The new tlds are coming so all the unproductive discussion about whether they suck or they are not needed has been relegated to the trash bin. These extensions are coming out and there is nothing a domain investor can do to prevent that. The important things are to figure out the next moves for investing in domains in general.
There will be domains to drop just as a function of the new tlds coming out, domains that had a very small marginal value are probably better off being sold off wholesale or dropped.
Pricing will probably be needed to be adjusted on alt extensions if you want to make consistent sales. It will be hard to still ask for XX,XXX in an alt extension unless it is a truly great keyword or makes the most intuitive sense. I don't see Mike Berkens lowering the price on some of his top notch, intuitive .me domains.
Paying close attention to what registry providerg ets what extensions, as that may play a big role in how those domains are delegated. Uniregisty run by Frank Schilling has said it will be first come, first served. No auctioning off the best domains for the best price. Other companies may hold back the best domains and auction them and even hold some to be released later down the road. Of course the flip side of high prices is some believing Google may give domains away for free, of course no one knows.
You may want to get some matching keywords in a new tld if that is a niche you have invested heavily in .com. Of course this can be cost prohibitive if that is a very popular keyword that gets auctioned off to the highest bidder. If Frank can remain true to his vision of first come, first served and everyone getting a chance to reg a few this would be helpful in trying to secure some names that help insure your .com portfolio.
The new tlds may be an opportunity as some tlds will catch on at least for a little bit. I remember months before .mobi was released, I thought no one will care about this extension, and I kind of wrote it off in my mind and did not even focus on it. When .mobi was live there was a thread started by JeremyP on Namepros and all of a sudden there was all this talk and excitement, I remember saying to a friend, "Really ?" There were all these threads people were regging like crazy, I looked at what was available in LLL and regged one name, I was able to sell it the next day on Namepros for $300. I thought to myself if only I had 10 good LLL.mobi that would have been a nice payday.
Now of course we know how that turned out in the long run, but I am not talking about that, I am talking about opportunity, get in and get out when interest is at its highest. If people think something is going to be the next .com sell right then and there unless you are also sharing that pitcher of Kool-Aid.
There is nothing wrong with quick flips but you need to pay attention to what is getting the hype and by who ? There is no doubt in my mind that a couple extensions will get hot at least for the short run, I wish I knew which ones that would be. It will only take some blogger or technology rock star to write about an extension on Tech Crunch or Mashable and that extension will be off to the races in the short run.
Keeping tabs of what is going on in the media will be of great importance during each General Availability launch. That may help with knowing which new tld is going to get a significant boost.
Understanding what are real developments and what is just hyperbole will be of great importance. Who knows what Go Daddy will be promoting in commercials, maybe the Super Bowl one year will be focused on .Shop or .Web, you never know.
Registrars are going to be firmly planted on the side of promoting the new tlds and some domain investors may not like that. As extensions pay for placement on the website of a registrar, the extensions (outside of .com) that you already own may be way down the page.
There were some interesting comments by Frank Schilling in his recent video, "Rather than going to UsedCars.com people will go to Used.Cars" Will they ? Do we know that ? Also is Frank saying that UsedCars.com is no longer a good domain ? If people have been using UsedCars.com they will still use it, the only way they stop using UsedCars.com for Used.Cars is if the website using the new tld has superior content. Consumers are not going to make decisions based on an extension, they want the best content that answers their question or provides them with the products and services they want.
After the domaining perspective is exhausted, what about Google and SEO ? That will be for another article.
This is really a brand new wave of opportunity for naming on the internet. I’d say that around 99% of all first searches for a domain name show that the first choice is not available. If you’re a new company looking for a company name, and then try to get the matching domain, you’ll likely be out of luck finding what you really want. There is always the possibility that the domain you want will be available on the premium market, but costs can be prohibitive to some, especially for smaller companies or start-ups. Many companies resort to their second, third, fourth and so on, choice of domain. Not what they really want.
Nielsen goes on to talk about Vine and mentions how it sold for $970 million to Twitter. The site did not sell for that because it was on Vine.co, when we are talking about domain values I think we need to be careful trying to sneak in developed website sales. Vine would have sold for the same amount imo if it was on a .net.
Another thing is if Sedo employees are out writing articles talking about costs being prohibitive in the secondary market, can you really feel good listing your .com domains on their site ? I mean its fine if you are on the new tld bandwagon, its just that I believe there are going to be a lot of mixed messages.
Should a start up reading that article think to stop their search on Sedo for a cost prohibitive .com and choose a new tld ?
I came across a website called WhatDomain.org, which is a website dedicated to educating the public about the new tlds. They illustrate the Internet as a group of neighborhoods and that there will be many new neighborhoods coming online.
They present these new changes as a bigger and more organized Internet, where individuals can finally get the domain they want.
Promote the interest of the domain name industry by advocating
the use, adoption, and expansion of domain names as the primary tool for
users to navigate the Internet.
As an example of our efforts, our first priority is to educate
Internet users around the world about the new generic top-level domains
(gTLDs) that will be released through ICANN's New gTLD Program.
The Internet landscape is changing, and research shows that Internet
users are unaware of these changes and may be confused by new gTLDs. We
are working together to develop educational resources and campaigns to
prepare users for these changes and support the success of these new
Domain Name Association Interim Board members
Adrian Kinderis (Chair)
CEO, ARI Registry Services
Senior Vice President of Corporate Development, Demand Media
VP, Business & Legal Affairs, Registry Operations, United TLD
Principal, gTech Ideas & Opportunities, Google
Co-Founder and Executive Vice President, Donuts
VP, Policy and External Relations, FairWinds Partners
They did provide a nice looking visual of the domain ecosphere
Name.com uploaded videos from Hosting Con where they asked attendees about the new tlds coming out. There was a diverse mix of answers. There were those who felt it was great and others who thought it would just promote confusion.
I was having a conversation with a friend who is a domainer and he was going on about the new tlds. He was talking about the usual stuff that they are a waste of money, will only bring about confusion and no one wants them. That is a lot of the conversations that take place online as well with the new tlds.
I had mentioned that in talking with six or seven registrars that was where a lot of their focus was, on the new tlds. I had spoken to a few last year about some different ideas that were not related to new tlds, when I was checking in to see where they stood on those ideas earlier in the year, each answer was the same. They had to put those ideas on the back burner while ramping up for the new tlds.
My friend thought these registrars were in his word "despicable" because they know these extensions are going to fail and they will never run one of their own projects on one of them. He then turned the conversation to where I had the most interest, Blogs. He said I bet you and all these other bloggers can't wait for the advertising money that will come in from all these new extensions. He went on to say that bloggers that take advertising money from these new extensions are a fraud if they don't believe in the new extensions. He pointed out that as an example right now some blogs are taking money to advertise .pw on their website and they would never register one, so there is no truth in advertising on their website.
I said that I cannot and will not speak for other people and their advertising relationships, I would say something if someone was advertising malware or spam or something harmful. He replied that .pw was something harmful. I don't share that opinion, an extension is an extension and everyone is trying to make money with domains not just domainers. Registries will look to rebrand if they can make more money, we as domainers have to read between the lines and understand what they are doing.
I said to my friend that its natural a new tld wants to advertise and reach an audience, I think that just so long as a blog discloses its relationships its above board.
I know that because of this I am going to make sure that our disclosure page is updated with more specific info.
So please feel free to weigh in with your own comments here, should someone advertising a new tld have to be actively registering names in that tld ? If not do you feel that is false advertising ?
Bob Mountain is senior vice president of business development at Namemedia. He was interviewed about new tlds and mentioned that he thought that .Menu will be a home run, he also states in the interview below that he thinks that .pw has done very well as an entry level .pro.
Why there would be a need for an entry level .pro is something I don't understand. Dot Pro would certainly love all the registrations it can get, it does not need a minor league system such as a rebranded cctld.
Mountain does think it will be hard for the broad based extensions like .web. I think there are more people enthused about .web than there are about .menu. That will be the beauty and the beast of this new tld program, a lot of different opinions, with success and failure have many definitions.
Of course all these companies want some piece of the pie, Mountain goes on later in the interview to talk about their big initiative to help new tlds with their pricing strategy. I hear a lot of friends of mine say these new tlds are all a waste of time, why are these companies getting involved in this crap ?
The answer is there is just too much money on the table not to get involved.
Ever thought of the perfect domain name for your business only to
find it's already been taken? If so, you'll be happy to know soon there
will be a more than 6,000 percent increase in the number of website
Some will be brand-centric--think .apple for Apple or .citi for
Citibank. Others will be generic top-level domains (gTLDs) such as app,
.home, .book, .shop, and .design as well as others that will be specific
to languages such as Japanese, Arabic and Chinese.
It's a transformation that concerns every company--even start-ups and
small businesses--says David Mitnick, founder and president of DomainSkate, an Internet company that focuses on domain name arbitration disputes.
The article goes on to look at why there is a need for these tlds, who wants them and who is against them.
TheDomains.com and DomainIncite.com got a little plug from David Mitnick on good resources companies should follow to keep up on the news.