Why are generic terms so valuable? Whether it is in search or domain names, a generic word carries immense opportunity since it often defines categories of information, products and experiences. Consumers using generic terms to seek content often haven’t decided which brand to choose, which presents a huge upside.
Though some are expensive, generic .com domains can produce a substantial return on investment. They can justify high price tags in the form of customer acquisition, new sales and the ability to reach customers in segments where you are not allowed to go direct.
Read MoreAlso, generic .coms can psychologically signal marketplace dominance, transmitting a ubiquitous message that the company is a power player in that category. When a company owns a generic domain like flowers.com, the message they send is, “We not only play in this category—we own this category.”..