new gtlds Are new gTLDs hurting ".com" investors' business?

[guillon]

As a fan of new gTLDs, I frankly admit that I like to tease ".com" domainers but I often note that it then turns to "hate" so I wonder what is the reason for this. The number one reason why some people hate new gTLDs so much is - to me - that it hurts their business (and I totally understand this) but if this reason is wrong, then, what is it?

 

[New.Life]

Dot Com lost about $120,000 of my USD, because I invested them in new gTLD.
I don't have .horse domain, and I have only one .xyz - USA.XYZ

Are new gTLDs hurting ".com" investors' business?

- Yes! Sorry!

p.s. I'm the End user.

 

[lambo.com]

Dot Com lost about $120,000 of my USD, because I invested them in new gTLD.
I don't have .horse domain, and I have only one .xyz - USA.XYZ

Are new gTLDs hurting ".com" investors' business?

- Yes! Sorry!

p.s. I'm End user.

Wow, what an investment in new gtlds that is. By the way, I've got these amazing air guitars just in, I'll do you a cracking deal. Let me know.

 

[jmcc]

I believe new TLDs are hurting average .COM domains because the largest consumers of domain names are domain investors.

I am not sure that this is the case. Most of .COM is businesses registering their domain name in the TLD and also their local ccTLD where possible. There is a speculative element to .COM and it, along with discounting, has brought the renewal rate on new registrations down to approximately 55% from a high of about 74%.

The biggest temporary impact of new gTLDs would have been to non-core gTLDs (NET/ORG/BIZ/INFO/MOBI/ASIA) where speculative registrations were high. The high prices, in comparison to .COM, of the new gTLDs almost flatlined some new gTLDs in their land rush periods. The .COM is still a bluechip TLD and is likely to remain so for a while yet. The .NET has been on a downward trend for some years as have .ORG and .BIZ. The .INFO has been a boom and bust gTLD and is almost .XYZ's big brother.

The problem with looking at a TLD through a domaining lens is that it misses the wider trends in a TLD. There has been a .COM/.ccTLD consolidation over the past few years that has been largely missed by domainers. In country level markets, registrations in the local ccTLDs have been, typically, overtaking .COM registrations. At a global level, .COM is continuing to grow but the roots of its market are changing in a way that will eventually filter through to the global .COM market.

Regards...jmcc

 

[jmcc]

But end users already had plenty of options before, like alt TLDs such as .biz or ccTLDs - repurposed or not. .io or .ws suck but they are no worse than many of the nTLDs we are seeing today.

A good point, Kate.
I think that of the repurposed ccTLDs, only .CO and .TV would be closest to the new gTLDs. The reason for this is that most new gTLDs, apart from the brand and generics, are actually domain hacks on a large scale.

And it's not so easy to buy good keywords in nTLDs, as many were either reserved by the registries or scooped up by speculators. The end user is often back to square one, having to pay a premium for a 'good' domain. It's no wonder the registries are the power sellers in this business.

What worries me about the premium market in non-generic NGTs is that these premiums are following .COM rules rather than a set of rules more applicable to the gTLD in question. Thus they are a false market based on .COM rather than on the value of the NGT. At worst, it ends up producing registrations that are, in reality tulip domains based on unrealistic expectations and valuations.

Regards...jmcc

 

[dordomai]

Dot Com lost about $120,000 of my USD, because I invested them in new gTLD.
I don't have .horse domain, and I have only one .xyz - USA.XYZ

Are new gTLDs hurting ".com" investors' business?

- Yes! Sorry!

p.s. I'm the End user.

last time you hadn't developed anything other than an adsense clickfarm type site with 5 pages.

you also said that you had not developed anything before in your life.

you are a speculator not an end-user unless you earn significant revenue with your sites.

how much revenue from development do you have vs. domain renewal fees and purchase prices?

my guess is zero revenue from development vs. 5-6 figures in the red from domain speculation. The type of end-user the registries love.

 

[jmcc]

my guess is zero revenue from development vs. 5-6 figures in the red from domain speculation. The type of end-user the registries love.

Actually, the registries would prefer non-domainer registrations. It sounds odd but non-domainer registrations tend to renew and keep renewing. At the worst, some madly speculative registrations from newbie domainers and domainers who should know better tend to be one year wonders. They provide shortterm regfees but nothing else. The majority of these domain names don't get reregistered either. In order to have a sustainable business, a registry needs to build a core market of registrations that keep getting renewed. If it does not, it gets stuck in a boom and bust cycle like .XYZ or .INFO and ends up being dependent on one year registrations and promotions to survive.

Regards...jmcc

 

[Asfas1000]

Actually, the registries would prefer non-domainer registrations. It sounds odd but non-domainer registrations tend to renew and keep renewing. At the worst, some madly speculative registrations from newbie domainers and domainers who should know better tend to be one year wonders. They provide shortterm regfees but nothing else. The majority of these domain names don't get reregistered either. In order to have a sustainable business, a registry needs to build a core market of registrations that keep getting renewed. If it does not, it gets stuck in a boom and bust cycle like .XYZ or .INFO and ends up being dependent on one year registrations and promotions to survive.

Regards...jmcc

Sure they prefer end-users , but an end user will reg 1 domain, while the domainer will reg 100.....

 

[jmcc]

Sure they prefer end-users , but an end user will reg 1 domain, while the domainer will reg 100.....

A domainer will register 100 domains, probably drop all of them because the gTLD turns out not to have the same kind of sales opportunities as .COM and then move on to the next big thing and register 100 more domains. A registry needs repeat business and while domainers can give a boost to a new gTLD, too much speculation and too little development will kill a new TLD. Getting the balance right, at registry level, is difficult.

Regards...jmcc

 

[Asfas1000]

A domainer will register 100 domains, probably drop all of them because the gTLD turns out not to have the same kind of sales opportunities as .COM and then move on to the next big thing and register 100 more domains. A registry needs repeat business and while domainers can give a boost to a new gTLD, too much speculation and too little development will kill a new TLD. Getting the balance right, at registry level, is difficult.

Regards...jmcc

If we put it purely on a monetary basis, a domainer outperforms a typical end-user.

Domainer : 10-100 x reg.fee (ie. 10-100 domains x 1 year)
End-user : 3-10 reg.fee (ie. 1 domain x 3-10 years)

A registry would want the reg volume of a domainer and the renewal consistency of an end user

 

[dordomai]

If we put it purely on a monetary basis, a domainer outperforms a typical end-user.

Domainer : 10-100 x reg.fee (ie. 10-100 domains x 1 year)
End-user : 3-10 reg.fee (ie. 1 domain x 3-10 years)

A registry would want the reg volume of a domainer and the renewal consistency of an end user

the new registries prefer end-users and noob speculators.

 

[GoKaizen]

No mainstream registry has gotten this right.

A registry needs repeat business and while domainers can give a boost to a new gTLD, too much speculation and too little development will kill a new TLD. Getting the balance right, at registry level, is difficult.

Regards...jmcc

They are hoping selling dreams to investors will turn into end-users.

the new registries prefer end-users and noob speculators.

 

[jmcc]

No mainstream registry has gotten this right.

Actually some of the new gTLDs have and many of the ccTLD registries have too.

They are hoping selling dreams to investors will turn into end-users.

Sometimes I wonder if the domain search facility on HosterStats is a database of broken dreams.

The stats for the new gTLDs for June aren't exactly encouraging. 1,080,287 new regs and 1,609,439 deletions. And later this month should be quite interesting.

Regards...jmcc

 

[GoKaizen]

Even you admitted @jmcc it is still .com/cctld.

It isn't looking good. Once the spam, investors, etc. clears out what are these extensions left with?

Actually some of the new gTLDs have and many of the ccTLD registries have too.

Sometimes I wonder if the domain search facility on HosterStats is a database of broken dreams.

The stats for the new gTLDs for June aren't exactly encouraging. 1,080,287 new regs and 1,609,439 deletions. And later this month should be quite interesting.

Regards...jmcc

 

[jmcc]

Even you admitted @jmcc it is still .com/cctld.

Increasingly .ccTLD/com, Adam,
But the momentum at a global level is still with .COM TLD.

It isn't looking good. Once the spam, investors, etc. clears out what are these extensions left with?

Development, brand protection and some new registrations every month for the next five years or so until some of them begin to find their niche. Strange as it sounds, losing investors and some domainers can be a good thing for a new TLD as it will increase the visibility of developed sites. However, there is still a downside in that many new undeveloped domains go straight on to PPC because of the registrars' automated systems. In terms of deletions, PPCed domains in new gTLDs have a high percentage but the For Sale domains tend to delete at a higher rate. It is classic new TLD behaviour.

It is only some new gTLDs that are bucking the trend and having good renewal rates. Some of them are geo gTLDs and these are beginning to resemble ccTLDs.

Regards...jmcc

 

[offthehandle]

https://mobile.twitter.com/thedomains/status/881654978930253827/photo/1

62% parked

 

[offthehandle]

Once the spam, investors, etc. clears out what are these extensions left with?

What will be left will be the nTLD snakeoil club promoters kicking the can down road looking for more suckers dreaming up new scams, schemes and pitches to the unwary. Just like the pump and dump, wall street penny stock scams. They will do like all failed product lines under one corporate umbrella, they will fund continuous operations of the failed with profitable side of the business. In this case: .Com.

 

[dordomai]

https://www.thedomains.com/2017/07/02/inta-study-shows-new-gtld-registrations-defensive

here the truth about sales:

REGISTRATION ACTIVITY IS HEAVILY DEFENSIVE
Registrations of new TLDs were overwhelmingly made for defensive purposes—to prevent someone else from registering it. As such, few (10%) felt there were alternative domains to consider—whether registering a New, Legacy or ccTLD.

end-users mostly don't buy nGTLDs for development. myth busted.

the new extensions are a ghost town. TM protection and speculation mostly. just like .mobi

 

[dordomai]

maybe someone should launch a .noob extension:

features:

- 1 cent the first year
- autorenewal can't be turned off.
- high renewal fees
- renewals fluctuate on a daily basis
- gets more expensive each year
- good terms either massive premiums or reserved
- no end-user demand
- poor potential for valuable combos
- registry takes back name if any profit potential whatsoever.
- promises you to get rich quick from buying their names

 

[deez007]

Anyone that has been keeping an eye on the ICO / Crypto market will know that many of the top ICO's are launching on nGTLD's...

Case in point:

Block.one

They also just have annoucned that they raised $180 million on their ICO (EOS.io) breaking previous record of $150 million held by another ICO.

Common practice for ICO's to use nGTLD's.

 

[JB Lions]

Common practice for ICO's to use nGTLD's.

That's not true.

I just went thru the 25 ongoing ICOs here - https://tokenmarket.net/ico-calendar

It's mostly .com or .io

.com - 11
.io - 8
.org - 3
.net 1
casino - 1
network - 1
es - 1
ai - 1

and .io is not a new gtld, some people have tried to slip it in with them

 

[deez007]

That's not true.

I just went thru the 25 ongoing ICOs here - https://tokenmarket.net/ico-calendar

It's mostly .com or .io

.com - 11
.io - 8
.org - 3
.net 1
casino - 1
network - 1
es - 1
ai - 1

25 ongoing ICO's?

So you base your "research" on 25 ongoing ICO's and claim my statement is not true?... do you know how many ICO's are currently running, how many are schedueld and how many have run already? What do you know about ICO's? Are you actively part of the Cryto community?

https://icotracker.net/past

Even that link doesn't come close to covering all of them...

 

[JB Lions]

25 ongoing ICO's?

So you base your "research" on 25 ongoing ICO's and claim my statement is not true?... do you know how many ICO's are currently running, how many are schedueld and how many have run already? What do you know about ICO's? Are you actively part of the Cryto community?

https://icotracker.net/past

Even that link doesn't come close to covering all of them...

That link 60 icos, about 16% new gtlds, still mostly .com and .io.

"Are you actively part of the Cryto community?"

You have to be part of the Cryto community, whatever that means, to see the domain extension being used?

 

[deez007]

"

That link 60 icos, about 16% new gtlds, still mostly .com and .io.

"Are you actively part of the Cryto community?"

You have to be part of the Crypto community, whatever that means, to see the domain extension being used?

Hmmmm okay lets back track cos clearly there seems to be an issue with your interpretation of English.

Let me assist you with that.....

My statements were:

"many of the top ICO's are launching on nGTLD's.."

AND

"Common practice for ICO's to use nGTLD's."

You claim that my statements are untrue.... explain to me where I said that ICO's are predominantley using nGTLD's, where did I say it was the Dominant choice? I said COMMON practice, meaning it's not rare!

So both my statements are perfectly accurate.

Furthermore, in your world .IO is not a new GTLD... everyone knows that it's no longer considered a normal ccTLD and that it's being used as a generic...
"Google treats .IO as gccTLD, so you won’t fall prey to unwanted geo-targeting
Worried about the range of your search results if you use a ccTLD? While it could be a valid concern for some country-code domain names, Google has categorized .IO among its group of gccTLDs, or Generic Country Code Top Level Domains. Because Google recognizes that individuals and businesses outside of the British Indian Ocean Territory use this domain ending, they will not specifically target that geographic region when your business comes up in search results'
http://www.name.com/blog/domains/2016/06/why-io-powerful-domain-choice/

Then your comment:
"You have to be part of the Cryto community, whatever that means, to see the domain extension being used?" - No, being part of the Crypto community gives you far more insight on what the market is doing than a narrow minded domainer with a one track mind, who probably had to Google what ICO even means.

 

[JB Lions]

"

Hmmmm okay lets back track cos clearly there seems to be an issue with your interpretation of English.

Let me assist you with that.....

My statements were:

"many of the top ICO's are launching on nGTLD's.."

AND

"Common practice for ICO's to use nGTLD's."

You claim that my statements are untrue.... explain to me where I said that ICO's are predominantley using nGTLD's, where did I say it was the Dominant choice? I said COMMON practice, meaning it's not rare!

So both my statements are perfectly accurate.

Furthermore, in your world .IO is not a new GTLD... everyone knows that it's no longer considered a normal ccTLD and that it's being used as a generic...
"Google treats .IO as gccTLD, so you won’t fall prey to unwanted geo-targeting
Worried about the range of your search results if you use a ccTLD? While it could be a valid concern for some country-code domain names, Google has categorized .IO among its group of gccTLDs, or Generic Country Code Top Level Domains. Because Google recognizes that individuals and businesses outside of the British Indian Ocean Territory use this domain ending, they will not specifically target that geographic region when your business comes up in search results'
http://www.name.com/blog/domains/2016/06/why-io-powerful-domain-choice/

Then your comment:
"You have to be part of the Cryto community, whatever that means, to see the domain extension being used?" - No, being part of the Crypto community gives you far more insight on what the market is doing than a narrow minded domainer with a one track mind, who probably had to Google what ICO even means.

Common practice actually means - "something that is done a lot and is considered normal" That would more refer to .com and .io. Yes, some icos are using new gtlds as well.

Not sure what your link to the name.com blog about .io is about. I said it's not a new gtld, it's not. What's to discuss there? Oh, "in your world .IO is not a new GTLD" haha, it's not.

And then the stuff about crypto community, really all you need is eyeballs in your head to see what extensions are being used. From the link you sent me, about 16% new gtlds. If you want to use a bigger data set, go ahead and feel free to post the results.

 

[deez007]

Common practice actually means - "something that is done a lot and is considered normal" That would more refer to .com and .io. Yes, some icos are using new gtlds as well.

Not sure what your link to the name.com blog about .io is about. I said it's not a new gtld, it's not. What's to discuss there?

And then the stuff about crypto community, really all you need is eyeballs in your head to see what extensions are being used.

I have said it many times before. Your make it a habbit to comment on any thread related to nGTLD's it's like you feel the need to constantly thrash talk anything related to nGTLD's. It's a total waste of time because you have a one track mind on the matter... Your eyeballs in your head are unfortunatley only trained to see and take notice of what you want it to see.