Help Combat Domaineering
April 19, 2007 10:31 amThe latest craze among the money-mongers and their ilk is Domaineering. Domaineering is the business of buying up many domains with specific names (such as “cellphones.com” or “eatingdisorders.com”), relying on the fact that 15% (or more!) of browsers use “Direct Navigation” (typing a search term or web address in directly) in order to get to their destination.
Imagine two people, both wanting to find information about a Nokia cellphone
Person A goes to Google and types “cellphones” and gets a list of sites.
Person B just types “cellphones” into the URL bar, and the browser automatically tries appending “.net”, “.com”, etc. until it gets a successful hit.
These domains that the domaineers purchase are used as revenue generators by having paid advertisements on them. When you go to one of these sites and click on one of their links, they get paid a stipend EVERY TIME someone clicks, anywhere from a few pennies to a few dollars!
But why is this bad?
The bottom line here is that by supporting these individuals, you’re supporting their business practice. But what’s so bad about it? They’re just entrepreneurs, right?
Sort of. There can only ever be one “cellphones.com” or “eatingdisorders.com”, which means that in order for anyone else to acquire that domain, they have to pay the current owner (if it’s already registered) a very large sum of money to get the owner to part with it. But the current owner isn’t contributing anything worthwhile to the internet at large by having these sites!
Imagine that you lived in a town where there were a bunch of businesses of all kinds: Mom and pop stores, corporate stores, chain stores, franchises, etc. Normally, when we want to locate a particular business to meet a particular need, we look in the yellow pages (google), ask friends we may have (email), or just go browsing around.
But in this fictitious town, there are people all over the streets, wearing large signs that hawk certain product lines or items. If you approach them and ask about their Nike sneakers, they’ll point you over to one of several shoe stores nearby. When you walk into the store, the store immediately pays the person on the street for the reference.
Sounds helpful, right?
Now imagine that the streets are becoming more and more crowded with people pointing other people around, because everyone wants to get a piece of this action. And the sidewalk tiles (domain names) that people are standing on is coveted — if you want to stand there, even if it’s just to stand in the shade or to stand around and talk to your friends, you have to pay them a lot of money to leave.
Are you starting to see why this is a problem?
What’s worse is that more and more people are jumping on this bandwagon, which means that more and more people are putting up useless sites with ONLY ADVERTISING LINKS!!! The CEO of MySpace has started talking about integrating more “Web 2.0″ content (social networking, aggregate news services, etc.) into these domaineering projects, which means that the wolf is just donning a different outfit. Those sites will appear useful at first, but then you’ll realize that all the sites are all sharing the same news items, the same social networking tools, etc.
I may sound like I’m being apocalyptic, but it’s already happening! Some individuals make millions of dollars a year, own HUNDREDS OF THOUSANDS of domain names, and contribute useful content to NONE of them. (unless you count advertisements as useful)
So what can I do?
» Use search engines. Don’t type stuff directly into the URL bar unless you are typing a URL. (i.e. type “nokia.com” not “cellphones” into your URL bar)
» If you get to one of those “ad-only” pages, don’t click on the ads. I rarely click on ads at all because they always like to popup new windows.
» Don’t participate. As much as the lure of money may attract you, the ethics of this industry are very questionable. (These people are in the same boat as Spammers and Telemarketers in my book)
» Don’t buy domains from Domainers. If you’re registering a domain, do it through a proper registrar, don’t do a domain transfer.
If you’re feeling more devious, here are some other things you could consider doing to disrupt the model a bit more (This is more for the geeky-types):
Write a script that sends a deluge of clicks through a particular ad click. “But Wait!”, you may ask “Didn’t you just say to not click on these links, because it was supporting them?”. Yes indeed I did. However many advertising Pay-per-click services get really mad when people try to drum up extra cash by falsely generating clicks. So why not help them along their way to frauding? Send 10,000 or so clicks to each ad on a given page, and do that for many different pages. As far as I know, there isn’t a law saying you aren’t allowed to click a whole bunch of times. Since you don’t directly work for the person getting paid, you aren’t really acting in conflict of interest, but I really doubt the ad people will feel comfortable paying out all that much.
Bottom line: Stop Domaineering and Cyber-Squatting

5 Responses to “Help Combat Domaineering”
Interesting post. I was peripherally aware of some of this and, like everyone else, have ocasionally landed on useless pages that had nothing to do with my intended business. It is, of course, annoying and always made me a little vaguely uneasy, but until today, thanks to your illustration, I hadn’t really considered the full picture.
It is a kind of wanton profiteering that leeches the internet in an unpleasant and unproductive way. What makes it philosophically interesting from a human nature standpoint is that, like telemarketing and spamming, it is not, strictly speaking, illegal or even anti-capitalistic. It is insidious, and it is unethical in the sense that it erodes the inner workings of the free market machine.
Individuals and companies must choose not to do these kinds of things based on their understanding of values and ethics and, ultimately, morality.
Ultimately the internet is nothing more than a network of websites and while I do not click on ugly pages filled with ads, some of the URL’s you just mentioned are indistinguishable from large brand content sites.
Where exactly do you see “the line” that defines content and are you railing against one company owning too many such sites? If so where exactly is the ethical limit?
I have watched these registrants sites mature and truthfully some of them are becoming quite gentrified fully functioning ecommerce content sites. In a decade I doubt we will be able to tell the difference between a “direct navigation” ad site and a blog site or content site such as this one.
In fact if you were to place google adsense links on the side of your blog (as many bloggers do) this very blog would be no different than the individuals you rail against (with the exception of the fact that those individuals manage more sites).
I don’t fully understand your grievance and think this post is overly negative and unreasoned.
Dookie:
While I understand your point, and do agree that “the line” is a blurry one, consider the analogy to SPAM email: Initially SPAM email was just when people would mass-email a bunch of people they didn’t know advertising their site/product. But the person sending the email was a legitimate address and you could reply to them. Now look at the nuisance it has evolved into.
I see a stark difference between including google adsense links on a blog and creating a Domainer-type site. Essentially, including adsense is adding potential means for revenue for something you would otherwise do for free. The Domainer sites primary purpose is getting you to click those links, and including content is a second thought.
The nature of my grievance is simply a complaint against the avarice and greed of domain-squatters and their pokemon-esque domain collecting. The internet should be a free place, with free information. While I think it’s naive to think there WON’T be profiteering and the capitalist spirit (i.e. “there will always be advertisements”), I find these individuals to be wasting a scarce resource for the sole purpose of personal gain. It’s selfish and doesn’t benefit anyone but themselves — the Internet as a whole isn’t a better place as a result of their profiteering schemes. (This is in contrast to typical capitalistic-based business ideas, where your business model should benefit yourself and society at large).
This kind of attitude that the domainers have is the same type of attitude that late-night get-rich-quick scheme people have, that SPAMmers have, and that companies that sell shoddy goods have. No consideration for the possible fallout of their actions, just accumulate as much money as possible for the bubble bursts.
Does that make any more sense?
p.s. why fictitious credentials? I promise I won’t hunt you down for disagreeing with me
There appears to be a fundamental misconception that using domains as an advertising venue is somehow less than a noble purpose. Advertising is the content conveyed and can be informative and helpful when it conveys information about a product’s or service’s features, availability and price for the consumer to use for comparison purposes. It is also true that not all advertising does this well…but then the gripe is better directed towards the advertiser, not the domaineer. In other words, don’t shoot the messenger.
Here is a good definition of domaineering for your consideration: Domaineering is the business of acquiring and monetizing Internet domain names for their use primarily as an advertising medium rather than as intellectual property investments for resale as in domaining. 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. 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 “feed” of a word or phrase searched for. Occasionally content is added to develop a functional mini-website. Domaineers and some of those who advertise online using keywords 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. 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.
Some say that parked domains are “unused” and that is an accurate statement for some but not all. However, the generic domains utilized in professional domaineering are clearly being used…for conveying information, ( which is what all advertising basically is and what the Internet intrinsically does ), and as valuable potential earning assets, they are being used to the fullest extent their owners are aware of and are able to do. There may be disagreements that there may be better uses, however, that can be said about almost any asset…from real estate to money…and not just about domains.
I understand what you are saying, but it doesn’t address my main complaint: that the domains owned and operated by domaineers could be put to MUCH better use than simply farming ad-revenue.
Domains are a scarce resource, and domaineers are utilizing this scarce resource in a VERY selfish manner. To say that they are offering a public service, or that humanity at large benefits from the presence of their products is hogwash.
Consider this:
If I am interested in buying shoes, I will go to a search engine (i.e. google) and type in “shoes”. Let’s imagine two scenarios:
Scenario #1: Domaineers don’t exist
The results that come up are links that point directly to sellers / people with information about specific shoe products that is more or less ORIGINAL or VERIFIABLE. There is a single degree of distance between the search results and the desired destination(s).
Scenario #2: Current Reality
The results are cluttered with a bunch of sites that are simply aggregate collections of links to other sites selling shoes. Any “informational content” is simply recycled from Wikipedia or some other informational site. This creates an entire degree of separation from the users initial request to their destinations. The domaineered site itself is not a destination: You can’t purchase shoes from them directly and the information often leaves much to be desired — it exists solely to continue existing, like an Internet parasite. Worse yet — the practices of SEO on these referral sites makes these sites appear higher in search results than the sites to which they refer. (i.e. If you were in a crowded room and were looking for John Smith, would you rather actually SEE people named John Smith, or people who KNOW people named John Smith?)
I advocate the removal of the middleman. Domaineering is entirely self-serving, and domaineers are simply deluding themselves into thinking they are benefitting society in order to quell their cognitive dissonance.
Care to comment?