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Radix premium renewals approach $1 million
New gTLD registry Radix made almost a million bucks in the first half of the year from renewal fees on its premium domains.
That’s one data point that jumps out from Radix’s latest premium sales report, released last night.
The company said that it made $1.96 million at the top line from premiums in the period, up 19% on the second half of 2019.
It added that $996,771 of that was from renewals, up from $903,687 in H2 2019.
Radix is one of the registries that charges a premium fee every year over the lifetime of the registration, a practice controversial among domain investors.
Still, it appears there is demand (or, at least, acceptance) among end users. Radix said it saw a 41% sequential increase in the number of premium sales in H1.
.tech, .online and .store were the biggest sellers, with the vast majority of sold names clustering in the $250 to $2,500 range.
The renewal rate after the first year was 63%, growing to 72% at the second renewal and a very respectable 78% thereafter.
Radix said it saw .store premium sales grow by more than fivefold during the half, which it attributed to the coronavirus pandemic:
While premium registrations and revenue have grown steadily for five quarters since Q2 2019, the 2020 pandemic has led to significant demand in eCommerce and have urged businesses from all verticals to build a strong web presence.
This has led to a surge in the adoption of premium domain names on meaningful extensions that are most suited for these businesses such as .STORE. Premium registrations for .STORE in Q2 2020 was up by 5.5X compared to Q2 2019.
More stats can be found here.
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