Best TLD for Your Business: .com vs .io vs .co vs .shop (2025)

Quick Answer

Table of Contents

Why Your Domain Extension Matters

Your domain extension (TLD) is more than just a technical suffix—it's a branding decision that affects how customers perceive your business before they even visit your website.

The Business Impact of TLDs

First Impressions: When someone sees "yourbrand.com" versus "yourbrand.xyz," they form instant judgments about:

• Your legitimacy and professionalism
• Your industry and target market
• Whether they can trust you with their information
• How established your business is

Practical Considerations:

• Memorability - Can customers recall and type your domain correctly?
• Type-in traffic - Will users default to .com when trying to reach you?
• Email credibility - Will your emails land in spam or look suspicious?
• Marketing - Can you say your domain clearly on podcasts, radio, or in conversation?

The 2025 TLD Landscape

As of 2025, there are over 1,596 domain extensions available worldwide. The market breaks down roughly as:

Despite the explosion of options, .com still dominates with 153.9 million registrations—though new gTLD registrations grew 17.4% year-over-year in 2024, indicating shifting preferences among certain demographics.

The Case for .com: When It's Worth Paying Premium

Why .com Remains King

The .com extension has held the top spot since 1985, and its dominance continues for good reason:

Memorability Study Results:

• .com has a 44% memorability score - meaning people correctly remembered .com URLs 44% of the time
• .co came in second at 33%
• .io scored only 25% - actually lower than .biz (31%)

This matters because when customers try to find you later, they'll often default to typing ".com" regardless of your actual extension.

Trust and Credibility:

• Most recognized globally across all demographics
• Expected by older and less tech-savvy audiences
• Professional services clients (law, medicine, finance) expect .com
• Enterprise B2B buyers often view non-.com domains with skepticism

When .com Is Worth Premium Pricing

Pay premium for .com when:

1. Your target audience skews older (40+) - This demographic has decades of ".com conditioning" and may not trust newer extensions

2. You're in professional services - Law firms, medical practices, financial advisors, and consultants need maximum credibility

3. You're building a mass-market consumer brand - National/international brands benefit from universal recognition

4. You'll be doing significant offline marketing - Radio ads, billboards, and print materials work better with memorable .com domains

5. You're seeking investment - VCs and investors often view .com ownership as a sign of seriousness and long-term thinking

.com Pricing Reality Check

Standard registration: $10-15/year for available names

Premium domains (aftermarket):

• Short .coms (3-4 letters): $10,000-$1,000,000+
• Single dictionary words: $50,000-$15,000,000+
• Industry keywords: $5,000-$500,000+
• Brandable names: $2,000-$50,000

Recent notable sales:

• chat.com - Estimated $15.5 million (acquired by OpenAI in 2023)
• voice.com - $30 million
• insurance.com - $35.6 million

Price increases to know about: Since 2018, VeriSign (which operates .com) has increased wholesale prices by 30%. Under their agreement with ICANN, 7% annual increases were approved through 2029, though increases were paused in 2024-2025. Expect renewal costs to continue rising.

When to Skip Premium .com

A perfect domain name with alternative TLD beats a mediocre .com:

• "stripe.com" was taken, so Stripe used "stripe.com" (they got lucky)
• "notion.so" worked fine before they acquired "notion.com"
• "figma.com" was always available, but "figma.io" would have worked for their designer audience

Don't pay premium if:

• You're bootstrapping with limited capital
• Your audience is tech-savvy and accepts alternative TLDs
• The premium .com is a long, awkward domain just to have .com
• A shorter/better alternative TLD domain is available

.io for Tech Startups: Pros, Cons, and the Sovereignty Question

Why Tech Loves .io

The .io extension has become synonymous with tech startups, despite originally being the country-code TLD for the British Indian Ocean Territory.

Why it caught on:

• "IO" suggests "input/output" - a fundamental computing concept
• Clean, two-letter appearance
• More availability than .com for short names
• Adopted by developer tools, SaaS companies, and gaming platforms
• Signals "tech startup" to investors and fellow founders

Notable .io domains:

• GitHub.io (GitHub Pages)
• Socket.io
• Figma.io (before acquiring .com)
• Repl.it uses .it but many competitors use .io

The Sovereignty Issue: Should You Be Concerned?

What happened: In October 2024, the UK announced it would cede sovereignty of the Chagos Archipelago (British Indian Ocean Territory) to Mauritius. This created uncertainty about the future of .io domains.

Timeline of events:

1. October 2024: UK-Mauritius agreement announced
2. December 2024: New Mauritian PM Navin Ramgoolam rejected the initial agreement
3. May 2025: Revised agreement signed with 99-year lease for Diego Garcia military base

What this means for .io domains:

Per ICANN's November 2024 blog post:

"Should 'IO' no longer be retained as a coding for this territory, it would trigger a 5-year retirement process."

However, extensions could persist up to 10 years after a territory ceases to exist, based on IANA documentation.

Historical precedent provides reassurance:

• .su (Soviet Union) still exists 30+ years after the USSR dissolved
• .yu (Yugoslavia) operated until 2010, years after the country split
• Economic value tends to preserve TLDs

Expert consensus: Most domain industry experts believe .io will survive due to its massive adoption and economic value. ICANN has financial and practical incentives to maintain it.

.io Pros and Cons Summary

Pros:

• ✅ Signals tech/startup identity
• ✅ Better availability than .com
• ✅ Two-letter clean appearance
• ✅ Widely accepted in tech circles
• ✅ Good for developer tools, SaaS, games

Cons:

• ❌ 25% memorability score (lower than .biz)
• ❌ Uncertainty around sovereignty
• ❌ Not recognized by non-tech audiences
• ❌ Premium pricing ($30-50/year)
• ❌ Non-tech customers may be confused
• ❌ Type-in traffic goes to .com

Recommendation: Use .io if your primary audience is developers, tech startups, or the gaming community. Have a strategy for eventual .com acquisition if you plan to go mass-market.

.co as a .com Alternative

Understanding .co

Originally Colombia's country-code TLD, .co has been aggressively marketed as a ".com alternative" since 2010 and has gained significant traction.

Key statistics:

• 33% memorability score - Second only to .com (44%)
• Popular with startups, creatives, and entrepreneurs
• Shorter and visually similar to .com

Notable .co domains:

• Twitter.co (redirects to Twitter)
• Angel.co (AngelList)
• Google.co (Google Colombia, but demonstrates legitimacy)

.co Advantages

Why businesses choose .co:

1. Visual similarity to .com - Less jarring than .io or .xyz
2. Strong branding potential - "co" suggests "company" or "corporation"
3. Better availability - Many single-word domains still available
4. Established credibility - Over a decade of mainstream use
5. Marketing-friendly - Can work in radio/TV ("your brand dot C-O")

.co Risks

The biggest problem: People will type .com. If someone else owns yourbrand.com, they'll capture traffic meant for your .co site.

Mitigation strategies:

1. Check who owns the .com before registering .co
2. If .com is parked/unused, consider acquiring it later
3. If .com is a competitor, choose a different name entirely
4. Always clarify "dot C-O" in marketing materials

Other concerns:

• Some spam filters flag .co emails more than .com
• Older demographics may not recognize it
• International users in some regions may be unfamiliar

.co vs .com vs .io Decision Matrix

E-commerce Extensions: .shop vs .store

The Rise of E-commerce TLDs

With online shopping continuing to grow, dedicated e-commerce extensions have gained nearly 93,000 new registrations during the 2024 holiday season alone.

.shop Overview

Statistics:

• Over 800,000 domain registrations worldwide
• One of the most successful new gTLDs
• Clear signal: "this is a place to buy things"

Best for:

• Retail businesses of any size
• Independent boutiques
• Dropshipping stores
• Product-focused brands

Examples:

• makeup.shop
• vintage.shop
• organic.shop

.store Overview

Statistics:

• Launched in 2016
• Growing faster than .shop in recent years
• Popular for official brand stores and merchandise

Notable finding: A 12-month study by Contrast Digital found:

• .store domains gained twice the visibility in search results compared to non-descriptive TLDs
• 12% reduction in cost per conversion for .store domains
• Better ROI on marketing spend

Best for:

• Brand merchandise stores
• Official product stores
• Modern e-commerce startups
• SaaS companies selling digital products

.shop vs .store: Which to Choose?

Recommendation:

• Choose .shop for traditional retail, fashion, and boutique businesses
• Choose .store for tech companies, official brand stores, and digital products
• Both are valid choices—pick what sounds better with your brand name

When to Use .com for E-commerce Instead

Stick with .com when:

• You're building a major brand (like Amazon, Walmart)
• Your target audience is 40+ years old
• You'll do significant TV/radio advertising
• You want maximum credibility for high-ticket items
• You're in a trust-sensitive category (jewelry, luxury goods)

Industry-Specific TLDs

Technology Extensions

.tech

• Best for: Technology companies, IT services, tech blogs
• Price: $20-30/year
• Example: latech.tech, ai.tech

.dev (Google-owned)

• Best for: Developers, development agencies, coding tools
• Price: $15-20/year
• Requires HTTPS - Built-in security requirement
• Example: web.dev (Google's own site)

.app (Google-owned)

• Best for: Mobile apps, web applications, SaaS products
• Price: $15-20/year
• Requires HTTPS - Hardcoded in all browsers via HSTS preload
• Example: cash.app, shortcuts.app

.ai (Anguilla ccTLD)

• Best for: AI/ML companies, artificial intelligence products
• Price: $60-100/year (premium pricing)
• Growing 7.8% in 2025, driven by AI boom
• Example: character.ai, perplexity.ai

Note on HTTPS requirement: .dev and .app domains are on the HSTS preload list, meaning browsers will only connect via HTTPS. You must have a valid SSL certificate before your site will work at all.

Professional Services Extensions

.agency

• Best for: Marketing agencies, creative agencies, consulting firms
• Example: growth.agency, design.agency

.consulting

• Best for: Business consultants, management consulting
• Example: strategy.consulting

.law / .lawyer / .attorney

• Best for: Law firms and individual attorneys
• Note: Some have verification requirements
• Example: smith.law, divorce.attorney

.accountant

• Best for: CPAs, bookkeepers, accounting firms
• Example: tax.accountant

Creative Industries

.design

• Best for: Designers, design studios, portfolios
• Price: $40-60/year
• Example: minimal.design

.studio

• Best for: Creative studios, photography, art
• Example: photo.studio

.photography

• Best for: Professional photographers
• Example: wedding.photography

.art

• Best for: Artists, galleries, art-related businesses
• Example: modern.art

Should You Use Industry TLDs?

Use industry TLDs when:

• Your brand name + industry TLD creates a memorable combination
• You want instant recognition of your business type
• Your target audience is industry-savvy
• The .com version is unavailable or too expensive

Avoid industry TLDs when:

• You might pivot to different services later
• Your audience is conservative (enterprise, legal, medical)
• The combination sounds awkward
• You're building a brand that transcends one industry

Local ccTLDs for Regional Businesses

When Country-Code TLDs Make Sense

Country-code TLDs (ccTLDs) signal geographic focus and can boost local credibility.

Popular ccTLDs for businesses:

• .uk / .co.uk - United Kingdom
• .de - Germany (17+ million registrations)
• .ca - Canada
• .com.au - Australia
• .fr - France
• .nl - Netherlands

Local SEO Benefits

Google uses ccTLDs as a geographic signal:

• .uk domains rank better in UK searches
• .ca domains rank better in Canadian searches
• .de domains rank better in German searches

This helps when:

• You only serve customers in one country
• Local trust matters (plumbers, restaurants, local services)
• You want to appear as a local business, not international

This hurts when:

• You want to expand internationally later
• You serve customers in multiple countries
• Your business model is inherently global

Multi-Country Strategy

Many businesses register both:

• Primary: brand.com (international)
• Regional: brand.co.uk, brand.de, brand.ca (with localized content)

Example:

• Amazon.com (US/International)
• Amazon.co.uk (UK)
• Amazon.de (Germany)
• Amazon.ca (Canada)

Each regional site can have localized pricing, language, and content.

ccTLD Requirements

Some countries have residency/business requirements:

Always check current requirements before registering.

Trust and Credibility by Extension

The Trust Hierarchy

Based on consumer research and industry data, here's how extensions rank for trust:

Tier 1 - Highest Trust:

• .com - Universal recognition, expected by everyone
• .gov - Government (restricted, highly trusted)
• .edu - Education (restricted, highly trusted)
• .org - Non-profits, associations

Tier 2 - High Trust:

• .net - Established, professional
• .co - Accepted alternative to .com
• Country ccTLDs - Trusted in their regions (.uk, .de, .ca)

Tier 3 - Moderate Trust:

• .io - Trusted in tech circles only
• .ai - Trusted for AI companies
• .app - Trusted for applications
• .tech - Trusted for tech businesses
• .store / .shop - Trusted for e-commerce

Tier 4 - Lower Trust:

• .xyz - Associated with spam due to cheap pricing
• .biz - Dated, often seen as spam
• .info - Often used for spam
• Obscure new gTLDs - Unknown to most users

Trust by Audience Type

Enterprise B2B buyers:

• Strongly prefer .com
• Skeptical of new gTLDs
• May flag .xyz/.info emails as spam

Tech-savvy consumers:

• Accept .io, .ai, .app readily
• Value clever domain hacks
• Less attached to .com

General consumers 40+:

• Expect .com
• May not recognize new TLDs
• May mistype or distrust alternatives

International audiences:

• Recognize .com globally
• Trust their local ccTLD
• May not know US-centric alternatives

SEO Considerations: What Google Actually Thinks

Google's Official Position

Google has been clear: domain extensions don't directly affect rankings for generic TLDs.

From Google's John Mueller:

"The TLD (the domain name ending like '.com' or '.guru') only matters if you're targeting a specific country's users, and even then it's usually a low impact signal."

What This Means Practically

No direct ranking difference between:

• yourbrand.com
• yourbrand.io
• yourbrand.tech
• yourbrand.shop

Exception - ccTLDs: Country-code TLDs do send geographic signals:

• .uk helps rank in UK
• .de helps rank in Germany
• This can help OR hurt depending on your goals

Indirect SEO Effects

While the TLD itself doesn't affect rankings, it affects user behavior, which DOES affect rankings:

Click-through rate (CTR):

• Users may prefer clicking .com in search results
• Higher CTR = positive ranking signal

Bounce rate:

• Users who don't trust your TLD may leave quickly
• Higher bounce rate = negative ranking signal

Brand searches:

• Memorable domains get more branded searches
• More brand searches = positive ranking signal

Backlinks:

• Authoritative sites may be more willing to link to .com
• More quality backlinks = better rankings

TLD SEO Best Practices

1. Choose TLD for brand, not SEO - Content quality matters 100x more
2. Use ccTLD for local targeting - If you only serve one country
3. Use gTLD for global reach - .com or alternatives
4. Avoid spam-associated TLDs - .xyz, .info have spam reputation
5. Secure your site - HTTPS matters more than TLD

Decision Framework: Choosing Your TLD

Quick Decision Guide

Choose .com if:

• Budget allows ($10-15/year, or premium if needed)
• Target audience includes non-tech users
• Building mass-market consumer brand
• Professional services (law, medicine, finance)
• Seeking investment from traditional VCs
• Heavy offline marketing planned

Choose .io if:

• Tech startup or developer tool
• Target audience is developers/tech
• You accept sovereignty uncertainty
• Budget allows ($30-50/year)
• You'll eventually acquire .com

Choose .co if:

• .com is taken by non-competitor
• You want .com "feel" without premium price
• Can clarify "dot C-O" in marketing
• Target audience is startup/creative

Choose .shop/.store if:

• E-commerce is your core business
• You want instant recognition as a store
• Target audience shops online regularly
• The domain name + extension sounds good

Choose industry TLD if:

• Perfect brandname + TLD combination exists
• Industry-specific credibility matters
• You won't pivot to other industries
• .com alternatives are poor quality

Choose ccTLD if:

• You only serve one country
• Local credibility is crucial
• You meet residency requirements
• No plans for international expansion

The "Radio Test"

Before finalizing, say your full domain out loud:

• Does it sound professional?
• Can someone write it down correctly?
• Is it clear without spelling it out?

"Visit us at mystore.shop" vs "Visit us at my-store-online-shop.com" - the former wins.

Frequently Asked Questions

Should I buy multiple TLDs for my brand?

Minimum recommendation:

• Primary TLD (.com or your chosen extension)
• .com (if not primary, to prevent traffic leakage)
• Your country's ccTLD (if local business)

Redirect strategy: Point all secondary TLDs to your primary domain with 301 redirects.

Will my emails be marked as spam with new TLDs?

Most modern email systems handle all TLDs equally. However:

• .xyz and .info have higher spam association
• Some enterprise filters may flag unusual TLDs
• .com has the safest email deliverability

Can I change my TLD later?

Yes, but it's disruptive:

• Register new domain
• Set up 301 redirects from old domain
• Update all marketing materials
• Some SEO value may be lost temporarily
• Keep old domain for several years

Is .com always worth the premium price?

No. A clear, memorable alternative TLD beats:

• A long, hyphenated .com
• A misspelled .com
• A .com that doesn't match your brand
• A .com that's 10x your annual marketing budget

Do TLDs affect Google Ads performance?

Not directly. However, destination URL quality affects Quality Score, and user trust affects click-through rates. A trusted TLD may indirectly improve performance.

What about .xyz since Google's parent company uses abc.xyz?

Alphabet using abc.xyz helped legitimize the extension, but .xyz is still heavily associated with spam due to $1 promotional pricing. Proceed with caution for business use.

Key Takeaways

The Bottom Line on TLDs:

Next Steps

Research Your Options

1. Check availability across TLDs using DomainDetails.com to see registration status and pricing
2. Research the .com owner - Is it a competitor? A parked domain? Worth acquiring?
3. Test with your audience - Ask potential customers which domain they'd trust more

Related Reading

• Understanding Domain Extensions: Complete Guide - Deep dive into all TLD types
• Domain Registration: Step-by-Step Guide - How to register your chosen domain
• New gTLDs vs Traditional Extensions - Detailed comparison
• How to Choose a Domain Name - Beyond just the extension

Research Sources

This article was researched using current 2025 data from authoritative sources:

• ICANN Blog: The Chagos Archipelago and the .io domain (November 2024)
• Top Level Domains Study - Growth Badger - Memorability research
• Top 7 Domain Extensions for Businesses 2025 - Hosting.com
• Popular Domain Extensions 2025 - Instant Domain Search
• Domain Extensions and SEO - Search Engine Land
• .store Domain Study - EuroDNS
• .COM Domain Price Increases - Zone Blog
• The Register: .io Domain Future (October 2024)
• Wikipedia: .io Domain
• Google Registry: .dev Policy