news Dan.com to increase comission from 9% to 15% effective Feb 1st 2023

[MadAboutDomains]

Just received this email from Dan.com about commission increases (snippet of email):

Thoughts?

 

[Recons.Com]

This is an alignment of commissions across the GoDaddy aftermarket. You can read more about this move here: https://www.afternic.com/sales-acceleration

The increase of commission to 25% for no lander names is unfair, unjustified, uncalled for. They should keep it at 20% for those.

 

[Vivere]

One thing:

The old commission structure DAN included in their first table isn’t quite correct (?).

Afternic has (or had) a flat commission rate of 20% for all sales within the $0 - $5k range, but sales above $5k had tiered commission structures that all amounted to less than 20%. So, a $60,000 sale at Afternic wouldn’t have had a 20% commission rate and a payout of $48,000; it would've had a 12.5% commission rate and a payout of $52,500.

This update (if the 15% commission will be a flat rate for all sales) implies increased commission rates for larger sales on Afternic’s side. Or am I missing something?

@Paul Nicks @James Iles @Joe Styler

 

[branding]

The more I think of it... Maybe this is just about data harvesting... You'd be surprised how much data you can gather from DNS queries when domains are under YOUR control.

Up thread James confirmed a direct redirect to a lander at dan will result in a 25% fee. A penalty for not using THEIR dns so they cannot harvest YOUR data. Even if that technically makes no difference at all.

Since dan is a Dutch company, and it's not overly expensive, I'm starting to wonder if it's worth it to get legal involved as this does come across as being in breach of the EU antitrust policy.

 

[Sutruk]

Just to clarify, if your domain is pointing to a Dan nameserver in this scenario, and the sale is made at Afternic, you pay a 15% commission - you're correct, it's one network

I'm sorry, but I couldn't contain myself after seeing your smile on this subject.

So, what do you think about this clear anticompetitive practice by Godaddy? Don't you think it's a clear abuse of power in the field, for even more monopolization, the fact that you PUNISH your CUSTOMERS adding a 10% of commission just because they use other companies landers for their domains?

Don't you think that Afternic (Godaddy) with this move is simply trying to KILL any form of competitors? It was not enough to buy each and every competitor over there, but also you have to target the remaining competitors by directly punishing them?

At this stage, it's quite clear that Godaddy don't buy competitors to benefit the domain world, but to kill any kind of competition in the field. And not enough with that, now you have to make clearly anti-competitive practices in order to end up destroying any kind of a bit of the remaining competition.

No more Efty? No more Bodis? No to any alternative parking or for sale page? USE MY LANDERS, OR PAY 10% MORE on Afternic. Woohoo very fair practice.

 

[NickB]

I've had all my domains at make offer on Atternic for a while now - will now completely remove them as I am not paying 25% for their services......

Been using DAN but will now remove my domains and use Sedo landers with BIN - had a few of my .org pointing there for a bit now and it seems OK to me.

I only have one domain with Godaddy and that's for my website

I have not put my SquadHelp domains onto the Afternic network and have no intention of doing so......

Time for me personally to break away from this shitty monopoly.......

 

[boker]

Great question that I hadn't considered - but you won't get the discounted commission if you're not using one of the following nameservers:

• afternic.com
• smartname.com
• uniregistrymarket.link
• dan.com
• undeveloped.com
• internettraffic.com
• cashparking.com

So now, an increase of commission from 9% it's actually a discounted one...that's the math when you work for a greedy company.

 

[bmugford]

Thanks @Future Sensors, to clarify - this commission structure applies to any sale, regardless of whether it's through a Reseller Site, GoDaddy, Afternic, Dan etc.

I completely understand, and it's a question that has been asked to me several times. However, that set up will be on the 25% rate.

Thanks for the question - the flat rate fee structure does replace the tiered system.

Wow, so if someone forwards the traffic directly to the Dan.com lander pages, that is considered a 25% sale?

Someone types in example.com and it goes to the Dan.com lander, and the seller is charged 25%...

What terrible system design.

Brad

 

[Ostrados]

Fast transfer partners are allowed to add any markup or discount, but domain seller is not allowed!!

And no there is no monoply practice here just some old hidden policy.

The timing of this can't be any worse. Are they intentionally trying to anger as many people as possible?

 

[Ostrados]

Yes. The new structure will be a flat 15% or 25% depending on where nameservers are pointed at the time of sale, regardless of price.

So

1. You increased Dan commission to 15%
2. You increased Afternic commission to flat 15%
3. You increased Afternic commission for non-Godaddy landers to 25%

Wow good job in screwing up the whole domainers community

 

[Ostrados]

Dan commission increase
Afternic commission increase ️
25% for no Godaddy/Afternic/Dan landers ️

And they are announcing it like it is good deal

 

[Acroplex]

So how do they know where it's pointed? For example, if one points nameservers to Sedo and it sells there... how would GD take 25%? I just transfer my name manually after Sedo gets the money in escrow. Same goes for other sites where I use Escrow.com for payment. I'm unclear when this 25% scenario comes into play. Can you give an example or two?

When the sale occurs e.g. at Afternic, the transaction records the domain's DNS. And the only reason they fine you with a 25% tax if it isn't a GoDaddy brand's DNS at the time of sale, isn't just for fun: it's to punish you and the alternate platforms you use, for not surrendering your traffic data to them. Maybe in the future they will also add a 25% tax if the domain isn't registered at GoDaddy.com. They have gone unhinged.

 

[DNGear]

A healthy competition leads to progress.
A monopoly contributes to market failure.

 

[Armageddon]

I want a 60 k sale
I dont care about fee

 

[Mister Funsky]

I don't understand the logic, in terms of their costs for processing, etc., why a name not pointed to their landers should carry a higher commission.

They are trying to squeeze everyone else out.

Time for us (domainers) to form our own marketplace. I will bring 2000+ quality domains.

 

[Ostrados]

How do you compete with other businesses?

In the past: you make better products or services.

In the preset: you buy your competitors, and keep same old bad qualittly of service.

 

[bmugford]

I don't get the general concern for your competition. Like you, this move is a benefit to me based on the kind of sales that I get (vast majority under 5k, vast majority through the Afternic Network.

If this hurts people that I'm competing with, I hardly lose any sleep over it.

Good for you. I guess we are just different type of people.

Brad

 

[Sedo]

Yeah - @Sedo could help facilitate it by dropping their commission to 9% if we point our domains to their landers

We'll be keeping it at 10% for buy now saleslander sales for now.

 

[Recons.Com]

Apparently, Dan also charges a sneaky extra 2% credit card processing charge on top, so effectively their fee is 11%. And, from February, it is going to be 17%.

 

[Gorilla]

@Joe Styler

This is a disturbing mess it is time to show up and make some responses, don't leave poor @James Iles dealing with this mess alone, he is trying to help but it is obvious that he has no influence on decision making at Godaddy.

Do you have any comments on this:



And this:

This is gonna sound cruel, but it really seems GD just used James and Cyger as pawns for GD to keep a positive perception in the community, because they are well loved with domainers. But GD knew that the community will be stirred up with the commission changes.

 

[bmugford]

And don't forget the best one... increase from 15% to 25% commission if you are not using their landers.

I really ask (myself) a question... do Godaddy have a clue about Anti-monopoly policies? Because when you have a product (afternic commission on sales through Godaddy or their reseller network) and increase the price a 10% just because you are not using one of their services (pointing a landing page to their DNS servers) it sounds to me like a big MONOPOLY move.

The most galling part is this is framed like some beneficial move for domain owners.

Brad

 

[bmugford]

That seems to be what they (Afternic) have responded on social media. It will be a flat 15%, without tiers, so as you and others have posted, an actual significant increase for higher-priced names. Apparently some Afternic users have received an email outlining changes, but I have not yet.

-Bob

So they raised Dan.com rates from 9% to 15%-25%.
They lower Afternic rates under $5K, but raised them over $25K.

They are now charging an absurd 25% commission if you don't use their landers.

What is GoDaddy bringing to the table to justify these changes? Nothing.

Brad

 

[Recons.Com]

So now we we can fairly assume that the only probable reason to appoint the Domain Community Liaison was to break out the bad news?

Interestingly, Mr Liaison chooses to ignore all my questions here. Interesting attitude to a community member who happens to have almost 25000 .coms with Godaddy. Never have seen such an attitude from the other GD reps before.

 

[DNGear]

Once upon a time, there lived a poor farmer in a small village along with his wife. The couple had a small farm where they grew vegetables and fruits and sold them in the local market to earn money. However, the farmer managed to save a little money each time he sold fruits and vegetables in the local market. With this extra money, the farmer and his wife decided to purchase a golden goose with an aim to become richer and richer.


The farmer took the golden goose to his farm and decided to build a nest for her so that she could lay eggs. The farmer thought he would use these eggs to sell, eat, and make bread.


The next morning when he went to collect some eggs for his breakfast, he found that the goose laid golden eggs. The farmer and his wife got excited seeing golden eggs. Soon the farmer discovered that the golden goose was not an ordinary goose as she started laying golden eggs everyday.


The poor farmer happily said to his wife, “This is a mysterious goose”. Now, we can quickly become richer and richer. The farmer and his wife were getting richer slowly and steadily. But it was no longer so, the farmer grew impatient with the goose because she was laying only a single egg a day. He was not getting rich fast enough as he thought.


Then one day, he imagined if a bird is able to lay golden eggs, then she must be made up of gold from inside. He thought he would get all the golden eggs at once by killing it and cutting it open. But when the goose was killed, not a single golden egg was found, and he also lost his precious “Golden Goose”.


Moral of the Story “Golden Goose”
The famous English proverb “Kill not the Goose that Lay Golden Eggs” is deeply rooted in this story. When we use this proverb, we mean that anyone who wishes to get more than he is entitled to ends up getting nothing in the future. Hence, the moral of the story is those who are greedy to have more, they even lose everything they have.

 

[Future Sensors]

I will tag @Paul Nicks as well to clarify that EVERYONE is subject to the same terms.

Brad, I wish you good luck getting a reply from him. Last time he was active was to vote for GoDaddy in the NamePros registrar poll, which was clearly not allowed.

 

[Peak.Domains]

It's funny how they're using two different numbers (60k and 40k) to compare the commission structures between Afternic and Dan. "Look guys, the total payout is higher under the new structure guys!!! Look we've managed to cherry pick the specific scenario that benefits you a tiny, little bit!!!"

This shows that Dan is truly and fully integrated into the GoDaddy ethos and core guiding value that their customers are braindead.

The tellsign sign that a GoDaddy acquisition is integrated is once they start to feed you turds while calling it key lime pie.

Dan was a shining light in the industry, and it was domainers who made every single thing they did possible in the first place, and they pulled a bait-and-switch and sold us out. It's okay, it happens.