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Just received this email from Dan.com about commission increases (snippet of email):
Thoughts?
Thoughts?
I'm looking at this from the opposite way.
This will translate into a major increase in domains listed in the Afternic network (it already does even before via Dan integration).
Competition has grown already for someone that uses only Afternic (for the sole reason, other landers never worked well in my case, if at all).
More like $7500 plus $4000Ah ok, I see what you're saying now.
$100,000 sale
before would be $14,000 - 10% (10,000) plus $4,000
now it would be $15,000 - 15% of 10,000
Yep, see posts after thatMore like $7500 plus $4000
The 10% was on the amount greater than $25000.
So for $100,000, commission will be
10% of ($100,000 - $25,000) plus a flat $4000
Making a total of $11,500
Problem is that Escrow.com does not support my countryCheck it again:
Before it would be $11,500 ($4,000 +10% of amount over $25k).
Now it would be a flat $15,000
** By the way, on the same $100K sale, you would be charged $890 at Escrow.com... $15,000 vs $890 (or $1,780 using concierge service)
Are you sure about the 25% fee? It should be 15% according to what @James Iles of GoDaddy said in this thread. When a domain gets sold through the Afternic Premium Network, the fee should be 15%. Even if you're using dan.com nameservers.Only downside is now you will pay 25% for names sold via Afternic distribution network.
Your better off with a broker, even the top brokers charge less commission than marketplaces and offer a more dedicated/hands on service towards your asset.The domaining industry is in disarray. I wonder which marketplaces will rise to the top as a result.
Are you sure about the 25% fee? It should be 15% according to what @James Iles of GoDaddy said in this thread. When a domain gets sold through the Afternic Premium Network, the fee should be 15%. Even if you're using dan.com nameservers.
https://www.namepros.com/threads/da...tive-feb-1st-2023.1292012/page-6#post-8803807
I admit that the communication about the Afternic Premium Network in particular could have been better in today's announcement.
Yes, we all got that email.This next line is litteraly copy paste from the email I recived this am :
"
- 25% commission for domains sold that are not pointed to nameservers at Dan, Afternic, or Uniregistry. "
People use their system to generate leads from traffic to the domain, get offers, negotiate, and close sales.DAN doesn't even bring much eyes/exposure to domains, so why continue to use their platform?
I often hear that as a common response to rising commissions, sure it works in theory...the problem is a domain is far more likely to sell the lower the price is, so if you need to add extra fees into the price it is less likely to sell.Another option is to raise prices by 7% on all domains? That way you would still end up getting roughly the same as before Godaddy and Dan's dick move?
https://www.justice.gov/atr/antitrust-laws-and-you
Antitrust Laws And You
Many consumers have never heard of antitrust laws, but enforcement of these laws saves consumers millions and even billions of dollars a year. The Federal Government enforces three major Federal antitrust laws, and most states also have their own. Essentially, these laws prohibit business practices that unreasonably deprive consumers of the benefits of competition, resulting in higher prices for products and services.
The three major Federal antitrust laws are:
The following information on these laws comes from the Antitrust Enforcement and the Consumer guide.
- The Sherman Antitrust Act
- The Clayton Act
- The Federal Trade Commission Act.
That's how many retailers are currently reasoning. But at some point your prices may be too high and your sales will decrease. Where your optimal price point is, is different for everyone, but think about this when pricing your domains.Another option is to raise prices by 7% on all domains? That way you would still end up getting roughly the same as before Godaddy and Dan's dick move?
Incidentally, it is interesting that DAN has not used the word "inflation correction" anywhere as a reason for the commission increase, as currently all companies seem to get away with it, especially in Europe.
Just thinking that domain names and valuations are not an exact science and it is hard to price domains as is. I doubt that a 7% increase in the lower price ranges (4 figures) would change that much?That's how many retailers are currently reasoning. But at some point your prices may be too high and your sales will decrease. Where your optimal price point is, is different for everyone, but think about this when pricing your domains.
Incidentally, it is interesting that DAN has not used the word "inflation correction" anywhere as a reason for the commission increase, as currently all companies seem to get away with it, especially in Europe.