Lots of people have the same question, "Why do I have to pay for a domain name?" Shouldn't domain names be free to acquire in some kind of a first come, first serve basis? Well, for one thing, nothing in life is for free. Specifically, when it comes to websites and domain names, you have to pay for one to ensure your own success and uniqueness.
When you purchase a domain name you are really purchasing the right to a specific website address for a specified period of time. You are not the owner indefinitely, and you'll need to always renew your domain name address to ensure it stays with you. You purchase your domain name from one of many possible domain name registrars, which certify that you are indeed the owner of the address.
If you didn't have to buy the domain name there would be chaos as everyone would try to claim the same addresses and nobody would be able to find anything on the Internet. Buying your domain name is like staking a claim to a specific location. Think of it as taking on a lease for a physical store location if you had a brick and mortar business.
Another way to look at the question of why do I have to pay for a domain name is that in this process you can choose your own destiny. If you can find the perfect domain name you are going to see much better success than your competition. Your domain name has a large effect on the amount of traffic you see and the reputation that your site holds. Therefore, buying a domain name is a way of giving people control over their own success or failure.
When you are in the market for a domain name, you are going to come across both standard, low priced domain names and expensive, premium names. You may not be familiar with the difference, but basically an expensive or premium domain name is one that somebody else purchased already but never used. They purchased it for the purpose of reselling it at another date and time.
Premium domain names are usually the best ones, because they are very short, simple and easy to remember. They are usually just one or two words long and are directly related to potentially profitable niches. You don't need to buy a premium name to get a great domain name choice, but because of the prevalence of these expensive options you will often have to get more creative with your own name selection to find something both cheap and effective.
Hopefully now you can see the answer to everyone's favorite question, "Why do I have to pay for a domain name?" It's a necessary step in the vast world of the Internet, and otherwise there would be chaos as everybody could stake equal claims to the same names at the same times, and nobody would have a solid and identifiable name location that customers could find. Instead of worrying about why you have to pay for one, spend your time on choosing the best one you can find so your success will increase.