Latest news of the domain name industry

Recent Posts

Overstock.com slows down O.co rebranding

Kevin Murphy, November 14, 2011, Domain Registries

Overstock.com is throttling its transition to the O.co brand after discovering consumers typed o.com even after watching the company’s commercials, according to a report.

The company’s $350,000 purchase of and subsequent rebranding around the o.co domain was possibly the single biggest single marketing coup for .CO Internet, the .co registry, to date.

But now it intends to keep the Overstock.com brand in the US for the time being, while using O.co overseas and on a new iPad app, according to a report in AdAge.

The O.co Coliseum, the stadium in Oakland for which Overstock bought the naming rights, will continue to bear the O.co name.

AdAge quoted Overstock president Jonathon Johnson saying that “a good portion” of people viewing its commercials tried to visit o.com, which is a non-resolving registry-reserved name, instead.

“We were going too fast and people were confused, which told us we didn’t do a good job,” he told AdAge. “We’re still focused on getting to O.co, just at a slower pace… We’re not flipping back, we’re just refocusing.”

This is obviously bad news for commercial new top-level domain applicants, many of which will be looking for all-important anchor tenants to validate their brands at launch.

Marketing people like to refer to the measurable results of others before pulling the trigger on new initiatives. The O.co case is unlikely to create enthusiasm for new TLDs.

On the other hand, it’s commonly believed that when it comes to breaking the .com mindset in the US, it will take more than a trickle of new TLDs such as .co. It will take a flood.

.CO Internet has always taken the position that .co adoption will take time, and that the ICANN new gTLD program will help its cause by raising awareness of non-.com domains.

US puts ICANN contract up for rebid

Kevin Murphy, November 11, 2011, Domain Policy

The US government has put the IANA contract, which currently gives ICANN its powers to create new top-level domains, up for competitive bidding.

The National Telecommunications and Information Administration issued a request for proposals late yesterday, almost a week later than expected.

The Statement Of Work, which defines the IANA contractor’s responsibilities, is over twice at long as the current IANA contract, containing many deliverables and deadlines.

While the contract is open to bidders other than ICANN, ICANN is obviously the likely winner, so it’s fair to read the SOW in that context.

Notably, the section dealing with approving new gTLDs has been changed since the draft language released in June.

NTIA said previously that in order to delegate a new gTLD, ICANN/IANA “shall include documentation to demonstrate how the proposed string has received consensus support from relevant stakeholders and is supported by the global public interest.”

The new SOW has dropped the “consensus support” requirement and instead states:

The Contractor must provide documentation verifying that ICANN followed its policy framework including specific documentation demonstrating how the process provided the opportunity for input from relevant stakeholders and was supportive of the global public interest.

This could be read as a softening of the language. No longer will ICANN have to prove consensus – which is not a requirement of the Applicant Guidebook – in order to approve a new gTLD.

However, the fact that it will have to document how a new gTLD is “supportive of the global public interest” may give extra weight to Governmental Advisory Committee objections.

If the GAC were to issue advice stating that a new gTLD application was not in “the global public interest”, it may prove tricky for ICANN to provide documentation showing that it is.

The SOW also addresses conflicts of interest, which has become a big issue for ICANN following the departure of chairman and new gTLD proponent Peter Dengate Thrush, and his subsequent employment by new gTLD applicant Minds + Machines, this June.

The SOW says that IANA needs to have a written conflicts of interest policy, adding:

At a minimum, this policy must address what conflicts based on personal relationships or bias, financial conflicts of interest, possible direct or indirect financial gain from the Contractor’s policy decisions and employment and post-employment activities. The conflict of interest policy must include appropriate sanctions in case on non-compliance, including suspension, dismissal and other penalties.

Overall, the SOW is a substantial document, with a lot of detail.

There’s much more NTIA micromanagement than in the current IANA contract. Any hopes ICANN had that the relationship would become much more arms-length have been dashed.

The SOW includes a list of 17 deadlines for ICANN/IANA, mainly various types of compliance reports that must be filed annually. The NTIA clearly intends to keep IANA on a fairly tight leash.

You can download the RFP documents here.

Massive group forms to kill off new gTLDs

Kevin Murphy, November 10, 2011, Domain Policy

ICANN’s new nemesis is called CRIDO.

Eighty-seven companies and trade groups have formed the Coalition for Responsible Internet Domain Oversight, a lobby group set up to kill ICANN’s “deeply flawed” top-level domains program.

It’s led by the Association of National Advertisers, which emerged this August as a vocal opponent of new gTLDs and has spent the last few months recruiting allies.

Its new domain, crido.org, is registered to the ANA’s PR firm and currently redirects to the ANA’s gTLD microsite.

The new group said in a press release today:

On behalf of its many constituencies and industries, CRIDO is committed to aggressively fighting ICANN’s proposed program, citing its deeply flawed justification, excessive cost and harm to brand owners, likelihood of predatory cyber harm to consumers and failure to act in the public interest, a core requirement of its commitment to the U.S. Department of Commerce.

If the ICANN program proceeds, CRIDO firmly believes, the loss of trust in Internet transactions will be substantial. In addition, the for profit and non-profit brand community will suffer from billions of dollars in unnecessary expenditures – money that could be better invested in product improvements, capital expenditures and job creation.

CRIDO’s members comprise 47 trade associations, most but not all American, and 40 companies, many of them major household names such as Coca-Cola, Burger King and Kellogg.

Together, they have signed a petition to the Department of Commerce, ICANN’s overseer in the US government, asking it put a halt to the new gTLDs program

The questions now are whether Commerce will do anything concrete to address the demands and, if not, whether CRIDO will decide to put its lawyers where its mouth is instead.

Here’s a handy table of all CRIDO’s members.

AssociationsCompanies
AAF-AmarilloAcxiom
AAF-DallasAdobe Systems Incorporated
AAF-Fort WorthAllstate Insurance Company
AAF Hampton RoadsAmerican Express
AdClub CincinnatiBrinker International
American Advertising Federation (AAF)Burger King Corporation
American Advertising Federation of Des MoinesThe Coca-Cola Company
American Apparel & Footwear Association (AAFA)Combe Incorporated
American Association of Advertising Agencies (4As)ConAgra Foods
American Beverage Association (ABA)Costco Wholesale Corporation
American Council of Life Insurers (ACLI)Darden Restaurants, Inc.
American Health Care Association (AHCA)Dell Inc.
American Insurance Association (AIA)Dunkin Brands, Inc.
American Intellectual Property Law Association (AIPLA)Educational Testing Service (ETS)
American Society of Association Executives (ASAE)Fidelity Investments
Association of Canadian Advertisers (ACA) Ford Motor Company
Association of National Advertisers (ANA)General Electric Company
Austin Advertising FederationHack Creative
Boise Advertising FederationHewlett-Packard Company
Cable Advertising Bureau (CAB)Hunter Douglas NA
Consumer Electronics Association (CEA)J.C. Penney Company, Inc.
Direct Marketing Association (DMA)Johnson & Johnson
European Association of Communications Agencies (EACA)Kellogg Company
European Publishers Council (EPC)La Quinta
Food Marketing Institute (FMI)Liberty Mutual
Grocery Manufacturers Association (GMA)MillerCoors
Idaho Advertising FederationMoney Mailer of Amarillo
Idaho Falls Advertising FederationNationwide Mutual Insurance Company
Intellectual Property Owners Association (IPO)Neon Sun Tanning Salon
Interactive Advertising Bureau (IAB)Nestle USA
IAB EuropeORCI
Lewis-Clark Valley Advertising FederationOSI Restaurant Partners, LLC
Magic Valley Advertising FederationPapa John’s
Mobile Marketing Association (MMA)Procter & Gamble
MPA - the Association of Magazine MediaPublicis Groupe
National Association of Broadcasters (NAB)Pulte Group
National Association of Manufacturers (NAM)Samsung
National Confectioners Association (NCA)US Bank
National Council of Chain Restaurants (NCCR)Vanguard
National Restaurant Association (NRA)Verge
Pocatello Advertising Federation
Promotion Marketing Association (PMA)
Radio Advertising Bureau (RAB)
Retail Industry Leaders Association (RILA)
Television Bureau of Advertising (TVB)
U.S. Chamber of Commerce
World Federation of Advertisers (WFA)

Twitter co-founder to headline DOMAINfest

Kevin Murphy, November 9, 2011, Domain Services

Twitter co-founder Biz Stone is to keynote the 2012 DOMAINfest Global conference, organizer Oversee.net has just announced.

It sounds rather like his speech will focus on the “inspirational story” angle, rather like Go Daddy founder Bob Parsons’ keynote at the 2011 show.

According to the agenda, Stone will “share his thoughts on Twitter’s future and the evolving world of social media”.

Judging by the other speakers and panelists lined up, it’s an SEO-heavy agenda, but there will be a workshop entitled “Everything You Need to Know about New TLDs”.

For the new gTLDs panel, so far only Neustar’s Ken Hansen is listed as a confirmed speaker. I don’t expect that state of affairs to last long.

The show will be held at the Fairmont Miramar in Santa Monica, California, from January 31 to February 2 next year. Prices start at $1,195 if registering before December 31.

Companies that can’t apply for .brand gTLDs say they have decided not to apply for .brand gTLDs

Kevin Murphy, November 8, 2011, Domain Policy

Hewlett-Packard and Proctor & Gamble have ruled themselves out of applying to ICANN for .brand top-level domains, or so they claim.

Bloomberg yesterday reported a distinct lack of enthusiasm for new gTLDs from many large brands, leading with quotes from P&G and HP:

P&G, the world’s largest consumer products company with more than 50 brands including Tide detergent, Pampers diapers and Crest toothpaste, won’t apply for new suffixes, said Paul Fox, a spokesman. HP, the biggest computer maker, considers the program costly and has no plans to take part, said Gary Elliott, vice president of global marketing.

“A lot of companies are looking at the same math as we are and saying, ‘Let’s stop this proposal from happening,’” Elliott said in an interview. “There’s a tremendous amount of confusion about what this means and what the costs are.”

HP’s Elliot is chairman of the Association of National Advertisers, the most vocal opponent of the new gTLD program, as the Bloomberg report notes.

One fact the report doesn’t mention – and I’d bet Elliot didn’t volunteer – is that HP and P&G cannot apply for .hp or .pg due to ICANN’s strict three-character minimum for new gTLD strings.

HP had campaigned for ICANN to scrap the two-character prohibition for a number of years, though it usually also noted that in principle it was opposed to the program.

Nevertheless, it strikes me as disingenuous for the company to say it’s decided against a .brand on the basis of cost, when ICANN essentially made its decision for it years ago.

P&G, which mostly makes cosmetics and toiletries, has also ruled out applying for gTLDs to represent any of its 50 or so well-known brands, Bloomberg reported.

The internet will have to go without .tampax and .pampers for the foreseeable future.

General Motors, Wal-Mart, Adobe, Porsche, Vodafone and Puma are all generally negative on the program but are still evaluating their options, according to Bloomberg.

It’s quite possible that these outfits are just as opposed to the new gTLD program as HP and P&G.

But if they’ve been talking to consultants, they will also have been advised not to publicly talk about their applications. Nothing can be gained by going public before April 12.