Had your eyes on a domain at Marchex? Might want to give GoDaddy a call

GoDaddy pricing the domain names at a more reasonable level.

One of the reasons GoDaddy acquired Marchex’s domain name portfolio (which was recently being sold under the Archeo brand) was that Marchex had steep prices on the domain names.

A friend tried to buy a domain name last year. He was initially told it would cost something like $30,000. Marchex later offered to sell it for something like $10,000, but my friend had moved on to a different domain.

GoDaddy said it would attach prices to many of the domains and sell them for prices that make them more liquid. We’re starting to see evidence of this.

RobbiesBlog.com has a story describing a case in which it bought a domain name quoted for $20,000 at Marchex for just $3,000 at GoDaddy. Based on a description of the negotiations, it appears that GoDaddy isn’t using past quotes/information from Archeo when negotiating sales.

GoDaddy also sold Beijing.com. I assume GoDaddy was willing to negotiate on this domain more than Marchex was.

So here’s a tip: if there’s a domain at Marchex that you had your eyes on previously, give GoDaddy a call and see if you can strike a good deal now.

GoDaddy finds it harder to grow top line

Revenue growth slowed in first quarter.

GoDaddy’s headline revenue number in Q1 was up 17.5% year-over-year, but the quarter-over-quarter number isn’t as pretty.

Here’s GoDaddy’s revenue growth each quarter-over-quarter, going back as far as its S-1 filed with the SEC discloses:

godaddy-quarterly

Q1 2015 was up just 1.2% compared to Q4 2014. Q4 2014 wasn’t a a huge quarter, either. In Q1, revenue increased about $5 million compared to the previous quarter. The lowest gross change in any quarter over the past two years prior to now was $10 million.

Of course, revenue isn’t the only important number and can be a difficult measure for a subscription business like domain names and hosting. Revenue is recognized over time, not all up front.

GoDaddy releases first earnings report as public company

Company posts 17.5% year-over-year growth in first quarter of 2015.

GoDaddyGoDaddy has released its first quarterly earnings as a public company and will hold its first quarterly investor call later this afternoon.

The company posted revenue of $376.3, up 17.5% compared to the first quarter of 2014. Revenue was up just 1% quarter-over-quarter.

The net loss was $(43.4) million, which isn’t as bad as the same quarter last year but is worse than last quarter’s $(26.8) million.

GoDaddy added about 400,000 customers during the quarter and increased revenue per user by $10 over the past year.

Revenue in the Domain Name business was up about 10% year-over-year while the company’s growth lines, Hosting and Business Applications, were up 21% and 53%, respectively.

.Com domain name winners and losers

eNom and Uniregistry do well on transfers, GoDaddy and eNom lead in new registrations.

ICANN just published the most recent .com transactions report, reflecting registrar results for .com from January.

There were no major outliers from January in terms of .com transfers, but Google Domains made an appearance on the top gainers list. 9,770 domains were transferred to Google’s new domain name registrar. I wonder if these were from consumers transferring their domains or if Google transferred some of its own domain names to its new registrar.

Here are the top five net gainers, comparing successful transfers in to transfers out: Click here to continue reading…

GoDaddy acquires Marchex’s domain name portfolio for $28 million

An in-depth look at GoDaddy’s purchase of over 200,000 domain names and what it means for domain name investors.

GoDaddy Archeo domain name

GoDaddy has acquired Marchex’s Archeo domain name portfolio for $28.1 million.

GoDaddy (NYSE: GDDY) has acquired about 200,000 domain names from Marchex (NASDAQ: MCHX) for $28.1 million, plus a potential earnout.

Marchex has owned the portfolio for a long time, and it includes most of the 100,000 domains it acquired from domain name investor Yun Ye for $164 million in 2005. The company didn’t focus on selling its domain names until 2012, when it created a separate domain-focused business called Archeo. The plan was to spin Archeo off as its own publicly traded company, but it canceled these plans in 2013.

GoDaddy SVP and GM of Domains Mike McLaughlin said GoDaddy looked at the domain portfolio as a unique opportunity. Click here to continue reading…