301 redirects allow more than one domain name to access the same website.
301 redirect will perform a redirect to the primary website domain. The visitor will get a HTTP status 301 Moved Permanently and the browser will automatically be redirected to the primary website domain and then the website will be displayed as normal.
(Note that the HTTP status is processed by the visitor's browser and not actually seen by the visitor on their screen. Everything happens automatically without user interevention and very quickly.)
Common use for 301 redirects is if you have multiple corporate names or variations of the corporate name.
For example, you may have a primary website domain name "alphabetagamma.com". You can setup a 301 redirect "abg.com" so that anyone who also navigate to this URL will see the same website.
Common uses for 301 redirects is if the corporate name has permanently changed.
For example, the primary website domain name will be changed from "alphabetagamma.com" to "deltaepsilonzeta.com". You can setup a 301 redirect from "alphabetagamma.com" to "deltaepsilonzeta.com"
Another common use for 301 redirect is if your primary website domain name has not changed but the website has undergone a complete redesign with all new page URLs.
For example, the "Contact Us" page was previously "alphabetagamma.com/contact.aspx" and it has changed to "alphabetagamma.com/contact-us/". You can setup 301 redirect from the old URL to the new URL.
301 redirects can have positive impact on your website ranking in many search engines. Search engine spiders will transfer your page rank and update any back links to the old page onto the new page when you use a 301 redirect.
Note: You must acquire domain registry for the primary domain as well as the domain names you will use for 301 redirects.