A domain name is a unique address assigned to a website. It defines the site's administrative control, authority and autonomy within the internet. The name is developed using rules and procedures stipulated by the Domain Name System. As such, domain names act as Internet Protocol tools used to access the internet, website, server computer that is hosting the website and other service communicated using the internet. Domain names comprise combinations of numbers and letters and usually have extensions like .org, .net and .com, among others.
Owning a domain name offers the following benefits.
Protection of Identity
The domain name allows a company to register its name, which prevents competitors and other entities from using its identity. A business is also confident that its identity won't be traded off or other malicious acts done using its name.
Setting Up Unique Email Addresses
A domain name allows users to set up email addresses. While there are many email providers (Gmail and Yahoo), it can be difficult to find an address that has not been used. And, if you are creating an email for a business, you need a formal address that appeals to prospective clients. Having domain name allows you to create an impressive email.
Gives Your Business Credibility
A domain name also gives credibility to an online business. Few people are willing to do business with companies that don't have a domain name.
Domain names help establish an online presence for e-commerce businesses. As such, it is imperative to choose a name that matches the needs of the business. Here are things to consider:
• The length of the name
• The extension used; experts recommend using .com
• The name should be easy to remember; avoid slang language
• Avoid including numbers
There are two ways of acquiring a domain name; using a free domain name and a paid domain name. Free domain names are available via website builders like Wix, Wordpress and Weebly, among others. In this case, the website builder provides sub-domain, which is often an extension of the website builder's domain.
The other alternative is to buy the domain name from reputable registrars like NameCheap and GoDaddy. The company pays an annual fee to the registrar, so the domain name remains registered using the company name.
Alternatively, you can acquire a domain name that has already been registered by another owner. In this case, the domain name is transferred from the initial owner to the new owner. The purchase and sale of the domain names occur in a secondary market and is supervised by auction houses that provide communication channels for the buyers and sellers anonymously. The auction houses also facilitate the negotiation process and the sale.