The web domain name www.cruises.co.uk has been purchased by cruise community website www.cruise.co.uk for $1 million (�560,000).

The company claims the price has set a new British record.

Previously, the highest price paid for a 'co.uk' domain name was when venture capital firm ASAP Ventures acquired the domain recycle.co.uk for �150,000.

Cruise.co.uk, which launched in the UK earlier this year, said www.cruises.co.uk has become its new site for online social networking.

Its original domain, cruise.co.uk, is now more focussed on cruise deals.

Managing director Seamus Conlon said the purchase of the plural domain name of its site demonstrated how serious the company is about retaining its number one position in a fast-growing sector.

"The cruise market is one of the fastest and most consistently growing sectors in the travel industry – a trend predicted to continue – and our website, www.CRUISE.co.uk, is the market leader," he said.

"'Cruises' is consistently ranked first on Google, with 'cruise' just behind. We wanted the top positions so that when internet users are searching for cruise deals, reviews or news we are the first port of call.

"Unlike normal package holidays, where people have been going to the same places and doing the same things for years, cruising is still a great unknown for a large percentage of our potential market.

"These people may not have friends or colleagues who have cruised, so they don't have a reference point – someone who can give their personal recommendation."

In 2007, founder and chairman Andrew Gardner and Conlon (formerly MD of Airtours) were involved in a management buy-out from Carnival corporation who own and operate: P&O Cruises, Princess Cruises, Cunard Cruise Line, Ocean Village Holidays, Holland America and Carnival Cruises.

www.CRUISE.co.uk employs 70 staff and last year had a turnover of �57m.

The top five highest prices for .co.uk domain names are:

* cruises.co.uk, �560,000 – purchased January 2008, by www.cruise.co.uk
* recycle.co.uk, �150,000 – purchased October 2007
* ink.co.uk, �130,425 – purchased 2007
* mobile.co.uk, �120,000 – purchased 2007
* taste.co.uk, �110,000 – purchased 1997

World's most expensive domain names are

* sex.com, $12 million – purchased 2005
* porn.com, $9.5 million – purchased 2007
* business.com, $7.5 million – purchased 1999
* diamond.com, $7.5 million – purchased 2006
* beer.com, $7 million – purchased 1999

By Bev Fearis