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?

 

[JB Lions]

Yes we know that 15% is good news for many, we got your point you repeated it many times already.

But it is not about only you, the 25% is bad news for the users of:

• Brandable marketplaces such as SquadHelp , Brandbucket, Brandpa ..etc.
• Bodis & other parking services
• Domain.io and other new landing page providers
• People who use their own websites

Additionally, few top sellers will not be happy with the removal of tiered commission at Afternic.

So what Godaddy did is almost crushing all other small competitors with one simple move, they know that Afternic traffic is indispensable and that the 25% penalty will put pressure on all of us.

It would have been seen as positive move if Godady did in the following way:
"We will reward you if you point to us by reducing commission to 15%, if not then you would pay the old 20% commission"

If they did it that way then it would have been seen as a huge positive plus to them, because it is rewarding system not penalty system. And I am sure that if they used that then people will automatically start converting more to their NS, but now many people will get angry and will do the opposite.

You mean like getting the point of 25% since you’ve repeated it many times already?

As a domainer you adjust

As a competitor you compete

Crying about something incessantly doesn’t usually get results. I don’t see them changing

 

[James Iles]

The current phrasing of the email updates sent by DAN and Afternic does suggest that the tiered commission is going away (by not mentioning it at all).

So it looks like we're about to see 15% commissions for all sales, from $100 to $1,000,000 and beyond. Welp.

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.

 

[Wisher]

I am not sure.

I basically have some domains listed with Afternic. They might be on Dan.com as well, but I don't use any of their integration stuff.

Almost all my sales on Dan.com are from offers and negotiation. Those were 9% before.

They require more work that simply just listing the domain for sale.

I am not sure how into paying 15% I am going to be when it comes to my domain lander getting the lead then me negotiating the sale.

Brad

Rather than complaining on here about it.
Just use Efty or other lower commission landers if most of your sales come through that way. This will counter any 5% increase you get from Afternic sales (if they not making up much of your sales)

 

[Wisher]

The vast majority of people here are complaining over nothing.

Do some simple maths.

For the average user of Dan that sells domains sub $5k and also lists on Afternic.
50%/50% sales split between Landers and distribution network (this is based on my own experience)

So previously 9% + 20%.
Now 15% + 15%.

In fact quite a lot of people that use Afternic landers will be better off.

Before blindly following others that are moaning. Run your own numbers.

Also to those that say they are jumping ship to another provider. Really? You will end up paying more. Same example as above but on
Sedo = 10% + 25%

 

[Wisher]

There are many domainers (me included) who are listing domains at Brandable marketplaces like Squadhelp and BrandBucket and who have enabled the option to list at Afternic. They can't change landers to Dan/Afternic/Uni. That means a 25% commission + a commission to the marketplace (who by the way will very likely scrap the whole listing at Afternic thing, because due to the Feb 1st change, their commission will drop to 5% for all listed domains). And that's just one case of the impact. Things aren't as simple as you present them.

The solution is use Dan or Afternic or Uni Landers instead

Save yourself a load of fees.

 

[James Iles]

This is an alignment of commissions across the GoDaddy aftermarket. You can read more about this move here: https://uniregistry.com/blog/post/godaddy-aftermarket-alignment
or https://news.dan.com/221733-dan-and-godaddy-aftermarket-commission-alignment

 

[James Iles]

What does this mean? I thought that sales coming from our own leads will still be charged 5% commission, correct? What circumstance would cause this 25% commission?

Hi @Dane, the standard 25% commission rate will be charged when a domain is sold, for example, through Afternic, with the domain name pointing that doesn't point a nameserver ending in one of the following at the point of sale:

• afternic.com
• smartname.com
• uniregistrymarket.link
• dan.com

• undeveloped.com
• internettraffic.com
• cashparking.com

The 5% commission rate you mentioned is for leads that you import to Dan.

 

[Wisher]

Which is something I might do. Like I said earlier I am not going to make any impulsive decisions.

I sell quite a few sub $5K priced domains on Afternic. Those can stay.

But when it comes to landers and negotiation, I am open.

First I want to see if GoDaddy is going to revisit any of these changes.
If not, I will consider my options.

Brad

So on your sub $5k you are not losing anything. (Same with vast majority of people here)

On the higher priced ones you have option to move to lower commission landers/remove from Afternic entirely or increase Afternic price.

Whole thread is storm in a tea cup.

 

[Wisher]

Some people just like to complain for the sake of it I am sure.

How often does a supplier actually lower their fees? And yet you still complain?

All this talk of higher fees on higher priced domains. Not many people here complaining even sell domains in those price ranges and even if they do they were already much better off using escrow for those.

 

[johnn]

Who cares about the commission as long as I make a sale.
It's 100 times better than listing $1 auction here.