How does pay per click domaineering make money?

Answer 1

In internet vocabulary or computer jargon, "domaineering" is a relatively new Internet marketing term originated by Prof. William Lorenz of Canada that has gained rapid acceptance in ecommerce.

According to Professor Lorenz, domaineering is the niche web-based marketing business of acquiring and monetizing Internet domain names by purposely focusing on their use specifically as an advertising medium. 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 organic natural search engine Internet traffic hits. Revenue is earned as potential customers view pay per click ( PPC ) ads or the Internet traffic attracted may be redirected to another website. Hence, the domain name itself is the revenue generating asset conveying information beyond just functioning as a typical web address. As the value here is intrinsically in the domain name as an information carrying vehicle used to attract customers and not in a website's products or services, these domains are developed for advertising, ( i.e, "parked" ), and not into "conventional" websites. It is a mistake to characterize a parked domain as "not in use" when in fact many are among the most highly specialized and monetized domains being as they are used solely for the purpose of selling an advertising service and making money for their domaineer owners.

As with traditional advertising, domaineering is considered part art and part science. Often to be the most effective as an advertising tool, the domain names and their corresponding landing pages must be "engineered" or optimized to produce maximum revenue which may require considerable skill and keen knowledge of search engine optimization ( SEO ) practices, marketing psychology and an understanding of the target market audience, including Demographics and buying habits. Domaineering generally utilizes a firm offering domain parking services to provide the sponsored "ad feed" of a word or phrase searched for thus creating a mini-directory populated largely by advertisers paying to promote their products and services under a relevant generic keyword domain. Occasionally content is added to develop a functional mini-website.

A person in the domaineering business is known as a "domaineer". Ethical domaineers contend that their product, i.e., "domain advertising", is a bona fide offering of goods or services in and of itself which provides rights to and legitimate interests in the generic keyword domains they use. This serves as a rebuttal or defense in addressing occasional spurious accusations of cybersquatting on trademarks. Domaineers and others who advertise online using generic keyword domains 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. Those same opponents of domaineering suggest that a better use would be for one firm to develop a website for it's products using a relevant generic keyword domain pointed at or as it's URL oddly for the same commercial purposes they cite the domaineer using it as, i.e., advertising. Having, however, one firm control a relevant generic keyword domain in this way to exclusively market it's own products under could be viewed as a significant barrier to entry by denying potential or actual competitors the same advantage to penetrate a market or maintain / increase market share. Domaineers instead can offer their generic keyword domains to several or more firms to advertise under thus promoting healthy competition and making markets more perfect than they otherwise might be which benefits consumers.

Domaineering aka "domain advertising" is practiced by both large organizations which may own hundreds or even thousands of domains, ( example: toothpaste.com ), to individual entrepreneurially minded domaineers who may only register one or a few. The identification and defining of domaineering as a distinct Internet advertising practice is often attributed to Canadian Professor William Lorenz's pioneering work in e-commerce evolution.

"Domaineering" is sometimes mistakenly confused with the similar sounding word "domaining" when the two are distinctly different in meaning. Domaining, in computer terminology or Internet slang, is best defined as primarily speculating on Internet domain names as intellectual property investments for resale. Domaining may, but does not require, the use of domain parking services. In domaining, generating advertising revenue from domain parking, ( if done at all ), is considered something of a bonus while awaiting a sale of the domain. In essence, domaining is the speculation on domains for capital gains by those commonly referred to as "domainers".

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