Namecheap CEO Richard Kirkendall has always spoken his mind freely. The other day, I replied to someone who asked about why domain registries raise their fees. I think it’s pretty clear that they raise their fees because they can and because the want to increase their revenue.
Richard’s response to this was better than mine:
Charge whatever you like from the start so at least the user can make a decision based on that price but there should be some sort of justification if you’re a registry if you’re going to be raising by an exorbitant rate. It’s unfair to the customer to be locked in and then…
— Richard Kirkendall (@NamecheapCEO) February 26, 2024
Richard has a good point. Once a user is using a domain name, it can be very expensive, risky, and time consuming to switch domain names. Most won’t do it over the inconvenience of a renewal fee increase.