How much it really costs to ICANN registerars for a Domain ?

[NameSigma]

Hi,

I am wondering How much it really costs to ICANN registerars like godaddy or Register for a Top extentions (.Com, .info etc) Domain ?

one of my friend said they costs nothing...they only have to pay monthly fees....so what u know or thinks thanks

if any body it exactly then please :D

thanks in advance

Letsjoy

 

[TLDnetworks]

$6.25 for com

 

[RJ]

$6.25 for com

^ plus registrars have annual fees of $4000+

 

[vincenzo]

In case anyone is interested, here is the /eu page with costs.
They do not charge additional monthly or yearly fees.

http://registrar.eurid.eu/en/registrar/financialInformation/overview-table.html

- Vince

 

[VURG]

.com - $6.25
.net - $4.75
.org - $6.25
.info - $6.00
.biz - can't remember but it's more than .net and less than .info

 

[domainer50]

How can it be that a company must pay $6.00 for a .info yet they sell them for 75 cents-$1.99?

 

[jnadel]

Here's the cost breakdown (from Dynadot):

$6.00 registry fee paid to Verisign, the central registry
$0.50 credit card processing fee
$0.25 ICANN transaction fee

http://www.dynadot.com/resource/article/qa.html?aid=2

 

[Kate]

If I remember correctly:
For .com: $6 to Verisign, $.25 to ICANN
For .net: $3.50 to Verisign, $.75 to ICANN

As RJ mentioned there are annual fees on top of that, something like $1500/y per TLD.
Gaining accreditation means time and $$$ as well.

See http://www.icann.org/registrars/accreditation.htm

 

[domainer50]

If I remember correctly:
For .com: $6 to Verisign, $.25 to ICANN
For .net: $3.50 to Verisign, $.75 to ICANN

As RJ mentioned there are annual fees on top of that, something like $1500/y per TLD.
Gaining accreditation means time and $$$ as well.

See http://www.icann.org/registrars/accreditation.htm

So in essence when someone uses a coupon code for any TLD. The registar is loosing money??

 

[RJ]

If I remember correctly:
For .com: $6 to Verisign, $.25 to ICANN
For .net: $3.50 to Verisign, $.75 to ICANN

As RJ mentioned there are annual fees on top of that, something like $1500/y per TLD.
Gaining accreditation means time and $$$ as well.

See http://www.icann.org/registrars/accreditation.htm

Right, not even to mention overhead costs like taxes, employees, site development, advertising, insurance, etc.. I'm surprised we're even able to register domains as cheaply as we are.

 

[domainer50]

Right, not even to mention overhead costs like taxes, employees, site development, advertising, insurance, etc.. I'm surprised we're even able to register domains as cheaply as we are.

Thats what im wondering. They buy it for way less that we buy them for. They must get discounted prices or something. Thats seems veyr high.

 

[RJ]

Right, not even to mention overhead costs like taxes, employees, site development, advertising, insurance, etc.. I'm surprised we're even able to register domains as cheaply as we are.

Thats what im wondering. They buy it for way less that we buy them for. They must get discounted prices or something. Thats seems veyr high.

Well, some registrars use domains as a loss leader to make the profits up with their hosting, or other additional services.

GoDaddy for one has taken the loss leader approach to the extreme. You can often buy domains below their costs using coupon codes or promotions they offer, and I've seen them paying over $10/click to get visitors from PPC providers. They lost $11.6 million in 2005 on their way to becoming the #1 registrar.

 

[iNod]

The distance between GoDaddy and the next leading registrar Network Solutions is almost 10 million

By the looks of it. They have succeeded. In which terms, what is 11.6 million when you are now the top of ALL the domain registrars in the world?

- Steve

 

[AdoptableDomains]

A huge portion of domains sold are done at or below cost, or at least below a level of true profitability. Why? Because it gives the seller several other ways to get potential income:

1. Web hosting - A huge portion of registrants host where they purchased the domain.

2. Parking - Many newbies will buy a domain but not use it. Places like Godaddy will offer free parking until used and make money off any traffic from the domain or use it to promote their own websites.

3. Add-ons - Most registrars have some kind of profit making add-ons, from domain forwarding, privacy services, auction services, to email hosting.

4. Domains registered but later allowed to expire give registrars first access to resell them before letting them drop. They can sell through snapnames, pool, tdnam, or their services. By having access for at least a year, they have some idea based on traffic if or what value they have.

 

[JoeCanadian]

Its just amazing to me that Verisign is allowed to collect $6.00/domain - if it went to competive bid - we would be paying a small fraction of that.

 

[Ronald Regging]

Its just amazing to me that Verisign is allowed to collect $6.00/domain - if it went to competive bid - we would be paying a small fraction of that.

Possibly, but we might end up with some company like RegisterFly running the Internet.. Who would want that?