Searchable domain names will continue to be popular with companies, as they are more attractive to online retailers and marketers, one expert has suggested.

A spokesman for Pipex Hosting, a communications supplier that handles over 35,000 business customers, said that sites that can be more easily remembered – or more easily tied into a search engine optimisation campaign – are a great acquisition for businesses.

Macsen Galvin, Pipex Hosting’s development director, said: "It’s often a lot easier for people to find you if you are on an obvious extension. If you’re lucky enough to get your company name and then .co.uk or .com … then people are more likely to stumble upon your site."

He added that some search engines are likely to return a .co.uk or a .com and that online marketers and retailers would do well to consider this.

Earlier this month, it was reported that recycle.co.uk had become the highest priced generic domain name in the UK at a cost of £150,000 – topping Sainsbury’s purchase of taste.co.uk in 1997 by around £40,000.

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