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?

 

[bmugford]

Use DaaZ as an alternative option. DaaZ is an UK company.

I will check it out.

I am not making any impulsive decisions but I am certainly going to consider my options going forward.

Even though it doesn't really effect me, the 25% thing pisses me off even more than the Dan commission.
It is just so blatantly anti-competition.

That is not something I saw coming.

Brad

 

[dirk]

Use DaaZ as an alternative option. DaaZ is an UK company.

UK registered or UK located?

 

[Rhinnnn]

Well, from the pricing breakdown it appears only one scenario has lower fees - Afternic sales under $5,000.

I did the math based on the current tiered commissions and, in fact, things won't be that bad come February 1.

With the tiered commission, a $30,000 sale right now means a commission of exactly 15% paid to GoDaddy.

Everything below this price currently incurs a commission higher than 15% -- the lower the price, the higher the commission, percentage-wise (up to 20%, of course).

Everything above $30,000 is currently subject to commissions below 15% -- the higher the price, the lower the commission, percentage-wise.

So, overall, the new flat commission means more money for sellers for all sales under $30K... as long as nameservers are pointed at Afternic, DAN, Uni, etc.

What all this means is that GoDaddy's new position is: Point your nameservers to us or else get rekt if we make a sale for you.

 

[bmugford]

Everything above $30,000 is currently subject to commissions below 15% -- the higher the price, the lower the commission, percentage-wise.

So, overall, the new flat commission means more money for sellers for all sales under $30K... as long as nameservers are pointed at Afternic, DAN, Uni, etc.

What all this means is that GoDaddy's new position is: Point your nameservers to us or else get rekt if we make a sale for you.

Well, at Afternic.

It means 60% higher commissions at Dan.com, best case scenario.

Brad

 

[Rhinnnn]

Well, at Afternic.

It means 60% higher commissions at Dan.com, best case scenario.

Brad

True, my math's valid only for Afternic.

The DAN commission increase needs no math, it's simply more money out of sellers' pockets with each and every sale.

 

[DomainThrive]

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%

 

[Lox]

more money out of sellers' pockets

and buyer’s (after selling price skyrockets.. )

 

[bmugford]

True, my math's valid only for Afternic.

The DAN commission increase needs no math, it's simply more money out of sellers' pockets with each and every sale.

From 9% to 15% = 66.7% increase.
From 9% to 25% = 177.8% increase.

Brad

 

[JB Lions]

From 9% to 15% = 66.7% increase.
From 9% to 25% = 177.8% increase.

Brad

What went from 9% to 25%? 9% is the Dan number, the distribution network went from 20% to 25%. People were only paying 9% instead of 20%?

 

[DomainThrive]

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.

 

[SuperBrander]

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%

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.

 

[bmugford]

What went from 9% to 25%? 9% is the Dan number, the distribution network went from 20% to 25%. People were only paying 9% instead of 20%?

The fee to sell a domain via Dan.com was 9%.

Now it is going to 15% if you use GoDaddy landers, or 25% if it sells via there but you don't have GoDaddy landers.

So BEST case is a 66.7% increase is commissions via Dan.com.

Brad

 

[bmugford]

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.

Yes, the move is clearly a direct shot at competition.

Brad

 

[DomainThrive]

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.

 

[JB Lions]

The fee to sell a domain via Dan.com was 9%.

Now it is going to 15% if you use GoDaddy landers, or 25% if it sells via there but you don't have GoDaddy landers.

So BEST case is a 66.7% increase is commissions via Dan.com.

Brad

This part:

25% if it sells via there but you don't have GoDaddy landers.

Wasn't that 20% before? I was getting charged 20% for sales in the distribution network, never 9%. I'm a bit sleepy, so I could be reading things wrong.

 

[bmugford]

This part:

Wasn't that 20% before?

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

 

[DaaZ]

I will check it out.

I am not making any impulsive decisions but I am certainly going to consider my options going forward.

Even though it doesn't really effect me, the 25% thing pisses me off even more than the Dan commission.
It is just so blatantly anti-competition.

That is not something I saw coming.

Brad

Thanks brad, we are not competing with anyone. At the same time just want to remind the community , we are ready to serve those who trust and join us. Some of the features about DaaZ:

1) 3.5 Years old platform: DaaZ.com started its project in 2017 and gone live on August-2019
2) Customers from 60+ countries are using DaaZ.com effectively
3) Service / success fees are industry low by any pure domain marketplace:

• BIN listings success fee is just 5%
• Make an offer success fee is just 7%
• Auctions success fee is 7%
• DaaZ secure ( for offline agreed leads aka import leads ) – 5%
• Lease to Own offering – 8% success fee
  4) Payouts are processed with in 48 hours ( at least 99% cases so far )
  5) offers 22 payment options. (
  https://twitter.com/x/status/1607516202724913152
  )

Further details - pleaser refer our official thread: https://www.namepros.com/threads/daaz-com-domain-marketplace-official-thread.1217160/

 

[DaaZ]

UK registered or UK located?

UK registered and located too. London based.

 

[JB Lions]

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

I don't think you have Lease option enabled? I know you have to price them first. I have 4 right now making payments and you have 12x as many domains as I do. I think you could be killing it if you tried it out. You will get more sales. And sometimes they don't finish the payments, you keep the money paid and get the domain back. I had that happen and it took care of my renewals. Something to consider. It works.

 

[DomainThrive]

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)