So far, most new TLD registries are pricing their domains at a big premium to .com. Will that limit registration numbers?
We’re starting to get a better idea of how new top level domain name registries are going to price domain names. It appears many are taking the .TV approach, essentially pricing out any value domainers can get from registering the domains and selling them (if there is much value to capture to begin with).
We’re also seeing niche domain priced quite high by some registries.
Consider .build, which estimates that “basic” .build domain names will retail for $99.
How many domain registrations can .build realistically expect to get? Is 10,000 registrations a realistic goal?
Depending on its overhead, that wouldn’t be a bad business. That’s about $1 million a year, with perhaps $600,000 going to the registry.
The bogey in all of this is defensive registrations. It’s possible that construction companies will pay $99 to keep their names out of the hands of others. If that’s the case, then the number could be much higher.
What do you think? At $99, how many registrations do you think an industry term like .build will get?
I cannot see the new TLD’s taking off in any big way and will simply serve a niche market. The more .com’s are sold to the general public/companies the better because that will then keep .com in the minds of the public. If Twitter ,Google etc etc etc keep using .com’s then is also good for the “.com” tld .
Joseph Peterson says
My cousin owns a road construction company in L.A., and I can’t imagine them paying for .build. Their name to the left of the dot is already self-explanatory and self-contained; so adding .BUILD to it would be clunky.
Why would a construction company be motivated to defensively register .BUILD. Trademark protection already provides grounds to sue any other construction company using the same left-of-the-dot name plus the .build extension. So why would a construction company with an existing brand name and website bother? They’re already safe from direct competition in the same niche.
In my opinion, only existing domains ending in “build.com” would be interested in .BUILD as a shortener.
Of course, there will be hype and paranoia. But how many construction companies have felt threatened enough by .BIZ, .MOBI, and .CC to defensively register those extensions? And if they weren’t then, why will they be now?
There may be other motives for looking at .BUILD. But defensive registration for construction companies — though it might happen — would accomplish little even defensively.
Rick Schwartz says
The better would be Build at the begiining not at the end. I see that a lot. You can build a lot of things. Buildhomes, buildbusiness buildanything. But does not sound right the other way as .build
Just a few combos. I am not getting it.
But to your question as a .build, I think hundreds rather than thousands and they won’t be from consumers or end users. Certainly not for investors.
Sorry, that dog won’t hunt. imho
Andrew Allemann says
Rick, that’s a good point that I’ve noticed about a lot of new TLDs – they make a lot more since if the TLD keyword was at the beginning of the domain, not the end.
Andrew Allemann says
It’s also worth noting that .build will have to compete with Donuts’ .construction. If Donuts prices it like its other domains so far, it will be much cheaper than .build. The same people that applied for .build originally applied for .construction as well.
A .construction will make for some really catchy email addresses. And just imagine the radio test for companies latching onto these “intuitive” new gTLDS. Sigh.
Pricing this way is going to take almost all domain investors out of the mix. Now an extension like .kiwi will have to go out and try to convince end users to purchase a .kiwi domain for a premium. It’s still hard enough trying to get most end users to understand the value of a solid .com domain, good luck trying to get them to understand paying a premium for a .kiwi or anything else.
I thought 90% of the new TLDs would fold up rather quickly… with this pricing scheme I’m thinking it will be closer to 95% of them now.
Too damn funny !
TLD operators opening up extensions with apparently no research or consultation, just a feeling of what they think might work.
Local, which includes builders, have historically not paid squat for “their” local domains. You usually top off at 1-2K if you are lucky. The exception is for really great ones like ChicagoRoofing.com which could go for much more. Outside this, it’s really small stuff.
Also, their business is not Online per se, so they are not as reliant on domain names.
.build might be better suited to the online development community, but they generally are real tight asses, arrogant, and argumentative.
Good luck dot build, you’ll need a dump truck load of it to make a profit !