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Verisign: 41% of new gTLD sites are parked

Kevin Murphy, August 13, 2014, Domain Registries

As much as 41% of domains registered in new gTLDs are parked with pay-per-click advertising, according to research carried out by Verisign.

That works out to over 540,000 domains, judging by the 1.3 million total I have on record from June 29, the day Verisign carried out the survey.

Domains classified as carrying “business” web sites — defined as “a website that shows commercial activity” — accounted for just 3% of the total, according to Verisign.

There are some big caveats, of course, not least of which is .xyz, which tends to skew any surveys based on “registered” names appearing in the zone file. Verisign noted:

XYZ.COM LLC (.xyz) has a high concentration of PPC websites as a result of a campaign that reportedly automatically registered XYZ domains to domain registrants in other TLDs unless they opted out of receiving the free domain name. After registration, these free names forward to a PPC site unless reconfigured by the end user registrant.

On June 29, .xyz had 225,159 domains in its zone file. I estimate somewhat over 200,000 of those names were most likely freebies and most likely parked.

The practice of registry parking, carried out most aggressively by Uniregistry and its affiliate North Sound, also threw off Verisign’s numbers.

Whereas most new gTLD registries reserve their premium names without adding them to the zone files, Uniregistry registers them via North Sound to park and promote them.

Tens of thousands of names have been registered in this way.

Coupled with the .xyz effect, this leads me to conclude that the number of domains registered by real registrants and parked with PPC is probably close to half of Verisign’s number.

That’s still one out of every five domains in new gTLDs, however.

Judging by a chart on Verisign’s blog, .photography appears to have the highest percentage of “business” use among the top 10 new gTLDs so far.

Verisign also found that 10% of the names it scanned redirect to a different domain. It classified these as redirects, rather than according to the content of their final destination.

Demand Media spins off Rightside

Kevin Murphy, August 5, 2014, Domain Registries

Demand Media has completed the spin-off of its domain name business, Rightside.

Shares in the new company, which will be listed on the Nasdaq stock exchange, went to existing Demand Media shareholders.

Trading under the ticker symbol NAME, Rightside stock started off at $16.77 yesterday morning and is currently trading at around $15.07.

Rightside comprises number two registrar eNom, retail registrar Name.com, new gTLD portfolio registry United TLD (which is branded Rightside), and its share of auction house NameJet.

It is headed by CEO Taryn Naidu and chairman David Panos.

The company also today named its initial board of directors.

Google beats Microsoft to .docs

Google and Microsoft seem to have settled their contention set for the .docs new gTLD, with Google emerging the victor.

Microsoft withdrew its application for .docs this week.

It’s not clear how the deal was made, but Google is known to have participated in private auctions for other strings.

Google Docs is of course Google’s office document service.

Microsoft also has a Docs service, a collaboration with Facebook at Docs.com, but it seems to have been in beta since April 2010 and, by the looks of the site, isn’t what you’d call a success.

ICM buys .sex for up to $3 million

ICM Registry, the .xxx domain name registry, may have paid as much as $3 million for the .sex gTLD.

Internet Marketing Solutions Limited, the only other applicant for .sex, withdrew its application this week.

Word is that ICM forked out somewhere between $2 million and $3 million for exclusive rights to the string.

I hear it was a private deal, not an auction organized by a third party.

I wonder whether the price was affected by the revelation by ICANN earlier this month that it considers porn-related gTLD strings “sensitive” for no particular reason.

It’s quite low, considering that sex.com sold for $13 million and sex.xxx sold for $3 million just a couple of months ago.

ICM now is the only applicant for .sex, .porn and .adult. It plans to grandfather existing .xxx registrants into the new namespaces, assuming ICANN doesn’t throw a spanner in the works.

Crazy housing market reflected in .london landrush

The world’s insatiable appetite for property in London is being reflected in applications for domain names during .london’s landrush, according to the registry.

Just a few days before the landrush ends, over 30 applications have been filed for properties.london, Dot London said, and apartments.london and houses.london “are among the most sought after” domains.

The registry said:

Trades that serve the property industry are also proving popular, with addresses such as removals.london and scaffolding.london receiving numerous applications, while there are three times as many applications for estateagent.london as for lettingagent.london.

The property market in London is utter madness right now. The average price of a house here is £567,392 ($963,275), up over 12% on a year ago, according to Zoopla.

I could buy a three-bedroom semi-detached house in the town of my birth for the price of a parking space in London.

Apartments literally smaller than a snooker table were selling for £90,000 ($152,000) two years ago.

It’s madness, I tell you, madness.

While much of the house price boom can be blamed on overseas investors, many of whom leave their properties vacant, Dot London is at least giving the city’s residents special treatment in .london.

The landrush is being carried out simultaneously with the sunrise period. Both commenced April 29 and end July 31.

Trademark owners get priority, followed by applicants with London addresses. In the event domains are contested by multiple applicants with the same priority, there’ll be a private auction.

Dot London says that the most-popular landrush domain is nightlife.london, completely unrelated to property. It has more than 40 applications.