Survey: Biggest Threats to Domain Name Industry

Thursday, May 17th, 2007

Changes in pay-per-click market, new registry contracts threaten industry.

The domain name industry is worried about changes in the pay-per-click market and new registry contracts that allow for wholesale domain name price increases, according to the 2007 Domain Name Wire survey.

36% of respondents rated “changes in the pay-per-click market” as the top concern when asked “What do you think is the biggest issue facing the domain name market in 2007?” Domain professionals are concerned that click fraud, a tightening of parked page rules, and fluctuations in online advertising may take a bite out of the strong market. This concern is not new; last year 34% of respondents rated this as their top concern.

The second biggest concern is new registry contracts that allow registries to increase prices. Registries set the wholesale price of domains. The wholesale price of a .com, managed by registry VeriSign (NASDAQ: VRSN), is currently $6.00 but will increase 7% later this year. Prices of other domain extensions, such as .net, .org, and .info, are also increasing this year. 24% of respondents said these new contracts are the biggest threat to the industry.

Other concerns remain domain theft, reverse domain name hijacking, and malevolent domain name registrars (e.g. RegisterFly).

More survey results

Further Reading:

  1. Survey: ICANN Policy Biggest Issue for Domain Industry
  2. ICANN Policies Are Biggest Issue Facing Domain Industry in 2011
  3. Threats to the Domain Name Industry

5 Comments » - Posted in Policy & Law by

Comments

  1. ParkQuick
    May 17th, 2007 | 4:08 pm

    It’s great to read the results of this survey, but it’s a little frustrating to have them dripped out a little at a time. In addition to these blog posts, can you include a link to the complete results? That would be a nice addition, IMHO.

  2. Editor
    May 17th, 2007 | 9:45 pm

    Your wish is my command:

    http://domainnamewire.com/survey

    I haven’t had a chance to aggregate all of the data like I did last year, but hopefully I’ll be able to soon.

  3. » Survey: Biggest Threats to Domain Name Industry Domain News - The Domain Name News at DomainNews.com, Domain
    May 18th, 2007 | 12:54 am

    [...] Full survey results are available from the Domain Name Wire website here. [...]

  4. Floyd
    May 20th, 2007 | 7:17 am

    Very nice survey. I would love to see more statistics on click fraud.

  5. Adarsh Kaushal
    May 21st, 2007 | 8:15 am

    Click Fraud is like virus to the domain industry. It would be great if it can be minimized if not completely removed. A Big relief for advertisers.

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