Domain Selection Tips for Startups: Analysis of 1,587 Funded Startups

Why Domains Matter for Startups

For startups, a domain isn't just an address. It's the first touchpoint that conveys professionalism and trust to investors, customers, and partners.

Analysis of 1,587 funded startups that applied to Y Combinator revealed that 908 (57%) had domains exactly matching their brand name.

Domain Strategies of Successful Startups

Premium Domain Investment Cases

Pilot.com

Pilot's founder paid $400,000 for their domain. About this decision:

• Viewed it as "an enduring asset," not an expense
• Recognized the importance of a memorable name
• Credits it as contributing to becoming a billion-dollar company

Investing.com

The founder invested $2.45 million in the domain and called it "the best strategic decision." Thanks to this domain:

• Able to raise prices
• Easier partnership acquisition
• Immediate brand authority

Facebook

In 2010, Facebook acquired fb.com for $8.5 million. A case showing the value of short URLs.

Brand Domain Strategies

Dropbox secured a .com domain, gaining global credibility from day one. This was decisive in building trust with both individual users and enterprise clients.

Nike acquired JustDoIt.com to strengthen their brand message. The alignment of slogan and domain reinforced brand identity.

Domain Extension Selection for Startups

.com: The Universal Choice

• Highest trust level
• Essential for B2C businesses
• Advantageous for global expansion
• Premium price but long-term value

.io: Tech Startup Alternative

• Popular among developers and tech community
• Easier to secure desired names than .com
• Suitable for software and SaaS startups
• "Input/Output" association strengthens tech image

.tech: Dedicated to Tech Companies

• Clearly communicates technology focus
• Affordable pricing
• Suitable for IT sector

.ai: Essential for AI Startups

• One of the fastest-growing TLDs in 2025
• Immediately appeals as an AI/ML company
• Clear positioning for investors

Effective Naming Patterns

Let's analyze naming patterns of successful startups.

1. Function-Suggesting Names

• Dropbox: "drop" and "box" suggest storage
• GitHub: "Git" and "Hub" suggest code community
• Airbnb: Evokes travel and accommodation

2. Easy-to-Pronounce Invented Words

• Slack: No conventional meaning but easy to pronounce
• Figma: New word but memorable
• Trello: Short and rhythmic

3. Compound Words

• Pinterest: Pin + Interest
• YouTube: You + Tube
• LinkedIn: Linked + In

Domain Selection Warnings

What to Avoid

1. Numbers and hyphens: Hard to remember and confusing verbally
2. Names too long: 78% memory decrease beyond 12 characters
3. Hard-to-spell words: Increased search errors
4. Trend words: Feel outdated when trends pass
5. Other company trademarks: Legal issues possible

Recommendations

1. Keep it short: Under 10 characters if possible
2. Make it pronounceable: Easy verbal communication
3. Keep it scalable: No limits on business growth
4. Check social media: Verify same handle availability

Strategy by Budget

Bootstrap Startups

• Consider alternative TLDs like .io or .co
• Plan to acquire .com after brand grows
• Secure availability with creative names

Post-Seed Funding

• Prioritize .com domain acquisition
• Register related domains for brand protection
• Secure major TLD variations (.net, .org, etc.)

Series A and Beyond

• Consider premium .com domain investment
• Acquire ccTLDs for global expansion
• Strengthen brand protection

Action Checklist

Before Domain Selection

• Prepare 3-5 brand name candidates
• Check .com availability for each
• Verify social media handle availability
• Conduct trademark search
• Check for negative meanings in other languages

During Registration

• Choose reliable registrar
• Enable WHOIS privacy
• Set up auto-renewal
• Enable 2FA
• Consider multi-year registration

After Registration

• Enable domain lock
• Register key variant domains (typos, other TLDs)
• Configure and backup DNS
• Add renewal reminders to calendar

Conclusion

Domain selection for startups is a long-term investment. It's no coincidence that the majority of funded startups have domains matching their brand names.

Your domain:

• Determines first impressions
• Increases brand credibility
• Improves marketing efficiency
• Has long-term asset value

A good domain investment now becomes a solid foundation for startup growth.