With many businesses going online, standing out in a crowded market has become a challenge. Additionally, customers are more inclined to only do business with brands that have established their credibility in the industry. 

So, you ask, “In a highly competitive digital market, how can my website be more trustworthy to potential clients?” Two words: domain extension. 

Your domain extension is a factor that could make or break your online presence. It’s essential to choose one that attracts your target audience and shows you’re reliable. 

There are many top-level domains (TLDs) available online. Among them are .shop and .com. In this article, we’ll talk about these TLDs’ unique strengths and weaknesses. This way, you can make an informed choice on which top-level domain best fits your website’s goals. 

We’ll also walk you through the factors you need to consider when choosing the right domain extension for your brand. 

What is the .shop domain extension? 

.shop is a generic top-level domain (gTLD) that was launched in 2016. The domain is currently being managed and operated by GMO Registry, Inc. 

The .shop domain was propositioned to create a dedicated space for eCommerce on the internet. It was specifically designed for businesses that focused on retail. 

Despite being new, the .shop domain extension has garnered notable popularity online. As of today, there are over three million active registrations for the .shop domain. 

Source: DomainTools 

What is the .com domain extension? 

The .com domain is a gTLD that has been around since 1985. It was introduced by the Internet Assigned Numbers Authority (IANA) and is now operated by the VeriSign Global Registry Services. 

.com, which is short for “commercial,” was initially intended for commercial entities. However, over the years, its usage has evolved beyond that. 

Today, .com has become the default choice for businesses, organizations, and even personal websites. It’s currently the most globally recognized gTLD, with over 150 million active registrations worldwide. 

Source: Domain Name Industry Brief (DNIB) 

Benefits of .shop and .com domain extensions 

Using both .shop and .com can bring several advantages to your website. We recommend you evaluate each one so you can decide which best fits your goals. 

.shop domains 

• Specificity. .shop’s main advantage is its specific association with eCommerce. This clear connection provides instant clarity to an average internet user that your webpage is focused on retail or online shopping. Because of its specificity, a .shop extension may increase your website’s click-through rates and enhance user engagement. Additionally, this distinction can also boost your branding efforts, especially in an oversaturated eCommerce space. 

• Availability. Using a domain name that perfectly matches your brand identity can greatly enhance your online presence. The .shop extension offers a wide selection of available domain names. This means that you’ll have a higher chance of securing your desired domain name that aligns with your brand. This feature is particularly beneficial for startups and small businesses that are building their online identity from scratch. 

• Global appeal. The term “shop” is universally recognized and understood across a lot of languages and cultures. This makes it an excellent choice for you if you’re aiming to connect with a global audience. The widespread familiarity of “shop” can be a major asset in building an international customer base. 

.com domains 

• Trust and recognition. Since its launch, .com has become the default choice for businesses and individuals. Users are more familiar with .com, .net, and .org, so they’re more likely to trust websites with these domain extensions instead. This deep-rooted familiarity can help reassure potential customers that your site is legitimate and trustworthy. This is important for businesses looking to establish a solid online presence. 

• Versatility. Another important benefit of .com is that it’s suitable for any type of website. You can use it whether you’re running an eCommerce store, a corporate site, or even a personal portfolio. This flexibility is a major plus for brands that plan to expand or diversify over time. With .com, you’re not locked into a particular niche or market. This makes .com a smart, future-proof choice for entrepreneurs who want to keep their options open. 

• Resale opportunities. Domains with a .com extension could be an asset in the future. Investors and businesses often prefer a .com domain because of its credibility and universal appeal. Should you decide to sell your domain, you could potentially get offers with high prices. 

Challenges of .shop and .com domains 

Before choosing between these two domain extensions, it’s also essential to consider each one’s limitations. 

.shop domains 

• Novelty. One of the main challenges of using a .shop domain is its novelty. .shop is still considered new and not widely recognized. Some users might be unfamiliar with this domain extension, which could lead to hesitation or distrust when they find your site. 

• Niche perception. Another potential disadvantage of using .shop is that it strongly ties your brand to eCommerce. While this is beneficial if you’re purely focused on retail, it can be limiting if you plan to expand your business in the future. This niche perception can also affect how your site is viewed by search engines and other businesses. 

.com domains 

• Limited availability. Since .com has been the leading domain extension for decades, many of the best domain names have already been claimed. This saturation can make it difficult for new businesses to find a suitable domain name that matches their brand. You might have to settle for a domain with added words or hyphens to secure a .com. While these workarounds can still get you online, they could impact your branding and make it harder for customers to remember your web address. 

• Generic association. While a .com domain is versatile, it can also be generic. Because it doesn’t point to any specific niche or industry, it doesn’t instantly communicate what your webpage is about. This could be a challenge if you want your brand to stand out in crowded markets immediately. If your business is in a specialized field, using domain extensions that align with your industry can enhance your brand identity. You can use extensions like .tech, .design, or .travel, which can give your website more context and make it more relevant to your audience. 

How to choose the right domain extension 

There are a few key factors you need to think about when picking between .shop and .com. Assessing these elements can help you decide which domain extension can give you optimal results for your online presence. 

Target audience 

If your primary customers are updated with eCommerce trends, they might accept and prefer a .shop domain. This extension’s specificity can attract shoppers looking particularly for an online store. 

On the other hand, if your audience is more traditional or unfamiliar with new domain extensions, they might feel more comfortable with a .com. The widespread recognition of .com makes it a safer choice for businesses targeting a conventional customer base. 

Cost factor 

.shop domains are often less expensive. The lower entry cost of .shop websites is particularly appealing to new businesses looking to establish an affordable online presence. However, their newer status might require extra marketing efforts to reach a level of recognition and trust. 

On the other hand, .com domains with high commercial value in the market can also be costly. This can be a roadblock for small businesses that have limited budgets. 

Trademark issues 

Although both .shop and .com don’t have geographic restrictions, there might be legal factors you need to consider, such as trademark issues. 

Since .shop is a relatively new domain extension, there may be fewer established precedents regarding trademark disputes. This could be a double-edged sword. While there might be more flexibility in claiming a .shop domain, there could also be less legal clarity should disputes arise. 

Alternately, because of its widespread use, trademark issues are also prevalent for .com. Having a business name like that of another company using .com can be extra challenging for a startup. 

Security perception 

A .shop domain might not yet carry some type of level of perceived security. However, as more eCommerce businesses adopt .shop, this perception is likely to improve. 

In the meantime, it could help to implement visible security measures like SSL certificates to encrypt the connection between you and the user’s web browser. You may also use SiteLock to protect your website against malware, malicious traffic, and vulnerabilities. Lastly, you may employ Domain Privacy + Protection to mask your personal information on the WHOIS database from identity theft, spam, and fraud. 

Additionally, a .com domain might inherently feel more secure to users simply because it’s more familiar. This perception can reduce hesitation and increase trust when visitors decide whether to make a purchase on your webpage. 

Choose and register your TLD with Domain.com today! 

Choosing between .shop vs .com is a decision you base on your brand’s identity and future aspirations. The .shop domain offers a clear advantage for eCommerce businesses. On the other hand, the .com domain is the industry standard that’s flexible for future expansion. Carefully weigh these factors so you can select the TLD that will help your business thrive in the digital industry. 

Here at Domain.com, we can help you register your desired domain for your website. Apart from that, we also provide hosting, professional design, and website-building services for your site’s needs. 

Build your online presence with Domain.com today! 

Frequently asked questions 

1. Should I buy multiple TLDs? 

Purchasing multiple TLDs for the same domain name can be a smart strategy for protecting your brand. For example, owning both the .shop and .com versions of your domain can prevent competitors from using a similar name. Moreover, it can also help capture traffic that might otherwise go to a different extension. 

2. How much do .shop and .com domains cost? 

The cost of both domains can vary depending on the domain registrar you choose and the specific domain name you want. Typically, .shop domains are more affordable than premium .com domains. 

As of September 2024, a .shop domain costs $1.99, while .com is $11.99 for the first year at Domain.com. 

However, prices can increase based on demand, availability, and the popularity of the keyword in the domain name. It’s also important to consider renewal fees, which can vary by registrar. 

3. Which domain registrar is best? 

When choosing a registrar, consider factors like ease of use, pricing, and customer support. Additionally, select one that has bundled services that might benefit your webpage. 

For instance, Domain.com offers additional services like Domain Privacy + Protection and Domain Expiration Protection for both .shop and .com domains. 

4. Can I change my domain registrar? 

Yes, you can change your registrar. The process involves moving your domain from one registrar to another. You can check a separate article, How to Transfer A Domain to Your Account – Domain Transfers, on how to transfer your domain to Domain.com. 

Most registrars provide a straightforward process for transferring domains. However, it’s important to check if there are any fees involved and if your domain is eligible for transfer.