discuss Now the price increase for .com is starting to hit...going to be dropping lots of names

[Mister Funsky]

It seems the price increases are kicking in across many registrars as the hours tick on. Just noticed they went from 8.49 at Epik to 9.99 in the last little while.

Perhaps others could post any price increases they have/are experiencing. The thieves that run .com will soon notice a decrease in registrations. In my case, I will let 25 to 30 percent of my names drop.

 

[D Haynes]

Would be interesting to see if a 7% price hike would result in more than a 7% drop rate making the price hike counter productive.

 

[NYJimbo]

I don't think domain name renewals have gone UP enough. I hope com and co uk renewals go up to £50 each year a soon as feasible, and I'd be happy to pay it. There would be less domainers and more quality domain names overall. Domain squatting would be reduced by 90% after one year, giving the industry a better reputation. Startups would have more choice of com domain names. All domain name purchase prices would go up considerably meaning more considered acquisitions. The whole domaining industry would benefit. Now let's hear your logical counter-arguments?

No offense, but you post a lot of crap. I mean you do it a lot. You sound like you know what you are talking about. But most of your posts go against any normal domaining logic.

Are you the troll who has been attacking us for charging high prices for domains ?

 

[bmugford]

I don't think domain name renewals have gone UP enough. I hope com and co uk renewals go up to £50 each year a soon as feasible, and I'd be happy to pay it. There would be less domainers and more quality domain names overall. Domain squatting would be reduced by 90% after one year, giving the industry a better reputation. Startups would have more choice of com domain names. All domain name purchase prices would go up considerably meaning more considered acquisitions. The whole domaining industry would benefit. Now let's hear your logical counter-arguments?

The logical counter is a company (Verisign) does not deserve $10, never mind $50 for maintaining an entry in a database. That is essentially what a domain registration is.

There are many non-profit, low profit, hobbyist websites out there. $50 is a lot of money in much of the world.

Why not $500 a year, or $1000, or premium renewals based on domain quality?

At some point it just becomes legalized theft if the system is rigged in a way to strongarm people out of assets they got to first.

Brad

 

[bmugford]

Tiffany diamonds aren't cheaper than Manhattan in any part of the world. One product. One price. If people can't afford a com they should try to earn more money. I can't afford a LP 780-4 but that's not Lamborghini's fault. It's mine. Renewals prices need to go up as fast as possible.

imo

Pass.

When .COM is available through someone other than Verisign you might have a point.

Until then, it is a de facto monopoly based on a no-bid contract.

Technology is driving the cost of running a registry down. For renewals to go up is completely unjustified and the result of a sweetheart deal between ICANN and Verisign.

Brad

 

[bmugford]

They aren't thieves. It's a free market. You CHOOSE to be a customer. If it's so easy to offer cheaper registrations why don't you open up a registrar and offer everybody cheap registrations? If you're dropping loads of domain names because of a slight price increase, well, they can't be that valuable. I mean if we're talking $1 or $2 increase then you're basically saying that your domain name aren't worth $1 or $2. I'm really not into moaning about prices increases when there are simple solutions. See reply about MULTI-YEAR registrations. Or do you guys just like to moan?

It is not a free market though. If it was a free market Verisign would not be allowed to operate the .COM registry via no-bid contract that allows them to raise prices 7% in 4 of 6 years.

In an actual free market, the contract would be put up for qualified public bidding in the public interest.
In that situation, the renewal fees would come down drastically.

Brad

 

[bmugford]

Notice, .org was not mentioned, so it will still be $35 to renew. $15 for .com and $13 for .net are my new renewal rates... Not good enough @Epik.com , I'm sorry - but they should be. Well, I guess I'll be playing the transfer game until they wake up. Disheartening, since I thought Epik held domainers in high regard... If you've got $9.99 for renewal rates, consider yourself lucky or maybe you just have crap tons more domains than I do!


Happy Saturday everybody!

It seems like a lot of registrars use this price increase as an excuse to gouge customers.

Oh, the whoesale rate is up 7%, we better raise ours by 20%, 50%, 100%, 350%, etc.

Brad

 

[tonyk2000]

Retail customers who are paying around ~$15-$16 to known and traditionally "retail" registrars (directnic, hover etc) will unlikely notice any change, such registrars would not necessary increase prices. Since verisign is now allowed to increase prices, and will likely do the same in September 2023 - we the domainers can only adopt. Multi year renewals (at least some domains), improving portfolio quality, etc. I'm also considering _lowering_ prices on domains I am not going to renew, and doing this earlier. Lets say I know I would not renew the domain expiring in Q1 2023 - instead of maintaining the normal BIN on marketplaces (for example $2000) until the last day, why not to relist it with $200 BIN right now. Liquidating close-to-expiration domains may be in fact a source of some extra pocket money to cover more expensive renewals.

 

[enterscope]

Just a matter of time before it's $100 per year. Then $5000 to register your domain.

Eventually every word will be bought and paid for. Only (500) Tokens to own the word "Health"

You go to the all-knowing viewing portal, enter the word "Health" and are sent directly to your trusted neighborhood health-care physician.

 

[Recons.Com]

I'm still waiting for .com renewal prices to go up. It should be a lot harder for new domainers to enter the market. If they had to pay $ 100 for each .com domain then maybe there wouldn't be so many crap .com domains being flogged in the auctions all day???? This is one time I'm voting for prices to INCREASE. I'm not a sheep, and I'm not gonna just agree with everybody else to avoid anonymous down-votes. because the truth is that .com domain name prices aren't high enough. Why are .com domain names priced so low anyway, has anybody thought about that? How about increasing .com from $ 10 to $ 100 and I.C.A.N.N. to invest in free domainer education courses for everybody?

Maybe, enough with pointless trolling?

.com is a global extension and even $20 is serious money in poor countries. And many companies need few .coms to cover their products, services, typos etc.

Again, who gets this money?

 

[internext]

I use Cosmotown for my cheap registrations. They are holding off on increases for a month

To help our customers with the transition, we have decided to keep the same low prices until September 30, 2022.

	Price
New	$6.55
Renewal	$8.55
Transfer	$8.55

Don't miss this opportunity! Register your .COM domain before September 30, 2022.

 

[Recons.Com]

Another point:

.com enjoys the de-facto default position, but that is not stupidity- and greed- proof.

Raise the price, and people will be examining their cctld, ngtld options closer.

 

[internext]

Namebright.com
.com from $9.15 /yr.

That is their pre-funded "at cost" price. Otherwise $9.65

 

[tonyk2000]

Would be interesting to see if a 7% price hike would result in more than a 7% drop rate making the price hike counter productive.

Unlikely imo. So many dropped nonsense domains are registered again... by hugedomains (most notably) if nobody showed interest to place a backorder on dropcatch, and by others. Also, endusers are already paying retail renewal prices so they would not notice.

I don't think domain name renewals have gone UP enough. I hope com and co uk renewals go up to £50 each year a soon as feasible, and I'd be happy to pay it. There would be less domainers

Pandora's box. Next step: variable renewal pricing. Own lll .com ? Please pay 10K annual renewal. Or drop it. Own dkjfdkljf34kdf.com? Please pay just 50 pounds / dollars each year, or drop it. Etc. This would eliminate domaining and domainers, making the .com registry the only domainer around.

 

[jmcc]

This is the Last New Analysis for the .COM domain names deleted in August 2022.
2022: 3.37%
2021: 55.65%
2020: 16.94%
2019: 6.71%
2018: 4.41%
2017: 2.99%
2016: 2.15%
2015: 1.53%
2014: 1.14%
2013: 0.85%
2012: 0.97%
2011: 0.62%
2010: 0.52%
2009: 0.45%
2008: 0.36%
2007: 0.32%
2006: 0.24%
2005: 0.20%
2004: 0.17%
2003: 0.12%
2002: 0.09%
<2002: 0.22%

The problem with expecting a massive drop of .COM domain names due to the price increase is that any domain names not renewed after 01 September 2022 will only start dropping in roughly 45 to 60 days time. The majority of .COM registrations are not domainer registrations. As such, they are not typically part of portfolios and most will renew.

The current non-renewal rate for first year .COM registrations is about 46%. If there is an increase in deletions due to the price increases in the pre-2020 registrations, it will be difficult to differentiate them from natural attrition due to businesses closing. (Covid and economic conditions in 2020-2022).

Regards...jmcc

 

[DomainNature]

Xyz now cost more than COM to renew, going to drop half of them.

 

[NYJimbo]

So how many names do you have and how many are you planning to buy a) in the next 12 months with 9.6$ pricing and the 12 months thereafter with $10.3 pricing?

1450 .COM right now plus 600 .XYZ

Buying price for .COM is never factored in. If I try to see a certain STR (sell through rate) at a certain sale price ($2285 for .COM for example), then $9 or $10 or $11 each doesnt mean anything to me. The only thing that throws me off here is when .XYZ goes from 88 cents to $2.00 and then back down again. Thats like .COM going from $8.80 to $20.00 back to $8.80. Makes crunching numbers very hard.

Most of the .XYZ will not be renewed as I am doing pattern bulk buying (50-100 at a time) and seeing STR of each pattern. They are dumped at end of first year. Trying to work odds and percentages on these buys. Seeing 3% STR so far priced at $488 on some patterns. Want to get that higher. My new switch to Sedo for .XYZ should be interesting. Expireddomainslist and daily .com sales help with making decisions on the XYZ. Its too complicated to go through here, PLUS I don't want anyone learning from me.

The .COM will be 85-90% renew (not including "meta" names, which will be about 50%), was renewing 75% last year. I buy about 30-90 a month right now. Bought about 35 so far this month, but part of that was a test based on keyword1+term swapped for keyword2+term against sales history of the keyword1+term. Again, its complicated and I am not going to share what works. Simply not enough good names expiring every day to share.

I've learned its all about STR, sales prices and scaling. It took me 4 years to get here and I am still learning. People ask, "How many names do I have to sell a year to afford to live like...". Thats the wrong question. I ask, "How do I improve my STR ?". Quality of name + selling price is a tricky part of STR, not to mention all other factors outside of that. Improve your STR first (reliable, proven STR is critical). Raise your prices second. Scale third. Then figure out what you need to do with all that to live like you want. But this is MY process, it might not work for you for various reasons.

One thing I will say is that if you sell too low, eventually you will go broke even if you keep making sales. But if you price too high you may not make enough sales and you will run out of money to buy new or renew.

Sounds simple, right ? You would be surprised how many domainers never stop to crunch the numbers.
Anyway, too much typing. My hands are tired.

 

[bmugford]

I'm still waiting for .com renewal prices to go up. It should be a lot harder for new domainers to enter the market. If they had to pay $ 100 for each .com domain then maybe there wouldn't be so many crap .com domains being flogged in the auctions all day???? This is one time I'm voting for prices to INCREASE. I'm not a sheep, and I'm not gonna just agree with everybody else to avoid anonymous down-votes. because the truth is that .com domain name prices aren't high enough. Why are .com domain names priced so low anyway, has anybody thought about that? How about increasing .com from $ 10 to $ 100 and I.C.A.N.N. to invest in free domainer education courses for everybody?

Who gets the extra money? Is it still going to go to Verisign, who operates .COM under a de facto monopoly via no-bid contract?

Or is going to ICANN, so they can have more unneeded funds to blow on travel and other "expenses"?
Surely their leadership needs at least a 10x raise each. Six figures is not enough, they should all be making 7 figures.

Who sets the pricing? Is Verisign going to be given the power to set it to whatever they want, what about premium renewals either based on the length of domain, quality, traffic, or other factors.

Is ICANN going to set the pricing? That opens up a massive can of worms.

I really don't think this stance is well thought out. It would open up Pandora's Box and be a complete logistical nightmare.

The problem here is Verisign does not own .COM, they are just allowed to operate it under contract.
ICANN awarded that contract.

When you start talking about drastically raising pricing, introducing premiums, etc. it creates an even larger conflict of interest that would require more oversight.

I really don't think Verisign is interested in potentially killing their golden goose. The status quo benefits them.

Brad

 

[NYJimbo]

I'm sticking with Dynadot. Paying $9.57, but I'm SuperBulk (customers who spend $5,000 or more a year)

 

[bmugford]

There is inflation everywhere. This is not a surprise. Natural solution: increase your asking price (or drop price?). But it may not work. Drops expected. Some people may consider this as an opportunity, until they realize they are out of cash, or they see "too many worth registering" and no new sales happening. Economies had to go down (a little bit), because gvts (I mean, deep versions) needed to be changed, and "RU-UKR war" is part of this game (in multiple ways).

I would argue this is artificial inflation though, as it is based on a no-bid contract which creates a de facto monopoly. It is not based on supply and demand.

There are many other companies that are technically capable of handling this contract.

If it was opened for qualified public bidding, the fees would come down dramatically.

Brad

 

[KTC]

All this really means to me is that my prices are going up for the minimum I'm trying to sell a name for while keeping a hold to the same procedures that I'm trying to keep in place.

Not dropping as many names just because of a small increase. Now, if it was going up by $10? I'd take a different stance.

 

[Mister Funsky]

They aren't thieves. It's a free market. You CHOOSE to be a customer. If it's so easy to offer cheaper registrations why don't you open up a registrar and offer everybody cheap registrations? If you're dropping loads of domain names because of a slight price increase, well, they can't be that valuable. I mean if we're talking $1 or $2 increase then you're basically saying that your domain name aren't worth $1 or $2. I'm really not into moaning about prices increases when there are simple solutions. See reply about MULTI-YEAR registrations. Or do you guys just like to moan?

Sure, I like to moan. We all do...it is human nature.

You should see me when I go to the grocery store lately...at the meat department, they know me and will often come around the corner with a couple $5 off coupons for packaged meat (it keeps me from forming a gathering of unhappy shoppers).

The problem I have with the price increase(s) is that there is no feasible justification for this second round...meaning there has not been an infrastructure/overhead cost increase...it is just the opposite. Memory, storage and even hardware prices are very stable and/or have gone down.

I'm not sure of what level of investor you are, but dropping 25% of my names would save me a few grand a year. I'd say at least half of those should be gone anyway...EMD domains that giggles algorithms have stripped of value and some 5L and 6L's that have missed the boat.

BTW...I don't mind responding to you, but do your best to keep similar thoughts in one post...it helps declutter a thread.

 

[tonyk2000]

Why would registries/registrars want a system that is different from the one they currently have got? They can sell any domain that drops at auction and maximise revenues that way

Thank goodness, verisign _registry_ currently cannot sell dropping .coms on auctions. They tried to enter this market once, but were not successful (google for Wait Listing Service, WLS)

 

[Recons.Com]

My STR and price per name sold has gone up incrementally too. Do you factor that in ? We always pay more out, for everything. But we work at taking more in.

For instance I sell more names now for $2285 this year compared to more at $1688 last year.

This is why I dont like to talk numbers with people, you can always find something to make it look like you are losing.

At small scale, everything is possible. Especially, if you don't factor in the value of time spent. And if the claims cannot be independently verified.

It is pretty much consensus that for the same names at the same prices STR in 2021 was higher than in 2022. So, given that it is true and you are selling for more at higher pace, it would still not be truly scalable, as you admit yourself with your small scale experimentations and small number of names being added. 30-90 a month is not much, no matter how you look at it. For comparison, I normally buy 30-50 a day.

And, yes, I can weather it as well, but I don't really like it for two reasons:

- it is a transfer of wealth from smaller investors to a monopoly with no social benefit (rather the opposite: the society has to pay more as well for the reg fee names)

- At around $15-20/name .com, excluding few true premiums, becomes not an investment grade considering the risks involved. Basically, for 95% of investors, it will mean either being out of business or effectively working for Verisign for a symbolic salary. I think it is wise to raise the alarm and flag when it is already at 20% of the path getting there rather than when it is too late.

- Even now, the situation is bad for many. 1/3 of investors were making meaningful money beyond what they'd make flipping burgers. Now, it will become 1/4 and the number will keep sliding lower with each increase. Although, many won't quit right away due to the effect of slow-cooking froggy.

 

[eyedomainous]

Technology is driving the cost of running a registry down. For renewals to go up is completely unjustified and the result of a sweetheart deal between ICANN and Verisign.

Brad

In this case, it was Trump who removed the Obama "price controls" on .com domains, for Verisign.

"The new agreement repeals the domain name "price controls" under the Obama Administration said NTIA, which is the chief communications policy adviser to the White House. Also part of the agreement, said NTIA, is "a new commitment to content neutrality in the Domain Name System (DNS)....Verisign will operate the .com registry in a content neutral manner..."

https://www.ntia.doc.gov/press-rele...t-amendment-35-cooperative-agreement-verisign
https://www.engadget.com/2020-02-11-icann-verisign-com-price-changes.html