Cyber Squatting has become a serious threat to businesses, disregarding the size of the business, either big or small business. In 2022 alone, according to Statista, the number of complaint cases on domain names received by the World Intellectual Property Organization (WIPO) was 7,000.
What this is saying or implies is that now is the right time for businesses to pay attention to their business brand in order to protect their business from the hands of those who are ready to give whatever it takes to destroy their business just to better their own life.
Any business or company that undermines or disregards the threat posed by the fraudsters might find themselves at the receiving end as the cybercriminals are ready to bank on their weakness and register another domain name tightly close to the already established name with the aim of jeopardizing the business brand and make profit from it.
However, it does not have to happen if the right measures are taken, and this can be done by having an understanding of what cybersquatting is and how to protect your brand online.
Understanding the Meaning of CyberSquatting
At its core, cybersquatting involves the registration, use, or sale of a domain name with the intent to profit from someone else’s trademark. Let’s make it simple: as a business owner or a company with a well-known name or brand, let’s call it ABCSolutions.com.
Now, a cyber squatter may swoop in, register a similar domain like ABCSolutions.gov, and leverage it for malicious purposes. As you can see, the names look the same, just a little different, which are ”gov” and ”com”.
Ordinarily, .com is more popular than .gov; however, due to some reasons or, let’s say, distraction, it is possible to use .gov instead of .com, which is the original, and by so doing, diverse people away from the legal domain to the fake one. So, that is what cybersquatting means in a simple term.
Furthermore, the motive behind cybersquatting might not be the same; for instance, some cyber squatters create it to sell it to another brand later to make a profit, while others intend to use it for their own selfish reasons, either to get people sensitive data, scam and many more. Their tactics are diverse, but the end goal remains the same – financial gain at the expense of your hard-earned brand equity.
Types of Cyber Squatting
It is also important to be aware that cybersquatting comes in different forms or types; however, the general name given to the unjustifiable act of greediness is still cybersquatting. The following are the types to be on look out for:
Typosquatting
This is the most popular type, and it occurs when there is a minor change in the spelling, which can happen to be an intentional omission of a word or addition of a word. For example, Google.com and Googgle.com.
Name Jacking
This can happen when the criminal intentionally uses another person’s name on purpose and usually happens to popular celebrities or people of higher pedigree to destroy their image and reputation.
Identity Theft
Most of the time, this usually happens when this culprit on purpose creates a company similar domain name to lure people by confusing them to click on the fake instead of the original. It can also occur when the domain registration name of a company expires or lapses.
The criminal can, on purpose, buy the domain back and later sell it to the owner in the future to collect money.
Reverse Cybersquatting/ Domain Hijacking
As the name implies, it happens when perpetrators hijack another person’s legal domain name or framework to carry out their act.
Implications of Cyber Squatting on Your Brand
The impact of this menace on the brand can be devastating, damaging your business if the proper measures are not taken to counter this kind of fraudulent act.
Brand Erosion
The repercussions of cybersquatting can be severe. Your brand, meticulously cultivated over the years, can face erosion as customers unknowingly interact with deceptive websites, diluting your trustworthiness.
Lost Revenue and Clients
For instance, a potential client tries to reach you but ends up on a cyber squatter’s site offering knock-off products or misleading services. Result? Not only have you lost a potential deal, but your client might also associate your brand with subpar offerings.
Legal Headaches
Dealing with cybersquatting isn’t just about lost opportunities; it often involves legal battles. Pursuing legal action can be time-consuming and costly, diverting resources away from your core business operations.
The Shield: How to Protect Your Brand from CyberSquatting
There are various ways to go about protecting your company from falling into this kind of dungeon; however, we will attempt a few important ways or methods you can trust. By promptly taking these steps, your brand will escape this opportunist’s grip.
Regular Monitoring with Technology
Vigilance is key. Set up alerts for variations of your brand name and monitor domain registrations closely. Automated tools like domain takedown software by Red Points can simplify this process, promptly notifying you of any suspicious activities.
Comprehensive Trademark Registration
Begin your defense by registering your brand name and relevant trademarks. This legal foundation can act as a powerful deterrent and provide a solid basis for reclaiming your online territory.
Proactive Domain Purchases
Prevent cyber squatters from striking by purchasing variations of your domain name. This not only secures your brand but also prevents impostors from capitalizing on slight misspellings or alterations.
Negotiation First, Legal Action Second
In case you identify a potential cyber squatter, start with a diplomatic approach. Reach out, express your concerns, and attempt to negotiate. Many disputes can be resolved amicably, saving you time and legal fees.
Secure Robust Contracts
When entering partnerships or collaborations, ensure your contracts explicitly address domain ownership and usage rights. Airtight agreements can deter unscrupulous entities from exploiting loopholes.
Wrapping Up
Let us end it by quoting Sri Chinmoy: “Ignorance is an enemy, even to its owner. Knowledge is a friend, even to its hater. Ignorance hates knowledge because it is too pure. Knowledge fears ignorance because it is too sure.” By diligently acknowledging all that we have said so far, you are on the right path to protect your company brand from cybersquatting.