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Reload this Page sedo policy change petition

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View Poll Results: What do you think of sedo's new updates? - auction page system and $50 min. fees
New sedo policies suck! change it back! 62 98.41%
The new policies are awesome! 1 1.59%
Voters: 63. You may not vote on this poll

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Old 12-11-2009, 07:16 AM   #51 (permalink)
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I personally think that the recent changes are driven by greed. They auction or broker just about every top domain sale and I don't believe they need to penalize their customers like this because of any financial reasons.
They have sqeezed the market simply because they can, the current financial crisis has just made it easier for them to do it.

And lets not forget the extra revenue they will prize from parking. I would like to bet they have seen a rise in members parking at sedo to save having to pay the extra comission, and we all know who gets the lions share of the ad revenue.
Last edited by exsedo; 12-11-2009 at 07:21 AM.
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Old 12-11-2009, 07:47 AM   #52 (permalink)
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The Sedo example is what happens when a business doesn't have serious competition to keep it in check.

Someone new will come along eventually and make them pull in their horns.....the sooner the better in my opinion.

Until then I urge everybody to do their domaining sales and ppc business elsewhere.
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Old 12-11-2009, 08:04 AM   #53 (permalink)
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Originally Posted by Samit View Post
Well, I've seen several businesses operate on a less than $6 "profit" per transaction and do just fine, they're not really small either, nor are they Indian - take McDonalds for one.
A large percentage of the folks who work for Sedo are programmers, and the average senior programmer in the USA earns $50-$100/hour. McDonalds workers are largely unskilled and barely manage to scrape together minimum wage. You can protest this inequity all you want, but trust me, if Sedo paid their programmers any less than $50-$100/hour, the programmers would quit the next day and have no problem securing that same salary elsewhere. Some call these upper-middle-class wages greed; others just think if it as territory that comes with working a skilled job, and one that's very much in demand.
????: NamePros.com http://www.namepros.com/domain-name-discussion/619228-sedo-policy-change-petition.html

Quote:
The difference in transaction value is 50 euros / 74 usd, on a 80 euro / 118 usd transaction, this is substantial. It chaffs me to the extent that I'd rather not transact for that particular domain at Sedo. If the buyer is domain savvy, he can contact me via whois to complete the transaction.

As for my own financial issues, its no better or no worse than millions of other SMBs out there. If I was desperate for cash, I'd take the 30 euro overflow and run, which I'm unwilling to do.
The vast majority of sub-$100 transactions are domainer-to-domainer, and as I stated there already exist numerous venues for conducting such transactions. It's not in Sedo's best interest to compete with these outlets. Further, if a domainer wants your sub-$100 domain name, he will almost certainly initiate contact you through whois anyway rather than use Sedo since he (1) knows how to use whois, and (2) knows he will probably squeeze a better price out of you that way since you won't have to pay any commissions.

Regarding domains you would be willing to sell for $100-$499 (small-business end-user territory): I think it is absolutely in your best interest to list such domains on Sedo in spite of the $50/50 EUR commission, because:

(1) The majority of small business owners are not domain savvy and don't know how to use whois, and many of the business owners who do may choose not to contact you out of simple inertia/shyness.
(2) Sedo.com provides an escrow service. Most end-users feel far more comfortable transacting through escrow services than with random strangers on the Internet (wouldn't you?), and are willing to pay for that extra measure of security.
????: NamePros.com http://www.namepros.com/showthread.php?t=619228
(3) Sedo.com provides an auction platform, so in the event someone makes you an offer, you could send it to auction and alert possible end-users for the domain name to that auction. This advantage alone adds more than $50 on average (though not necessarily in individual cases) to the amount you would have received had you listed on the domain via whois alone.
(4) Sedo makes it very easy to manage prices and to display those prices to end-users who view your website.
(5) You earn parking revenue with Sedo.

It's also very interesting that hardly a single domainer complained when EscrowDNS imposed their $25 minimum transaction fee (despite the fact they don't offer any of the end-user exposure services Sedo does), but they somehow expect Sedo to proffer the same escrow service for $6 a pop. Knocking Sedo has somehow become part and parcel of the domainer "cult". If Sedo suddenly disappeared off the face of the earth, maybe you all would appreciate the extent of what they offer the domaining community. Our domaining income is at least collectively 20% higher because Sedo exists.
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Last edited by JoshuaPz; 12-11-2009 at 08:12 AM.
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Old 12-11-2009, 10:14 AM THREAD STARTER               #54 (permalink)
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Not only the lower end autions are discouraged, with that little exposure on the front page and the incredible stupid way of finding all of the marketplace auctions now (the first time it took me over half a minute, while it was just one click before they changed it..) Little exposure means less bidders and lower prices.

Sedo made thousands in commission from just my auctions, I had many sales in the xxx and xxxx region this year, but the way they treat me as a customer is just horrible. i'm totally done with them and will take my business elsewhere.. not sure what the best new auction venue will be, but I'm sure someone is willing to take sedo's place.
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Old 12-11-2009, 12:05 PM   #55 (permalink)
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Yeah, Ms Domainer and Joshua speak from the brain, not the gut.

Of course most domainers want to pay the absolute minimum for everything, but let's face it, a broker service (esp ones that're needlessly forced into 'ping ponging' around) provided for potentially only 6 bucks is ridiculous, even factoring in all the commission raked in at the higher end. However 50 bucks, or worse, euros [why doesnt Sedo distinguish between these 2 currencies? Staggeringly weird] minimum is too high. The manifold deals of a few hundred bucks are a staple diet of many sellers, and bolster the rest of the economy on there.
????: NamePros.com http://www.namepros.com/showthread.php?t=619228

Make it 25 - ideal middle way, and it should help to discourage people from listing the likes of bestfluffytoyresources.org and mysmellyf@rtsrock.info
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Old 12-11-2009, 01:03 PM   #56 (permalink)
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Josh, simple question. Whats your minimum threshold for a domain you're willing to sell at Sedo for a $50 or Eu50 commission? 4x-5x at least?

Would you transact on a $100 offer w/ a $50 fee?

I have no issues selling a $50 domain for $250 w/ a $50 fee. But if I'm risking the reg / buy cost, why should I be ok w/ them getting the bulk of the rake of an 80 euro transaction? Its about the fairness of a system is all.

Plus, we're not really talking about what a programmer makes, but what the company makes. Now if you tell me that Sedo makes more than McDees, I'll have to pull out my calculator again.

They should be looking for more sales, not less sales, but then, its not my company, I'm just commenting on my perspective. And, I don't belong to any 'hate sedo cult', I'm just stating what I don't like about their new policy. I'm a 4 bar seller at sedo too, might count for something?

No one commented on the escrowdns raising the prices coz probably no one really noticed, how many people use it? I'm happy to shell out $25/$50 to escrow.com provided the sale value is worth it. Ditto for sedo.

I agree sedo should make a higher cut than $6 from each transaction, but realistically, how many sales do you think they have at that price point? $60 offers are usually sent to auction and 8/10 times they close higher. Not to mention the $500+ sales there which automatically get them the 'min' they want.
????: NamePros.com http://www.namepros.com/showthread.php?t=619228

As for other platforms - if you think Ebay or Bido or any of the other existing sales platforms will get you the same result, we obviously have different experiences.

All they seem to be doing it ensuring that the minimum purchase price of a domain on Sedo just went from $60 to $500, you might think its a smart move in this economy, I don't.
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Old 12-11-2009, 02:16 PM   #57 (permalink)
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IMHO this is a good policy. It's going to delist the many crap domains on the site and raise the awareness of quality domains.

I am sure they did the calculations before enacting this policy knowing full well how many cheap domains will be removed from their system.

Sellers have two choices.
1. Raise their price
2. Sell them elsewhere

If you choose to raise your price then Sedo makes more money.
If you choose to sell elsewhere it's very likely your domain is of low quality and not needed in their marketplace.

It's a win-win for Sedo, buyers and quality selling domainers.
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Old 12-11-2009, 02:30 PM   #58 (permalink)
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The one problem with that is there are millions of 'poor quality domains' at sedo so unless you pay for a featured listing, how will the mediochre, good and very good domains stand out ? I don't see any move to kick poor quality domains out of their system.
Another thing is domainer to domainer sales will probably work because we know what we are looking for, and how to search for domains. But what about end user sales ? They have made it harder to see what is on offer. So for the elitist it will maybe be better, but they already have a platform for elite domains.
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Old 12-11-2009, 03:21 PM   #59 (permalink)
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Originally Posted by JoshuaPz View Post
The vast majority of sub-$100 transactions are domainer-to-domainer, and as I stated there already exist numerous venues for conducting such transactions. It's not in Sedo's best interest to compete with these outlets. Further, if a domainer wants your sub-$100 domain name, he will almost certainly initiate contact you through whois anyway rather than use Sedo since he (1) knows how to use whois, and (2) knows he will probably squeeze a better price out of you that way since you won't have to pay any commissions.
This makes absolutely no sense. You state that the vast majority of sub-$100 transactions are domainer-to-domainer, but then you go on to give compelling arguments as to why no domainer would buy a sub-$100 on Sedo.

Originally Posted by labrocca
IMHO this is a good policy. It's going to delist the many crap domains on the site and raise the awareness of quality domains.

I am sure they did the calculations before enacting this policy knowing full well how many cheap domains will be removed from their system.

Sellers have two choices.
1. Raise their price
2. Sell them elsewhere

If you choose to raise your price then Sedo makes more money.
If you choose to sell elsewhere it's very likely your domain is of low quality and not needed in their marketplace.

It's a win-win for Sedo, buyers and quality selling domainers.
Personally, I don't think it'll work out this way unless they start charging a yearly membership fee like Afternic did. As long as it's free, there's no harm in listing as many crap domains as you want. And hell, why not raise your prices on the offshoot that one of your crap domains might sell? So, now instead of Sedo being full of crap domains listed for $60, it's going to be full of crap domains listed for $500. I really don't think this will help their "quality" image in the long run. Real buyers will be put-off by not only the crap domains, but also the ridiculous asking prices and they'll turn elsewhere. It'll basically become like Ebay.

If their goal really is to clean up the place, then I support that effort, but I think they're going about it in a half-assed way. If they want to change anything in that regard, they'll need to start charging membership fees and honestly I don't think they have enough testicular fortitude to make that move.

Also, for those people saying that Sedo isn't making profit off of $6 commissions... You act like the transfer agents really spend a lot of time on a single domain, or that they get paid a decent wage. They aren't high-end programmers... They're CSR. They probably make $9-12 an hour sitting at a computer answering a queue, pushing buttons to send off automated email responses. In any given hour, they probably touch base on 50-100 transactions (who knows)... Occasionally, they might have to write an email or make a phone call. They just sit back and wait for the buyer and the seller to do the work and then verify that it's been done. Just because a transaction takes 2 months to complete doesn't mean the Sedo reps spent anymore than 5 minutes total on that transaction.

People can poo-poo $6 commissions all they want, but when you have mostly-automated processes handling major volume, it adds up and I wouldn't be surprised if it comprises a major part of their income. I think when people start raising their minimum prices and sales start to decline considering in that area, Sedo is going to notice their bottomline shrinking.
????: NamePros.com http://www.namepros.com/showthread.php?t=619228

I think they've probably been hit by the economy and their poor business management over the past how many years is starting to catch up. I think they're making this move, because they figure if they eliminate the small transactions, they can eliminate staff and try to cut down on some overhead, tightening up the company and working towards smaller volume with higher returns. It makes sense, don't get me wrong... But this is a strategy that should ideally be applied when a company is experiencing growth. When you have enough coming in from the top, you can scale upwards... But when you're falling down, you can't cut your legs out from under yourself and expect to just start floating...
Last edited by Ronald Regging; 12-11-2009 at 03:43 PM.
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Old 12-11-2009, 07:40 PM   #60 (permalink)
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Quote:
If their goal really is to clean up the place, then I support that effort, but I think they're going about it in a half-assed way. If they want to change anything in that regard, they'll need to start charging membership fees and honestly I don't think they have enough testicular fortitude to make that move.
I agree but I like to offer differing opinions whenever possible. Who knows how this will effect the domainer community overall but as some say this might drive more domainer to domainer sales but in places like forums and ebay.
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Old 12-11-2009, 08:13 PM   #61 (permalink)
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I agree......Classic case of confused objectives.


Sedo declare on the front page that they are a:


'Full Service Domain Marketplace' - ie:


* Buy

* Park

* Sell

...ie be all things to everyone...


The result is they are in danger of not being anything important, to anyone....


Golden rule in business is to know exactly what your KEY Unique Selling Proposition (USP) is - then, centre your primary market positioning around that USP.

If you offer multiple services, then you've got to decide which is your KEY service, your core business - If you try to push several services equally, you generally dilute your impact for ALL your markets.


I think Sedo have fallen into this trap, with this design.


What does Sedo make most of its money from?...Auctions?...Parking?...Selling & brokerage?


Problem with this site design is, none of those services are easy for the customer.....Sedo doesn't appear to stand for anything, in particular, anymore.


It'll mean LESS trade for Sedo, in ALL categories.


I suggest they decide what is really their core business - and, build the entire site around that.


...Not some hybrid 'all things to all people' diluted concept.
????: NamePros.com http://www.namepros.com/showthread.php?t=619228

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Old 12-11-2009, 09:26 PM   #62 (permalink)
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They might as well just turn their site into a search engine, because it'd probably take the use of one to find what you're looking for.
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Old 12-12-2009, 08:14 AM   #63 (permalink)
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Ironically, Sedo means search engine for domain offers
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Old 12-12-2009, 01:29 PM   #64 (permalink)
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Not necessarily a bad move for Sedo.

This should help curb the garbage domains listed for $60 since it now leaves about reg fee profit. I'm sure Sedo doesn't mind losing these domains the Garbage-O-Rama sites that have popped up since they just distract from the decent quality domains.
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Old 12-12-2009, 10:36 PM   #65 (permalink)
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I don’t know what those are saying scrap domains, buyer is a ready to pay 60+ for a domain and using it for developing a website or holding it for reselling, it surly have value in the eyes of buyer.

Also take example of Amazon, site sells earfoams to products worth $XXXXX, but all the invoice works are same, but for earfoams their profits may be less than $1 still they do the same process and preference to each order. Or go to any other shopping sites they also selling low value items to high value. Companies profit is not decided by individual sale but volume of sale.
????: NamePros.com http://www.namepros.com/showthread.php?t=619228

Even sedo able to make minimum of $6 from each sale then even it make major difference in their profit. Their new approach is already reflected on auctions page views, previously avg running auction having 600-700 views, currently it showing 50-60 views and it clearly affected on no of bids.
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Old 12-12-2009, 11:29 PM   #66 (permalink)
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i once read they are like the government ...... we need them , i think this is a sign of the big guy forgetting the little guys who got them where they are today , i will add my vote in the belief it will make no difference , it seems i have to make all my domains $500 and slowly watch them expire , i do have an afternic account which at this point seems like $20 wasted dollars .... so i am unsure which is the lessor of 2 evils ????

---------- Post added at 05:29 PM ---------- Previous post was at 05:26 PM ----------

..... cant vote if poll is closed
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Old 12-13-2009, 10:25 AM   #67 (permalink)
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Originally Posted by sdsinc View Post
Ironically, Sedo means search engine for domain offers
Sedo (pronounced See Do and not Seddo as I first thought) also own Seedo.com and used to have it forwarded to their homepage but it hasn't been resolving for the last couple of months. They can't even get that right lol. Seriously though, I've been happy with Sedo but that $50 minimum will deter me from sending some names to auction which I otherwise might have done.
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Old 01-24-2010, 08:35 PM   #68 (permalink)
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Down with Sedo, Up with new auction alternatives


No question this new policy sucks and will hurt Sedo's business volume.

Basically they seem to be discouraging sales of names under $500 which has got to be the bulk of the market...

Time for more competing auction platforms?
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Old 01-24-2010, 08:42 PM   #69 (permalink)
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Between this policy change and the new layout, I think SEDO has taken a step backwards.

I have noticed auctions that used to get 700 - 1000 views on the old format are consistently getting 200 - 350 hits now with fewer bidders. The new SEDO layout is just not as user-friendly.

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Old 01-25-2010, 10:33 AM   #70 (permalink)
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trsaso is a splendid one to beholdtrsaso is a splendid one to beholdtrsaso is a splendid one to beholdtrsaso is a splendid one to beholdtrsaso is a splendid one to beholdtrsaso is a splendid one to beholdtrsaso is a splendid one to beholdtrsaso is a splendid one to behold
 




Sorry Sorry wrong place.
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