The domain name is a key ingredient in the success of generating traffic to your website. Deciding on a brand domain name or a keyword domain basically depends on what you wish to accomplish.
What is the difference between a brand domain and a keyword domain?
Brand Domain
A brand name is often a made up word, like Kodak, Exxon or Travelocity. An advantage for brandable names is that they are usually unique are not confusingly similar to other business names.
These names often require more effort and to establish themselves as a brand.
If you are a new business, it is likely not too many people will be familiar with your website name and may not remember what your brand domain name is.
Keyword Domain
A keyworded green domain name is beneficial when you want a descriptive and intuitive name that reflects the product or service you sell.
Keyword domain names are also easy to remember and can benefit from type-in traffic. Keyword domains can also be branded. Tickets.com, Software.com, Travel.com Baby.com, Job.com, Hotels.com are some examples.
Which is more effective?
They both are. If you have an advertising budget to develop and support a brand name choice, the answer might be a brand domain. However, if you are just starting out with a limited budget, a keyword domain name may be a better investment.