Two-letter domain names such as LE.com have a significant value to both domain investors and end-users. In general, two-letter .COM domains such as LE.com are currently worth in excess of $500,000 with many names reaching the $1 million or more mark.
Why is LE.com valuable?
Why are two-letter .COM domains such as LE.com so valuable? Well, let’s take LE.com as an example here. LE.com is one of just 676 two-letter .COM domain names that are in existence. There are over 127 million .COM domain names registered, which means LE.com and the other two-letter .COM names represent just 0.0005% of all .COM domains. Rarity makes LE.com a highly valuable name, especially to investors who pay top dollar to own the world’s rarest names.
There’s also the question of trust and stability. By owning a domain name like LE.com for your brand, you are displaying a sense of trust to your customers or clients. As a consumer, would you trust LE.com or official-LE.com more? The right domain name gives an instant sense of trust in a brand to anyone who visits the domain. A sense of stability and permanence also comes from owning a domain name like LE.com. It shows a long term investment in a brand.
A two-letter domain name can also offer a company some security from data and traffic leakage that is commonplace amongst longer domain names.
These factors, and more, are why LE.com is a domain name that would likely fetch $500,000 at the very minimum. These factors are fine in theory, but let’s take a look at some examples of two-letter .COM sales to back up the overall value of LE.com and two-letter .COM’s in general:
Here are several examples of companies that have acquired two-letter .COM domain names within the past few years. If several companies spend six, seven or even eight-figures on a two-letter .COM domain name, it demonstrates clearly that two-letter .COM’s play an intrinsic value in the online brand of savvy businesses. Read our case studies:
LX.com may not be familiar to you, but the company that owns it almost certainly is. Cable TV company NBC launched a brand new service in 2019, aimed at Generation Z and millennials. The new brand is called Local X, with the company opting to use LX.com as their main domain name. With LX.com, NBC has acquired a memorable domain name that instantly instills trust, confidence, and stability into consumers. Interestingly, NBC did not acquire the LocalX.com domain name (as of publishing).
Sleep technology companies have a history of paying vast sums of money for valuable domain names. The likes of Casper.com and Purple.com are both examples of this. However, there’s one sleep company that paid a large sum of money to acquire a two-letter .COM – Tuft and Needle. The popular mattress company doesn’t have the easiest name to remember, so the firm paid an undisclosed fee to acquire TN.com. As of writing, the name redirects visitors to its official website, tuftandneedle.com. However, the TN.com domain is used on billboards and in marketing promotions. When you’re passing a billboard in a car, are you more likely to remember TuftAndNeedle.com or TN.com?
ReviMedia spent million to acquire the PX.com domain name several years ago. The company was looking to rebrand its SaaS platform “LXP”, and ultimately settled on PX.com as the perfect rebrand. The company has since used PX.com to completely rebrand from ReviMedia to PX and has become an industry-leading service provider.
These are just three examples of two-letter .COM domains that have been acquired and put to use by brands willing to invest significant amounts of money into their online identity.
Another means of getting a face-value appraisal for LE.com is to take a look at verified domain sales data.
Using previous sales data can help you to get an idea of the value of your own domain name. Here is a list of publicly disclosed two-letter .COM sales from 2015-2019:
TM.com – $1.25 million (2019)
IJ.com – $550,000 (2019)
RX.com – $1 million (2019)
OL.com – $900,000 (2019)
MK.com – $700,000 (2018)
FO.com – $510,000 (2018)
SW.com – $660,000 (2017)
HG.com – $3.77 million (2016)
DA.com – $650,000 (2016)
YK.com – $900,000 (2016)
LA.com – $1.2 million (2016)
TP.com – $929,000 (2016)
PX.com – $1 million (2015)
GJ.com – $694,095 (2015)
QT.com – $615,000 (2015)
QE.com – $554,000 (2015)
SX.com – $555,050 (2015)
WE.com – $8 million (2015)
RP.com – $575,000 (2015)
NL.com – $575,000 (2015)
I have performed a couple of interviews with the buyers of two high value two-letter .COM domain names for their respective companies. These represent real-world usage and give a clear idea as to why domains such as LE.com command such a high value. You can access the two interviews here (PX.com), and here (TN.com).
Working out the intrinsic value of the LE.com domain name (without any attached content, IP or other considerations) is a difficult process. Automated appraisals cannot be relied upon, and ultimately it comes down to the circumstances surrounding the acquisition or sale of the two-letter domain (with associated factors including motivation to buy or sell, the need for the domain, funding available, and current circumstances).
However, it can be easily proven that domains such as LE.com are highly desirable, and previous sales data indicates that the name would carry a six, seven, or low eight-figure valuation.
Do you own LE.com or a similar domain name? Do you have the budget to acquire a domain name such as LE.com? If you answer yes to either of these questions, you might benefit from speaking with a domain name broker. This article is purely research and I certainly don’t have any association with this name, but if you’re serious about buying or selling such a domain, speak with an expert who can advise you fully.