New gTLD registry RightSide has slashed the minimum price of its so-called “Platinum” tier premium domains and dropped renewal fees for these domains down to an affordable level.
The price changes come as part of two new marketing initiatives designed to start shifting more of its 14,000-strong portfolio of super-premiums through brokers and registrar partners.
The minimum first-year price of a Platinum-tier name has been reduced immediately from $50,000 to $25,000.
In addition, these domains will no longer renew every year at the same price. Instead, RightSide has reduced renewals to a more affordable $30.
“We weren’t selling them,” RightSide senior VP of sales and premiums Matt Overman told DI. “There is not a market for $50,000-a-year domain purchases.”
Now, “we feel comfortable enough with amount money we’re going to make up-front”, Overman said.
However, premium renewals are not being abandoned entirely; non-Platinum premium names will still have their original higher annual renewal fees, he said.
RightSide has sold some Platinum names in the five and six-figure range, but the number is quite small compared to overall size of the portfolio.
But Overman said that “none of them sold with a $50,000 renewal”. The highest renewal fee negotiated to date was $5,000, he said.
Before yesterday’s announcements, RightSide’s Platinum names were available on third-party registrars with buy-it-now fees that automatically applied the premium renewal fees.
However, it seems that the vast majority if not all of these sales came via the company’s in-house registrars such as Name.com and eNom, where there was a more flexible “make an offer” button.
Under a new Platinum Edge product, RightSide hopes to bring this functionality to its registrar partners.
It has made all 14,000 affected names registry-reserved as a result, Overman said. They were previously available in the general pool of unclaimed names and available to registrars via EPP.
Each affected name now has a minimum “access fee” of $25,000 (going up to $200,000 depending on name) that registrars must pay to release it.
They’re able to either negotiate a sale with a markup they can keep, or sell at “cost” (that is, the access fee) and claim a 10% commission, Overman said.
A separate Platinum Brokerage service has also been introduced, aimed at getting more professional domain brokers involved in the sales channel.
Brokers will be able to “reserve” up to five RightSide Platinum names for a broker-exclusivity period of 60 days, during which they’re expected to try to negotiate deals with potential buyers.
While no other brokers will be able to sell those names during those 60 days, registrars will still be able to sell those reserved names.
Overman said that if a registrar sells a name during the period it is under exclusivity with a participating broker, that broker will still get a commission from RightSide regardless of whether they were involved in the sale.
“We won’t give that name to any other broker, but if it sells through a registrar they still get their 10%,” he said. The registrar also gets its 10%.
This of course is open to gaming — brokers could reserve names and just twiddle their thumbs for 60 days, hoping to get a commission for no work — but the broker program is expected to be fairly tightly managed and those exploiting the system could be kicked out.
RightSide will be making the case for the two Platinum-branded offerings at the upcoming NamesCon conference in Las Vegas, where it also expects to name its first brokerage partners.
NamesCon says it has booked the venue for three more years of domain name conferences, following its acquisition this week.
The conference organizers said today that it has been acquired by 13-year-old German events outfit WorldHostingDays, which usually focuses on the hosting market, for an undisclosed sum.
NamesCon said in a press release that all existing commitments — such as tickets and sponsorship deals — will be honored, and that the same folk will still run the 2017 conference.
It said that it has booked the Tropicana hotel in Las Vegas, venue for the first three events, for the next three years.
The next three events will be held January 22 – 25, 2017, January 28 – 31, 2018 and January 27 – 30, 2019, the company said.
NamesCon focuses on the business of domain names, providing sessions on the buy and sell sides of the business.
Domain Name Association chair Adrian Kinderis has called for the industry to “grow up”.
The former ARI CEO, now Neustar veep, said Monday it’s time for the industry to kick out the handful of bad actors that ruin its reputation, and to quit the “bullshit bickering” about which TLDs are best.
“For far too long this industry has turned a blind eye to the less than scrupulous activities,” he said, “and these activities have plagued this industry. Bad actors have tarnished the perception of this industry.”
“This may have been acceptable when it was a few insiders first grasping at a fledgling product in the early nineties but… we are now front and center of the internet,” he said.
“These practices of a few bad actors have led to the frustration of consumers. We have not served the best interests of our consumers at all times,” he said. “This has to change.”
He was speaking to an audience of registries, registrars and investors at the opening session of the NamesCon conference in Las Vegas on Monday.
It was a fairly standard DNA sales pitch, the kind Kinderis has given before, but few could deny the truth of his remarks.
He called upon the industry to more effectively self-regulate, working with ICANN, to keep the boogeymen of government legislators and law enforcement agencies at bay.
“It’s time to grow up and show that we can regulates ourselves and build a strong sustainable industry with integrity,” he said.
He also called for unity among industry participants, pointing out that the threats to their businesses are external to the domain industry.
“The domain name war must be over,” he said. “The infighting and bullshit bickering has to stop. The .coms, the not-.coms, the IDNs, the g’s versus the cc’s… this must stop.”
“As an industry we have been very lucky. We’ve stumbled through 20 years without a collective strategy nor cohesion,” he said. “Outside forces have not had a massive impact on us, yet. QR codes have tried. Apps are trying.”
He pointed to the recent positive “bump” that many domain companies have experienced as a result of investment from China, but attributed to “dumb luck” rather than the result of any smart marketing or outreach.
The 10-minute speech can be viewed below or on the NamePros YouTube channel.
.xyz made a bit of a splash with domain investors in 2015, but is the meaningless string “xyz” inherently attractive? Even at the second level?
Rightside seems to think so.
The registry, which does not operate .xyz, is planning to auction at least four “xyz” domains during next Monday’s live auction at the NamesCon conference in Las Vegas.
Rightside today disclosed that xyz.sale, xyz.market, xyz.news and xyz.live will be among about a dozen registry-reserved short domain names– such as q.sale and z.pub — it will attempt to sell.
The only meaningful domain on its list is the absolutely fantastic, category-killing viral.video.
It’s difficult to see the “xyz” names as anything other than attempt to cash in on the popularity of .xyz domains among the investors, many of them Chinese, currently pumping money into the domain market.
XYZ.com’s .xyz gTLD has over 1.7 million domains in its zone file today, making it the largest-volume new gTLD by a considerable margin.
I’m not sure there’s any causal connection here, but it should probably be noted that Daniel Negari and Michael Ambrose, XYZ.com’s CEO and COO respectively, recently acquired a substantial chunk of Rightside.
The two men disclosed November 30 that they had paid over $8.5 million to buy almost 10 million shares — or roughly 5.2% of the company — on the open market.
The NamesCon auction kicks off at 1400 Pacific (2200 UTC) on Monday at the Tropicana in Vegas. It’s being managed by RightOfTheDot and Namejet.
A company with a track record of misleading conference attendees into booking hotels with higher fees appears to be targeting NamesCon.
This morning I received a phone call from somebody claiming to be from NamesCon, but he pronounced it “Name Escon”.
I asked him what company he worked for, and he continued to insist he worked for “Name Escon”.
So I indulged him for a while, and it turned out he was trying to book me into a Las Vegas hotel for the duration of the January 10-13 trade show.
He offered me a rate at the Tropicana of $99 per night, including breakfast. That’s actually not a bad rate — about $20 less than what Expedia is currently asking.
I kept him on the phone until he sent an email to an address he had on file for me (the one from DI’s About page, which I don’t use to sign up for anything).
It arrived immediately, from Exhibitors Housing Services (ehshousing.com), which appears to be a Los Angeles company, with a link to housing-portal.com.
The link led to a credit card authorization form, pre-tailored to my details and the rate offered, which included some terms and conditions I didn’t like the look of.
A simple web search revealed that the company is widely believed to be Bad News.
The same outfit appears to regularly target annual conferences using the exhibitor lists published on earlier conference web sites. Contact information appears to be taken from the exhibitor’s own site.
According to the likes of Affiliate Summit and The Physiological Society, and the Society of Trust and Estate Practitioners and the Agricultural & Applied Economics Association these guys may charge up-front processing fees and/or have a very unfavorable cancellation policy.
In fact, just Googling for “Exhibitors Housing Services” will return pretty much nothing but scam warnings from various conference organizers.
One chap even posted a YouTube video explaining what he thinks the scam is.
I’m pretty certain the company has nothing to do with NamesCon.