Coreile

Chinese Domain Market Newsletter

Today I just made two updates to the website. The "123" page now includes also Chinese dialing codes and zip codes, and the "abc" page has a list of abbreviations for Chinese cities and provinces. Please take a look. Here's the post.

May 11, 2016 (Wed)

Why Chinese Companies Want Best Domain Names


In the last few years a lot of premium .com domain names have gone to China. For example, 25 out of 100 NN .com and 145 out of 676 LL .com domain names are now owned by Chinese (see the Stats page on my site).

There is no sign to indicate this trend will stop anytime soon. News of expensive domain purchases such as JD.com, 360.com, and Le.com is regularly reported in China. I thought about it and tried to find reasons behind this behavior, and here are some suggestions.

First, Chinese love money, and spending money is a way of showing your status. Chinese buy expensive homes, luxurious cars, and fine arts. Even the most expensive iPhone was sold to a Chinese businessman for $15.3 million USD in 2013. So, acquiring premium domain names is simply an extension of the Chinese national character.

With the Chinese government pushing initiatives such as Mass Innovation and Entrepreneurship (大众创业万众创新) in 2014 and Internet Plus (互联网+) in 2015, Chinese companies are racing to the Internet to secure the best locations. Buying an expensive domain name gets you into the news and helps you stand above the crowd. JD.com, Le.com, and Nubia.com caused a lot of buzz when they were bought.

Many companies see domain name as the door to their corporate world. As the facade (门面), their domain name must be the best so that they could attract the best customers. A short and meaningful domain name on .com is considered the best facade. It also helps consumers to remember the address and come directly without relying on assistance by search engines.

A domain name is also looked upon as a brand name on the Internet. Chinese companies want consumers to see a domain name and be able to instantly associate with a product or service. JD.com means shopping, Le.com means videos, and Mi.com means mobile phones. Naturally, 2L .com domain names are very much sought after in China.

While the reasons may be many, one thing is clear: if this trend continues, in the future you may have to go to China to purchase the best .com domain names.