The decision to acquire a new top level domain will depend in a large part on the brand and marketing strategy, market position, customers and possibly even partners and channels. Conducting a business review and developing a thorough analysis will enable companies to make the most informed decision possible.

There are four basic approaches to new gTLD decision making:

1. Take no action - no business reason, or brand is highly unique
2. Wait and see to gauge adoption and contest confusingly similar applications
3. Apply to keep the name from being registered by another entity
4. Apply for a branded gTLD for marketing potential

The approach will be fairly straightforward for a number of companies, but many are either just starting or in the process of understanding which approach is right for them. Melbourne IT DBS has over 12 years of experience working with companies on a global scale to develop domain strategies, manage and protect domain names and help promote their brand across the Internet. We have compiled a short list of considerations to help companies identify the correct path forward for their organization and make an informed decision regarding gTLD strategy.

gTLD Decision Process

Addressing six primary questions will help identify an approach and ultimate decision for new gTLDs.

1. Is your primary brand unique and highly recognized?
   • For brands in this category defensive registration may not be necessary. Unique brands may be defended by filing an objection to an application.
   • Validating the uniqueness of the brand name may be valuable as similar brand names can be trademarked in different classes or in different countries.
   • A branded gTLD (a .brand) will provide an unlimited number of 2nd level keyword domain names (e.g. us.brand, partner.brand) that are beneficial for online and offline marketing.
   
   Unique brand names provide a built-in defense based upon the proposed ICANN requirements. While it may not be necessary to apply for defensive purposes, it is prudent to research the uniqueness of the brand name in key markets. Further, there may be advantages to be gained from a marketing perspective for a number of companies, but definitely not all.
   
   
2. Are there other entities with identical trademarked brands/names in a different class or jurisdiction?
   The following can help identify the importance based on brand equity:
   • Do you have a well established .com identity? If so, this is all that may be necessary.
   • How important is it to own your brand at the top level today? What about in five years?
   • The full potential of branded gTLDs isn't fully apparent today, but that could change quickly.
   • What would it mean to your brand image or business if another entity owned the gTLD?
   
   Companies with an established and recognized .com brand may not need a branded gTLD. There may be no benefit in market position or branding. This will apply for companies serving limited vertical markets and for those where e-commerce isn't a significant channel. The more common or generic the brand name, the greater the likelihood there will be multiple-applications for a name. It will be especially appealing for companies that were unable to register their brand in .com or their primary ccTLD.
   
   
3. How many brands do you have? How many verticals or categories do you operate in?
   • Companies with multiple brands and that operate in multiple markets can benefit from domain names where the brands are associated with the company brand.
   
   Brand equity can be enhanced by having product names or brands associated with the primary company brand. Branded gTLDs provide the ability do this easily. In some cases it may be beneficial to register a generic domain name for a category or categories. This is a tactic that will appeal to retailers and market leaders to establish or capitalize on the advantage of their market position.
   
   
4. Do you make extensive use of SEO, Pay Per Click and banner ads?
   • If so, keywords are important. Branded gTLDs provide exclusive access to keyword domain names under your brand.
   
   The ability to create short, memorable domain names enhances marketing efforts. Companies that invest heavily in marketing and advertising will be able to easily justify investing in a gTLD and be able to measure the ROI.
   
   
5. Do you have a significant partner or affiliate channel?
   • A .brand is a way to distinguish trusted or official partners and to be able to assure that your online guidelines are being followed.
     
   
   Trust is an important factor in conducting business across the Internet. Trust is used as a ranking factor in search engine results. As gTLDs proliferate this will become an even more important criteria and there is a significant potential for search engines to place even greater importance on brand gTLDs as the authenticity of those sites will be easily verified.
   
   
6. Is your brand name longer than six characters?
   • Long names are less advantageous as TLDs.
   Companies with long names may not benefit from a branded gTLD. However there may be generic names of interest - for example, category ownership or a stock ticker symbol could be a consideration.
   
   Determine the best approach and the right decision:
   
   
   1. Take No Action. Where this is the ideal option there is little that will need to be done. gTLD application monitoring should be a consideration in the event that an objection filing may be warranted.
   2. Wait and See. Companies selecting this approach will want to closely monitor applications for gTLDs from several perspectives - monitoring competitor activity and watching for applications of trademarks in order to file an objection.
   3. Apply for a gTLD as a defensive move. This can assure the company will own the gTLD. It will be necessary to demonstrate a business case in the application and develop the necessary infrastructure even though actual use many be limited.
   4. Apply for a gTLD for marketing potential. Companies that currently have significant marketing budgets will be able to utilize their own gTLD to their advantage. This can allow creating a new revenue stream or at least having access to short, succinct keyword domains as required.

Costs and complexities involved in applying for and managing a new gTLD are sizeable. Most companies should develop a business case and high-level implementation plan prior to application to assure all key requirements have been considered. The only further decision at this point is deciding when to apply. Applications will be done in rounds, with a number of months between rounds.