Former domain registrar Communicate.com Inc. is undergoing a significant makeover. It is in the final stages of an acquisition, it recently changed its name and it’s stepping up efforts to build a network of e-commerce and information sites to accompany the hundreds of domains it owns.

Launched in 1994, Communicate.com made its mark on the Internet by buying up popular URLs. Fourteen years later, it owns about 800 domains including Perfume.com, Malaysia.com and Cricket.com. Now, the company is looking to turn that prime real estate into profit by building destination sites for its domains under a new brand, Live Current Media Inc. Late last month it announced it will buy e-commerce auction software firm Auctomatic for $5 million to help. Live Current says it plans to use much of Auctomatic’s technology and staff to create and manage the web sites.

“The domain name business was a low-cost way to get access to consumers, and now we want to bring products and value to those consumers,” says Jonathan Ehrlich, chief operating officer and president of Live Current Media.

The web sites will generate revenue through e-commerce, advertising, sponsorships and user subscriptions. The company already has created successful sites for some of its domains, such as Perfume.com No. 469 in the Internet Retailer Top 500 Guide. Sales for the fragrance e-retailer grew 87% to $7.5 million in 2006 compared to $4 million a year earlier. But Ehrlich says creating informational and revenue-generating sites is now a top priority. “This is kind of like our coming-out party,” Ehrlich says. “We are now totally focused on getting users to spend as much time at our sites as possible,” Ehrlich says.

That time won’t necessarily be spent purchasing goods, Ehrlich says. Live Current has several ideas for its sites beyond e-commerce. For example, Cricket.com may be a social forum for fans of the international sport or a fantasy sports site, Ehrlich says, and could generate revenue from company sponsors or membership fees. Domains like Malaysia.com and Brazil.com might host reviews, recommendations and articles for tourists and collect income from ads. “Our key metric will be user engagement, the goal is to allow users to become immersed in the content and their experience,” Ehrlich says.

The source article can be viewed at: http://www.internetretailer.com/dailyNews.asp?id=25939