| | |||||
| ||||||||
| Industry News Reporting and discussion of the latest news affecting the Internet industries. |
![]() |
| | LinkBack | Thread Tools |
| | THREAD STARTER #1 (permalink) |
| Blog of GoDaddy's CEO Join Date: Aug 2005 Location: GoDaddy.com
Posts: 79
![]() | |
| |
| | #2 (permalink) |
| NamePros Admin ![]() ![]() ![]() Join Date: Feb 2003
Posts: 12,919
![]() ![]() ![]() ![]() ![]() ![]() ![]() ![]() ![]() ![]() ![]() | "Domain kiting" as Bob calls it is also known as "Domain tasting" Ref: http://www.icannwiki.org/Domain_tasting
__________________ Reach me at rj at namepros dot com |
| |
| | #3 (permalink) |
| Senior Member Join Date: Oct 2004
Posts: 1,253
![]() ![]() ![]() ![]() | Bob is great for the business. There is always someone who finds a way to abuse any system or process, other than the way it was originally intended. He noted the same problems with .eu registrations. This world is never going to be a perfect place but this type of manipulation should be stopped because it does nothing for the industry, it hurts us to have practices like these in place. Thanks Bob for pointing out that which is unknown to most of us. Cheers. |
| |
| | #4 (permalink) |
| NamePros Member Join Date: Apr 2006 Location: EU
Posts: 52
![]() | Nice reading. Hope it helps to sort out the things. Thanx for sharing.
__________________ %%- Property.HighTatras.eu (The right property for You!) |
| |
| | #10 (permalink) |
| NamePros Regular Join Date: Feb 2006
Posts: 232
![]() ![]() ![]() ![]() ![]() ![]() ![]() ![]() | The $0.50 - $1.00 Solution As has been said before, to put a lid on this just make $0.50 - $1.00 non-refundable when a domain is registered. That way if a mistake is made it can be corrected with only a small charge. |
| |
| | #11 (permalink) | ||||||||
| NamePros Regular Join Date: Oct 2003
Posts: 611
![]() ![]() ![]() ![]() ![]() |
Ok, well think about things for a moment. Using Bob's numbers for Dotster in example, and guesstimating a few things. If they split up the buys into full 5 day segments they would have registered about 1,920,000 names every 5 days. To finance this they would require a float in the area of $12,500,000 In the end they kept 68,400 names. So their total cost would be roughly $444,600 assuming $6.50 a name. Now, I know that another company in the tasting business was keeping any name that received a single hit when they were testing it. To register 68k names I have to assume Dotster is on a similar plan. That means two things. 1. Any name that received a visit was registered. 2. Any clicks that generated revenue are rightfully paid to the owner of the domain. Another thing to consider is the fact that to run a float of $12,500,000 costs money. $12,500,000 minus $444,600 = $12,055,400 Interest generated in a month with a conservative investment return of 2.5% in a GIC on the $12,055,400 works out to $271,246.50 I am confident in saying that there is no way that they made that in clicks on the names they let expire. I think my math is correct, so if there are any mistakes I'll say sorry up front.
????: NamePros.com http://www.namepros.com/showthread.php?t=196514 There is a very large amount of credit card fraud involved with domain registrations. With margins very low as is even a $0.25 charge would penalize registrars quite significantly. This is possibly one of the reasons Bob Parsons is fighting testing, maybe he suspects that ICANN will put in this sort of fee for deletes? | ||||||||
| |
| | #12 (permalink) |
| Senior Member Join Date: Feb 2005 Location: Ohio, USA
Posts: 1,436
![]() ![]() ![]() ![]() ![]() ![]() ![]() ![]() ![]() ![]() ![]() | I can't speak to the accuracy of your numbers or whether or not they make a nice profit by doing this, but trust me, they're doing it. I see it happen every day on domains I monitor. The names are picked up, dropped 5 days later, picked up again, dropped again, etc, etc. They wouldn't do it if it wasn't profitable. |
| |
| | #13 (permalink) |
| Guest
Posts: n/a
| do away with the whole canceling domains policy, i mean if you reg it, you keep it, that is the policy i would use. You think domain kiting is only a registrar problem its a domainer problem also. Domainers find a "gem" and reg it and then promote the hell out of it for a day and decide it was no the 'gem' they thought it was so there they go back to the registrar for their refund. Or i guess a 12 hour time period might be alright where you can get your refund |
| | #15 (permalink) | ||||
| Senior Member Join Date: Feb 2006 Location: az
Posts: 1,429
![]() ![]() ![]() ![]() ![]() ![]() |
__________________ .::: e-nic.com :::.- semperfidelis.com - stow.org - shopbooks.com - and more.... | ||||
| |
| | #17 (permalink) |
| Senior Member ![]() ![]() Join Date: Apr 2005 Location: .ma.us
Posts: 1,883
![]() ![]() ![]() ![]() ![]() ![]() ![]() ![]() | You can also here about domain tasting in my interview with Jay Westerdal on Radio Namepros
__________________ GEO & Travel Domains For Sale - MUST SEE! Chinaphobia.com - WorldRails.com - RussianReserves.com |
| |
| | #19 (permalink) |
| Account Suspended Join Date: Feb 2006
Posts: 2,107
![]() ![]() ![]() ![]() ![]() ![]() ![]() ![]() | Would'nt a simple solution be to implement a rule that once a domain is registered there follows a 5 day "inactive window" period before the domain is actually activated.That 5 day period would be the same period where you can still get a refund of course. But as soon as the domain is activated after those 5 days no more refunds can be applied for. |
| |
| | #20 (permalink) | ||||||||
| NamePros Regular Join Date: Oct 2003
Posts: 611
![]() ![]() ![]() ![]() ![]() |
Of course they do it, and of course they find it profitable based on their business plan and acceptable ROI. In Bob Parsons's blog, he is saying that the companies doing this are registering names, making money from the traffic on the names in the 5 day trial, then subsequently deleting them for the full credit back, essentially generating free money. If this was what was actually happening, why would they not continuously register, drop, re-register, drop, re-register etc? They are looking for names that generate traffic or revenue. If they find a domain that has any traffic or generates any clicks they register it. .
I'm pretty sure that the 5 day period was never intended for registrants, it was intended for registrars. Some fraudulent purchase attempts do go through initially. These purchases are only discovered to be fraudulent on further examination of the account at the registrar and verification of the credit card by phone etc. So say a person who has a compromised credit card number makes a purchase of 10 domain names, the order goes through because the card hasn't been deactivated yet or the credit card processing company does not flag the number for whatever reason and allows the purchase. When the registrar reviews the purchase and discovers that the purchase was made on a compromised credit card number they will immediately credit the purchase back to the card in order to avoid a chargeback and the associated costs, they also delete the domain names so that they don't have to pay $65 for the domains that were registered fraudulently. If there was no system for returns the registrar would be forced to pay for the domains out of their own funds. ????: NamePros.com http://www.namepros.com/showthread.php?t=196514 If there was something put into place where there were no deletes allowed, you could pretty well guarantee that the cost of domains would increase everywhere in order for registrars to protect themselves. Alternatively, systems of pre-qualifying buyers would have to be put into place. Neither are very good options in my opinion.
Last edited by Smith; 05-21-2006 at 04:43 AM.
| ||||||||
| |
| | #21 (permalink) | ||||
| Senior Member Join Date: Feb 2005 Location: Ohio, USA
Posts: 1,436
![]() ![]() ![]() ![]() ![]() ![]() ![]() ![]() ![]() ![]() ![]() |
Domain kiting registrars abuse the 5 day refund period to work their scheme. After a domain name is registered, a registrar has five days to cancel a domain name registration – i.e. drop the name – and get their money back. Domain kiting registrars abuse this rule and cancel the lion’s share of the names they register just before the five day period expires – so they get their money back. But then something unexpected happens. After names are cancelled or dropped, the domain kiting registrar goes out and immediately registers the same names again. The domain kiting registrar will then put the same simple Web site back up for each domain name, wait another five days and then cancel all the names again — just in time to get a full refund. And for most names caught up in the domain kiting scheme, this process will repeat itself over and over and over. | ||||
| |
| | #23 (permalink) |
| NamePros Regular Join Date: Oct 2005
Posts: 879
![]() ![]() ![]() ![]() | basically this means to the small domainer that there will be no good names to register because the big companies have tested or tasted them all out
__________________ Best Buy Coupons 2011 |
| |
| | #24 (permalink) | ||||
| Senior Member Join Date: Feb 2005 Location: Ohio, USA
Posts: 1,436
![]() ![]() ![]() ![]() ![]() ![]() ![]() ![]() ![]() ![]() ![]() |
????: NamePros.com http://www.namepros.com/showthread.php?t=196514 Actually, it's still possible to register good names from the drop lists but you need to snag them inbetween "tastes". This can be difficult at times. | ||||
| |
| | #25 (permalink) | ||||
| Senior Member Join Date: Aug 2003 Location: SW Ohio
Posts: 4,015
![]() ![]() ![]() ![]() ![]() ![]() ![]() ![]() ![]() ![]() ![]() |
In addition, I'd bet most of the paid clicks are benefiting spammers and scammers as well, if not outright click fraud.
__________________ AdoptableDomains.com ~~~~~Finding Good Homes for Good Names~~~~~ FuelPrices.mobi - Fish.us - ManhattanNewYork.net - Salesmen.info - SoundSystems.org Dickering.com - JobPlacement.biz - LotteryTickets.ws - Deleted.cc - Names.im - MP3.hn | ||||
| |
![]() |
| Currently Active Users Viewing This Thread: 1 (0 members and 1 guests) | |
| Thread Tools | |
| |