Hipster is a fairly well-funded start up company that has received quite a bit of good publicity in tech circles. Until recently, the company was operating on the domain name, UseHipster.com, since Hipster.com was owned by another company.
In May of 2011, Hipster announced funding of $1 million, and I recommended that the company use some of this money to purchase the Hipster.com domain name. My belief was that as the company continues to grow and increase brand awareness, the price to acquire Hipster.com would grow as well.
Not surprisingly, the company had been trying to acquire the domain name for quite some time, and the effort finally paid off, as Hipster now owns Hipster.com.
According to company founder, Doug Ludlow, acquiring the domain name took quite some time. “Obtaining the domain was a 7 month process of going back and forth with the original owner. Lots of negotiation and discussion. In the end, we reached a combination of cash and stock that worked for both parties,” said Ludlow in an email to me. “Also, a little Pabst Blue Ribbon was thrown in for good measure :)”
The price and terms of the deal remain confidential.
The company is now forwarding UseHipster.com to Hipster.com. In addition, the company already uses the @hipster Twitter account. Congratulations are in order for Ludlow and his Hipster team. I think the acquisition of the domain name now will pay big dividends.
I would have asked for Heineken.
Amazing how cheap the beer is in the US though, last weekend I bought a 12 case there for $9.00, in Canada it would be over $20.
@DomainReport We get ripped off on everything.
smart move! Now they actually sound like and convey the credibility of a million-dollar company.
Always great to see startups moving over to a more professional domain once they get funding.
But that’s the key you need to have the money to acquire a premium/quality domain name.
Sadly many startups who don’t get funding may never have the cash available to purchase that name.
But those that do will benefit more from the purchase in the long term especially if it is a generic term.
At least here, the domain was up for sale. I know certain business who don’t get their preferred domain because it is associated with another business (mostly unrelated) and having the same domain makes a lot of sense to both! Though companies take the middle way, its always better to have the exact match .com domain.
At least here, the domain was up for sale. I know certain business who don’t get their preferred domain because it is associated with another business (mostly unrelated) and having the same domain makes a lot of sense to both! Though companies take the middle way, its always better to have the exact match .com domain.
+1
Finally they acquired the required domain name for their company. I am taking a wild guess that hipster.com would have sold at 500k or above and less than $1 million.