appropriate generic domain name for each group".
Edwin Hayward, owner of Memorable Domains, puts the success of generic domain names in an ads context down to the compatibility of particular domain names, the searched-for product and the bolding-up of search terms in the domain.
He highlighted that the ad quality score could also be impacted positively by generic domain names.
Mr Hayward is of the opinion that businesses wishing to "improve CTR (click through rates) and clicks from their PPCSE campaigns" have now been provided with "a proven and simple technique for doing so - use a targeted generic domain name in your ads."
By matching generic domain names with specific groups of keywords, firms can capitalise upon the findings of this research and boost their traffic-to-product services, as well as that to campaign-specific mini sites, he added.
Bearing the findings of this report in mind, businesses may be tempted to use a generic domain name as a base for their online operations.
An ever-increasing amount of evidence is pointing towards generic domain names providing the most beneficial and wise choice for firms anywhere in the world.
This is further confirmed on a regular, ongoing basis by the high prices being paid by top-end businesses for one of these spots of prime internet real estate.

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