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What are premium domain names?

Premium domain names are either found on the aftermarket, where individuals sell domains that they’ve already registered, or they’re designated by registries. What makes a domain “premium?” They’re exceptionally short and catchy, and typically use the more popular extensions — like .com or one of the new gTLDs, like .guru or .app.

When you register a domain name, you’ll notice premium domain names command a price far higher than most people would expect to pay. They’re sought after by individuals or organizations that must have a certain domain name. Investors also register domains they expect will generate lots of interest, and then list them in the aftermarket at auction for a profit.

Why are some domain names premium?

When most people talk about premium domains names, it’s a blanket term with a few variations. In a broad sense, it refers to the high end of the domain market, but it’s also happens to be the name of a product (think Kleenex or Dumpster). Let’s take a second to break that down:

  • Premium Domains — At GoDaddy, Premium Domains are names that someone purchased, and then put up for auction on the aftermarket. You pay the seller’s price, and then the Premium Domain is yours to register at its normal yearly fee.
  • Premium Domain Names — When GoDaddy’s registry partners (they’re administrative organizations) identify a domain that’s likely to attract lots of buyers, they assign that Premium Domain Name a price that reflects the higher demand. Maybe it’s especially short or includes a hot keyword. Whatever the reason, people are lining up to