Rate increased to 15%, in line with competitors.
DomainNameSales.com is increasing the fee it charges for brokering a sale from 12.5% to 15.0%. The commission applies to existing negotiations for which a deal hasn’t been reached.
In justifying the price increase, DNS VP of Sales Jeff Gabriel wrote:
Over the past 90 days we have added 5 new Domain Brokers – two are fluent in Mandarin, three have backgrounds in Hi-Technology, Advertising, and Engineering Sales. Our new team members allow us to extend our reach into new markets and industry verticals, and to do a better job for you. The total number of in-house brokers at DNS is now 24 – who speak more than 10 languages, and are available from 7AM-9PM M-F CST, to work on your leads.
The commission rate is in line with other brokerage-assisted services, such as those offered by Sedo. The company increased its commission from 10% to 12.5% in August 2013.
The DomainNameSales.com platform does not require clients to use its brokerage services. Clients can negotiate sales themselves without paying a fee.
Acro says
Top notch brokering, at a very reasonable price. Sedo increases its commission rates today as well.
Joseph Peterson says
In my experience with DomainNameSales.com, their brokers mainly sent out impersonal template emails to prospective buyers. The extent of their interaction with me as a seller seldom went beyond asking me for a price to copy and paste.
From time to time my clients include buyers who have previously interacted with DomainNameSales.com brokers. They’re as little impressed by the spam-like template emails as I have been, as several of them have told me without being asked.
It’s true that the platform allows sellers to handle their own negotiations, which I found preferable. However, that means no commissions for the company. Their only payment would be inbound traffic, PPC earnings, and spillover domain searches on their website.
During my recent conversation with DomainNameSales.com’s VP of sales, Jeff Gabriel, it was abundantly clear to me that he regards sellers who undertake their own negotiations as freeloaders and dead weight. No doubt, that imperious sense of his customers being expendable played a part in his decision to police my negotiations and then peremptorily ban me for not doing as he pleased.
Personally, I find that I close a higher percentage of sales at Sedo (which includes a streamlined payment and escrow process) and at Afternic (whose brokers interact with buyers in a much more knowledgeable personal way).