ADOTAS – Are we headed to new types of multi-layered distribution channels? Like Amway or Avon, where hundreds of thousands of representatives all over the world sell high-value and well-branded goods at low prices in local neighborhoods marked within their protected territories. The new marketing models of merchandizing directly “from factory floors to living rooms” are picking up steam, thanks to ecommerce technologies and the availability of over 100 million unemployed people displaced by the recent global financial crisis. The ICANN (Internet Corporation for Assigned Names and Numbers) gTLD (generic top-level domains) and the global domain name expansion is a natural progression to service 3 billion online users of the world. Here is an excerpt from my new book, Domination, the gTLD Name Game.
Wal-Mart: Everyday Fears?
Why doesn’t Wal-Mart support ICANN gTLDs? Wal-Mart is the world’s largest and most successful retailer. Powerful and organized, one needs to finish an MBA and spend one or two extra years just to articulate how it works. It’s amazing. But the company’s opposition shows some hidden fears.
Here comes a new brand, “Operation Freeload,” as an example — a virtual brand, selling a select list of high-value, regular use, and compact and good quality merchandise to households at bargain prices within a targeted community. Say, a line of beauty creams or bathroom and bedroom supplies, or gardening supplies, or auto accessories and so on. There are over 500 such special lines already in demand in the markets to choose from and to formulate a distribution plan. The full selected line, as an example, is available at a dot-brand, home.freeload, a major site set up with all the pertinent information.
Now let’s see if this gTLD can grow into a money tree. It appoints thousands of individuals representing the line for their own local territories in cities and towns and for immediate service and direct-to-home delivery: “Hello, I’m Bill Smith from oakland.freeload, and you can see your local catalog of 1,000 items online or we can come and visit you in person this afternoon.”
The old 2,000-page, colorful catalogues are dead — they require truckloads of gold bars to print in massive quantities and distribute door-to-door. The four-inch-thick newspapers full of ads create mostly tremendous waste — the old dot-com global portals are already too complicated. Try Wal-Mart or Sears to buy some hand lotions. The continuous and expensive daily advertising to drive local or regional traffic to megastores is always fighting for more and more traffic. The response is simply dying. So, would an attractive and powerful local cyber brand under the wings of a global brand work wonders?
Here the master brand name will remain unchanged, whether used as a localized, customized for a region, town, village, street or personalized name. The gTLD system will guarantee the same identical dot-brand name over and over again, and the more it’s distributed, the more powerful it grows.
As an example, we have already established that Freeload.com in the old web space has no flexibility to create thousands of sub domain local brands. The open call to become a local representative will originate a thousand different dot-coms and will have a thousand different sounds that create noise. Most importantly, upon great success, others may start their own independent lines of products and services and buy their own domain name variations of dot-coms, like Joefreeloadsupplies.com, Manyfreeloaditems.net or Forsalefreeload.co.uk.
With a controlled gTLD of dot-freeload, they cannot enter the gTLD space at all, as all sub-names all over the world will only be issued by the original holder of the dot-brand under their policies, and all will end simply .freeload. This is the most powerful feature of a gTLD closed ownership.
Imagine 10,000 localized symmetrical and branded websites under one master game plan, working like orchestrated symphonies over global searches and bypassing all other confusion and chaos.
These are the hidden opportunities for large, established organizations looking to brand new types of local distribution channels and compete by tactical street-by-street personal touch battles.
Glocalization of Operation “BowWow”
The pet food supply industry all over the world is in the hundreds of billions. The buying and selling of branded goods in the pet food industry is as aggressive as any other competitive consumer items on the market. From this competition comes amazing opportunities in the new gTLD arena. As an example, imagine if someone were to acquire the ownership of a dot-brand Dot BowWow.
A closed gTLD dot-brand aims for a local offering under a large, global pet food producer. As a dog food specialty supply brand, it is offered to thousands of distributors spread across a particular country to manage, restock and supply dog food within an exclusive and protected territory of a local community and become a well-branded local dog food business.
“Hello, I am Linda Smith and I represent Lindasmith.bowwow exclusively in the town of Oakland, and if you like I can come and visit your pet.”
Imagine if 100,000 such people sold dog food and related items on a close-relationship basis, offering deliveries and even understanding local needs and local pets. This example is just to provoke a thought process, as such ideas are highly applicable where frequent purchases are required, and servicing at a local community level provides certain comparative advantages, and definitely can create name brands and increase brand value experiences.
At the local level, this will still be a small operation managed by a particular local person, but the critical mass would be felt at the HQ where, drip by drip, a huge pool will be filled with new customers and humming activity.
Currently, collective costs to create such local virtual brands using a dot-com space are prohibitive — unified management of name identity will be the biggest hurdle, simply because collective marketing and branding costs, identical virtual store fronts and operational presentation standards are prohibitive to building a single stand-alone website, and therefore the local representative and megabrands both are currently disconnected.
Currently, the independent local entrepreneurs cannot ensure they’d be able to manage a symmetrical brand name identity for a virtual storefront all on their own on a dot-com space. Each ends up with a different domain name, suffix, type and style of website. In the meanwhile, the large global player cannot offer a flexible, clear name identity to thousands of independent operators in one single sweep. That’s why this venue was never explored.
There are easily 1,000 such small-scale local services that could be organized under certain dot-brands on gTLD platforms. The 1,000 such models could deploy 10,000 to 100,000 people in each project. A new grassroots-level activity erupts around the globe, and the social media and customized domain names cascade at local street level.
Communities get vibrant, interlinked and productive. Major brands get their days of glory under the name identities. The global brands can start working on local streets with maximum customization and personal touch.
Start with yellow pages to see the variety of ideas and visit a dozen local communities and check out the demand and their daily needs. Multiply this by 100 by going after global markets.