Thanks for your question,
@Vinay Pandit. I am sure you will, as already, get mainly no.
I would answer that it may seem a simple question, but like most good questions, the answer is complex. I would suggest the following.
- Traditionally the vast majority of sales and revenue are in .com (with .net and some cc important but far behind). That has remained so over many years, including the few since the majority of new extension introductions.
- The odds of any particular name selling is low in any extension, but is lower in new extensions than com/net by some factor of the order of 4 or 5 - i.e. it is harder currently to sell ngTLDs
- It is true that if you compare only to net/org and scale those and the ngTLDs with how many domains are registered/forsale, that the revenue per domain in 2018YTD is similar (slightly favour new extensions). If you take out the 55% or so of that revenue that is registry, then net/org lead but not by much actually.
- When they do sell, even when you take out the registry sales of premiums, the average prices paid are similar. For example if we use only Sedo sales here are the average sales prices (data almost up to date did this fora post a few weeks ago): com $4776; co $4426; io $3889; tv $3516; org $3305; all ngTLDs $3106; net $3086; info $2243; biz $2096. If you take the whole market (i.e not just Sedo) average sales prices for ngTLDs are higher than legacy although extracting registry sales is challenging.
- Even taking into account the above, there can be good reasons to invest in ngTLDs such as you want to diversify a portfolio since this business is hard to predict, you see an opportunity with a specific domain, you see opportunities to open up new markets for domains (e.g. domain phrases in marketing as done by Names.of.London), or you have niche expertise particularly related to one or more off the new extensions. I do see that there are some hopeful signs in new extension trends.
- IF you do decide to invest in ngTLDs it is important to see what is selling. While some multiple words have sold for good amounts (like AirConditioning in online this month), most that sell are single word or short acronyms and mainly where the single word matches the extension well (e.g. pure_gold or live_fit from the last month), or the single word is highly valued (e.g. blockchain or casino). NameBio can be readily used to generate a list of what has sold in ngTLDs in 2018. You may find my monthly new extension sales analysis reports helpful too (e.g. most recent one at this link). I would also read the ngTLD appraisal thread by @lolwarrior here on NamePros for advice.
- If you do seriously consider entering new extensions it is important, as with all areas of domain investment, to do your research before jumping into many domains. I would urge you to analyze and follow sales in new extensions for a while before deciding whether to purchase.
I have tried to answer the question in a balanced and objective way. If I was giving a "pro new extension" view on why you should, I could have done so (and have
here and
here among many others
).
If your main reason for considering new extensions is because you are finding it difficult to find good net, I would probably not move into new extensions (although it might be a reason to consider org or co or io or something else for part of your portfolio). If you want to add a few quality new extension domains to help diversify your domain portfolio, that makes perfect sense to me. Below is the balanced advice re new domain extension that I ended
my last monthly report with:
"It is still prudent to be cautious with investing in these extensions, and still true that overall the return on investment seems better in .com. The difference is narrowing, however, and if the comparison is with other legacy extensions, or country code extensions, the case for new extensions could be made (although is still arguable)."
The very best wishes for your continued success in the domain business, no matter what you choose to do!
ps I have answered this using ngTLD for the new extensions introduced in the last 4 years, as is normally done. I note that the OP, and some others, use the term more generally for all extensions outside the main legacy ones. I note that the OP included .co in the list, but that is not a new extension (a general availability cc). Nor are things like .pro, .biz, etc. that were earlier introduced.