discuss Price a .COM based on the Yearly Fee of a Premium New gTLD

[madcapcoming]

If there is a new gTLD that is available for say $300 w/ $300 renewal rate for Free.Widget

You have FreeWidget.com - what should you price of that domain be? Based on a multiple?


Thoughts?

 

[garptrader]

I recall when the .Condos TLD domain came out thinking they sounded nice.

Miami.condos
NewYork.condos
LA.condos

but between early access fees, premium renewals and uncertainty about finding a real estate agency willing to pay enough to generate a worthwhile ROI at a portfolio level, I decided to drop the idea.

Many newbies are regging new TLDs where the keyword combo does not even make sense and where even in .COM would not be that great of a domain.

MiamiCondos.com's value IMO has little to do with the renewal rate for Miami.condos. If a Miami real estate agency does not want to pay the seller's price, they can choose some reg fee alternative like
Miami-FL-Condo-Sales.com

While all domainers will benefit from increased value placed on domain names as branding tools, the reality is most people place little value on domain names and consider it extortion to have to pay more than $50 for a domain name. So an investor which gets stuck paying premium renewals on virtually unknown extensions is going to very quickly dig their own domaining grave.

 

[Ms Domainer]

I stopped investing in the new g's when it became clear that renewal rates would be onerous for premiums.

It's easy to make a case to sell a .com at $$$$ when the buyer knows that the renewal fee will be cheap, but end users are understandably shy about paying high renewals, year after year.

The registries should have learned a lesson from the .tv registry: a new G won't gain traction unless it goes viral, and it won't go viral if all the nuggets are priced out of reach.

 

[madcapcoming]

No.. I'm suggesting in investing in them.. I'm saying how to price them, saying that they can register

Sample.Domain by just paying the premium renewal rate.


Question is how to price the domain.

 

[Kate]

The real question is, how much your domain is worth on its own. It shouldn't be appraised as a percentage of the possible value of Free.Widget (an extension for which there is established market anyway). While Free.Widget may be a possible alternative to an end user, it's like comparing apples to oranges.