The explosive development of the Internet, accompanied by the accelerating growth in online commerce, will surely bring important changes in economic power, commercial life, communications and culture. There can be no doubt that – fueled by the burgeoning market of Internet users, the rapid development of online technologies and the swift evolution of new business models – the World Wide Web will irresistibly lure enterprises of virtually every size into doing business online. However, before any potential customer, business partner or supplier can find a company's web site and transact business, the company must first have an address in cyberspace. A company's domain name, commonly in the form "companyname.com," is that cyberspace address. Since a domain name is a ticket for entry into online commerce, securing a domain name and protecting the company's right to use it are critical steps in doing business online. But since a company's domain name can also serve as an important corporate locator and identifier – in short, since a domain name may also be a trade name or trademark – selecting a domain name involves perils, and protecting it involves new challenges and risks under trademark law.
Space Race
The race to acquire ownership of domain names synonymous with trademarks, products, causes, commodities, issues, resources and market segments acknowledges the business value that is placed on these electronic identifiers. Domain names have been termed "Cyber-Real Estate." If another company gets the obvious domain name first, it may draw away visitors as easily as a competitor setting up shop across the street.
The demand for domain names is soaring, and most of the desirable names are already taken. It becomes increasingly difficult for individuals, businesses and organizations to find appropriate online descriptors. For those who wait or do not yet recognize the immense potential value of an Internet presence, the name game will only become more difficult. The reasons for registering a domain name are to:
- increase name recognition
- make it easy for customers to remember your address
- indicate you are a serious Internet player
- protect your Internet advertising investment from failure of your Internet Service Provider
- allow your Internet address to follow you, even to your own in-house server if necessary
Domain name registrations are available for as little as $30 a year and may be registered for periods of one, two or up to ten years. The Federal Anticybersquatting and Consumer Protection Act and the administrative dispute resolution proceedings of all domestic domain name registrars make it possible to stop competitors and others who make unauthorized use of your domain name. However, it is far more costly (and disruptive of your business) to pursue an infringer and obtain a transfer of the domain name than to register the name or defensively block another's use of the name. Therefore, as a cost-effective, proactive business solution, clients should consider doing the following:
- Reserve additional domain names for future use as either an e-mail address or web address,
- Reserve particularly significant product names or brands,
- Reserve domain names for all significant federally registered trademarks or service marks,
- Reserve generic product names or classes of product names if they are still available (e.g., www.healthcaresupplies.com), and
- Prevent competitors from using a domain name to drive traffic to their web sites.
Domain Name Registration Process
Going through the procedures to obtain a domain name is very simple. One of the most popular domain name registrars is www.register.com. This registrar is very user-friendly and guides you throughout the entire seven-step process which is completed online. Once you get to the main homepage of www.register.com, you can check any names for availability. This service is free until you register a particular domain name. The steps of the registration process flow as follows:
- Check domain name availability
- Once found available, confirm intention to register,
- Log in to become a user of the registration service,
- Fill in contact information,
- Choose term of registration (1, 2, 5 or 10 year increments),
- Review information for accuracy, and
- Enter payment information and submit your request.
The registration process only takes a few minutes to complete. www..register.com will then keep the records of the contact information and submit the technical information to a central directory known as the "registry". There is a requirement to enter into a registration contract with www.register.com, which sets the terms under which the registration is accepted and will be maintained. This registration contract is sent back to you directly via email within a matter of two to three seconds.
Ideal Names
Most of the best names (one-word domain names) have been taken. But you can still identify your business clearly by either making a single word (i.e., yourbusiness.com) or a hyphenated word (i.e. your-business.com). Ideal domain names are:
- Short
The shorter the better. Short is better for two reasons: it is easy to spell without error, and it is memorable.
- Memorable And Pronounceable
Not all short domain names are memorable. If you are IBM, then using initials for your domain name makes sense; that is how your customers know you. But most of the time, using initials for your domain name is a most unmemorable and customer-unfriendly approach to business. If the domain name makes no sense in and of itself, then it is not memorable.
- Directly Related To Your Business Name Or Core Field The very best domain name is one you can guess. If your business name is unusual, look for something that relates to your business.
- Hard To Misspell
Many domain names are tough to spell if you have only heard them orally. You are better off with a short, memorable, logical, easy-to-spell domain name.
Internet Presence
To establish a presence on the Internet, you will need four things:
- A Domain Name,
- An Internet Service Provider (ISP) such as AT&T, AOL or Mindspring to provide a connection to the Internet,
- A web site that you can build yourself or have built for you, and
- A host for your web site - sometimes called an Internet Presence Provider (IPP).
Increasingly, a business needs to be on the Internet for many reasons - to facilitate electronic transactions, make e-mail part of its daily routine or to increase its exposure to the public. Even if you do not have plans to do so now, you must plan for the future of your company.
Long Term View
Begin with patience and the long-term view. Your business results from the world wide web may be immediate and spectacular. Then again, you may not make much of an impact right away. Be ready to soar, but realize that some products and services do not lend themselves to this medium. Give your business the benefits of the web now, while it is just beginning to explode with users who are taking advantage of the ease of Internet commerce. When your competitors toss their hats into the web arena you will have the benefit of already having established a strong and productive web presence. Keep in mind your competition is only a few steps behind.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
