debate New Tlds - Financed Premiums versus High Renewals.

[Page Howe]

For premium new TLD's, would you rather have a high upfront price with regular renewals, then use financing (non -recourse) or high annual renewals, like many new tlds.

So .com has always been pay a price to buy, renew at the small regular fee. The new TLD's brought with them high annual prices for premium names.

Which is better for a buyer, end user or domain investor?

I think i like the fact that my financed payment at sites like names.club ends, wheres as the renewals of a premium can go on forever, and increase.

What do you think Np-ers.

Heres an example.

So I recently finished up another Why .Club and my best picks from their 234,000 premium names.

In this effort it came to me, do i like high annual premium prices, or the names.club financed program. (which is having a 25% off special next 3 days)

So pizza.club is a $10k name, 25% off is $7500, 15% down $1125 and $106 per month.

or streaming.club for $2k, $150 down and $23 per month.

But the question for you NPers is - financed premium versus high annual renewal.

So streaming.media is $1000 a year, lets just assume it was $250 a year, same as .club and lets assume you liked both he same.

Would you rather have a similarly priced and similar quality financed name, you pay 5 years of payment, then regular renewals (guaranteed no higher than .com) , or the high annual renewal streaming.media or others, renewals can be changed and name can be pushed into higher tiers.

On the first financing can be assumed. On the second any transfer also requires a payment of the next years high renewal. For the names.club names, whether .club or other new tlds or .coms, financing is sometimes assumable and name is in your name on the whois.

thanks for the comments.

Page Howe

 

[Chris Hydrick]

For premium new TLD's, would you rather have a high upfront price with regular renewals,

Is there anything prohibiting a new TLD from raising their "regular renewals" to "high annual renewals" after one pays a high upfront price?

or high annual renewals, like many new tlds.

How high of a renewal price are we talking?

And is there anything prohibiting the renewal prices from being raised higher than the already high renewal?

streaming.club for $2k, $150 down and $23 per month.

Alternatively, they could purchase StreamingClub.com from HugeDomains for $4,695 with financing options such as 12 payments of $395.21 per month. In addition to their annual .com renewal.

So streaming.media is $1000 a year, lets just assume it was $250 a year, same as .club

Maybe I'm misunderstanding this...

... Are you saying streaming.club carries a $250 annual renewal fee?

GoDaddy says:

Streaming.Club (purchase price: $1,499 $1999.99)
$14.99/year renewal

VS

Streaming.Media (purchase price: $179.99 $999.99)
$999.99/year rewal

 

[Page Howe]

so thanks for the read and replies.

Your right streaming.club has a regular renewal, i was asking if NPers would rather have a $250 year "payment" on a financed name, or have it just a $250 year renewal?

So i said, IF streaming.media was $250 a year - instead of $1000 just to give a survey question.

your right on your other points.

Page

 

[branding]

Is there anything prohibiting a new TLD from raising their "regular renewals" to "high annual renewals" after one pays a high upfront price?

Spot on. Curious about this as well. Could you make a regular reg a premium when it's already registered or can you only achieve this by raising pricing for all regular regs, let's say to a premium level?

 

[Page Howe]

So i made a deep dive on this in 2015 at the first renewal. It was very hard to find info as there are things in the ICANN registry agreements, and then also clauses in the Registrar / Registry agreements. I wouldnt put it past them to always assume they can do whatever they want.

So first off, can a regular or low fee registry move up. Probably worse case, with the .club team i think they have been pretty clear, they wont go above .com.

Now the other new tlds, seem to be able to do whatever they want, either move up price for all names, or move names 1 tier every so many years.

Page

 

[Chris Hydrick]

Your right streaming.club has a regular renewal,

Got it.

i was asking if NPers would rather have a $250 year "payment" on a financed name,

For how long?

Until the balance of the domain is paid off?

Which is $2,000 total?

So 8 years @ $250 per year?

Who pays the renewal fees during these 8 years?

Thus, financially speaking, it's a big difference if renewals cost $250/year opposed to $14.99/ year.

or have it just a $250 year renewal?

At reg fee initial purchase price?

$250/year renewal For how long?

A lifetime?

The lifetime of a human being, or the lifetime of a company?

For arguments sake, let's say 100 years.

Thus, $25,000 in renewal fees for 100 years.

But, should the price of renewal fee's increase, the $25,000 figure will differ.

Whereas the original purchase price (price initially paid to lease to domain from the registry or prior registrant) is static.

 

[Page Howe]

Ok, so thats what i was comparing, a financed .club or other names, if i wasnt clear .club has regular renewals. Streaming.club would be $9.99 or so a year, they pay the renewals during financing.

but yes a premium renewal new tlds has high annual renewals foreever.

thats why i like the .club plan, payment for 5 years , then the small fees per year.

Page

 

[Internet.Domains]

Well until there are actually continious repetitive sales and demand for NewG's, discussing anything "premium" and justifying inflated prices should be mute.

I am pro-NewG and feel there "could" be demand for some of them, but at this point we should not be discussing higher prices, rather lower prices.

 

[Chris Hydrick]

Streaming.club would be $9.99 or so a year, they pay the renewals during financing.

Who pays the $9.99 renewal?

The person financing the domain?

Does the registrant manually renew the domain at their registrar of choice? $14.99 at GoDaddy, or where does the $9.99 figure come from? Asking, because if the person financing the domain forgets to renew the domain, there could be issues if the domain gets purchased by another registrant at an expired registrar auction.

Pay during financing, meaning?:

(a) It is included every year with the $250/year payment plan.

(b) It is in addition to the $250/year.

(c) 8 years of renewals are paid for up front, when selecting an 8 year payment plan

.....(c-1) in addition to 8 x $250
.....(c-2) included in 8 x $250

but yes a premium renewal new tlds has high annual renewals foreever.

Can you say forever with certainty?

Or at least with the same certainty that you hold toward

Probably worse case, with the .club team i think they have been pretty clear, they wont go above .com.

Outliers being,

If .CLUB (or another gTLD) gets bought out, and the new owners want to raise renewal fee's? Is there anything prohibiting that?

or

What if a new gTLD wants to remove premium renewal fees? Is there anything prohibiting them from doing that? How does that effect a registrant who may have paid for 10 years worth of renewals at premium pricing? -- will they be eligible for a refund? Or is paying advance risky, in that you don't know if you will be paying more or less the same renewal rate of later dates?

 

[bmugford]

I have zero interest in any domain that is going to cost a high yearly price in perpetuity.

If a domain is say $2,500 one time cost then $10 a year that is fine.
If it is $2,500, on a payment plan for a year or two, then $10 a year that is fine.

I have no interest in paying some arbitrary $250/year renewal fee forever.
That fee could also go up at any time as well.

I am also not interested in any extension that has premium renewal tiers.
Every renewal in an extension should be the same cost.

Brad

 

[Fancy.domains]

I tend not to buy either (very) expensive names, or those with an annual renewal fee above $50.

However, if I had to choose, I would go for a more expensive name with a lower renewal fee.

 

[Grego85]

I'd rather buy a name like stream.direct (which is a better name than streaming.club) from a domainer such as myself for $2500 and pay reg fee of $25 per year.

NGTLDs were SUPPOSED to create value. I don't see many of the registry sales as value to the end user. Anyone can do payment plans these days too.