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Cost for Back End gTLD Services

Elliot Silver
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20

It’s a fact that applying for a gTLD is going to be expensive. We know that the cost for a gTLD application is a non-refundable $185,000 payment to ICANN, and the cost will be considerably more if there are other companies that wish to operate the same gTLD.

In addition to the fixed costs of applying, there will likely be additional legal costs associated with the application as well as consulting costs for companies that want to work with experience professionals like Right of the Dot and Minds + Machines.

These front end costs aside, the actual cost of maintaining the gTLD registry has been an unknown to people without the experience of running a domain registry. Minds + Machines, a company operated by Antony Van Couvering,  just put out a press release announcing a simplified pricing plan for back end gTLD services.

According to the release, “for a flat fee of $100,000 a year, the company will provide unlimited registrations for new TLDs using the Espresso platform, with no per-name fee for most new TLDs.”

The company is also willing to offer a discount to “disadvantaged or needy applicants providing services to underserved communities.”

Press Release:

Singapore, June 24 2011 – Minds + Machines, a wholly owned subsidiary of Top Level Domain Holdings (London AIM, TLDH.L) today announced new pricing for back end registry services for top-level domains. For a flat fee of $100,000 a year, the company will provide unlimited registrations for new TLDs using the Espresso platform, with no per-name fee for most new TLDs.

“We’ve simplified the model,” said Antony Van Couvering, CEO of Minds + Machines. “For a simple, low, flat fee, any prospective applicant can be in the TLD business. Until now, pricing for registry services has been shrouded in secrecy, and potential applicants have had to try to decipher convoluted pricing tiers. The new gTLD program, approved on Monday by ICANN, was meant to usher in a new era of choice and innovation. Minds + Machines is proud to kick that off with our offering.”

“ICANN has opened the Internet’s addressing system to the limitless possibilities of the human imagination,” said Rod Beckstrom, CEO of ICANN. “We have provided a platform for creativity and inspiration, and for the next big dot-thing,” said Peter Dengate Thrush, Chairman of the Board of ICANN.

“The Minds + Machines flat-rate formula is predictable, simple, and attractive,” said George T. Bundy, president of BRS Media, operators of .FM and applicant for .RADIO. “We have been using their Espresso platform for .FM, and it is reliable, flexible, and easy to use. Combined with this pricing it’s very attractive.”

The new Minds + Machines offering excludes certain high-volume super-generic terms such as .music, and geographic terms such as .nyc. The new pricing will be extended to existing clients.

In addition, for disadvantaged or needy applicants providing services to underserved communities, Minds + Machines will offer the service for a 50% discount.

“Our goal is to increase the number of new gTLDs, and the new pricing will be a great help. The fact is that many applicants don’t know how many registrations they will achieve,” said Van Couvering. “The better you can predict your costs, the less risk there is to applying for a new gTLD. An all-inclusive flat fee will give applicants predictable budgets and great savings if they hit their numbers.”

Don’t Add Me To Your Email List

Elliot Silver
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7

This should be common sense, or at least common sense to a marketing or public relations agency, but apparently it’s not. Do NOT put people onto email lists that you think might be interested in what you are trying to sell – be it a product, service, or news updates.

In the last few weeks, I must have been added to three or four different email lists for companies wanting to spread the news about gTLD domain names. It’s one thing if a company emails me to ask me permission to be put on an email list (although some would argue that’s spam), but it’s another thing to just add someone and assume they are interested.

Personally, I feel that an email request sure beats getting added to an email list, and it shows me that the sender actually respects my time and the CAN SPAM laws in the US.

I also want to add that people should be sure to have an easy opt-out link on the email in case the person decides to opt out of receiving emails from the list. I get enough emails every day as is, and I only want to receive marketing emails that I choose to receive.

Incidentally, one of the public relations companies that added me to their email list not only didn’t have an opt-out link on the email, but also kept me on the email list even after acknowledging my opt out request. This is not a good way to do business, it doesn’t do the client any justice if they aren’t aware of the tactics, and it’s likely against the law.

First UDRP Win for .CO Owner

Elliot Silver
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9

A UDRP was filed for  Champagne.CO by Comité Interprofessionnel du vin de Champagne of Épernay, France, and the complaint was denied by the sole panelist. I believe this marks the first successful defense of a .CO domain name in a UDRP. Not only is champagne the popular sparkling wine, but it’s also a  region in France where the grapes for said wine are grown.

One reason the respondent one appears to be because the name is geographical in nature. The panelist referred to the WIPO Final Report on the First Domain Name Process and the Second Domain Name Process to determine that “geographical indications, as such, remain outside the scope of the Policy.” Personally, I feel even more comfortable now with my Bahamas.CO website.

The panelist further discusses champagne, the drink, vs. Champagne the region:

In this case, the Panel is not satisfied that the Complainant has shown that its rights in the expression “Champagne” constitute an unregistered trademark right of the kind that would satisfy paragraph 4(a)(i) of the Policy. First, the Panel notes that it is generally accepted that, to be a trademark, a sign must be capable of distinguishing the goods or services of an individual undertaking from those of other undertakings. It seems to this Panel that a geographical indication  per se does not distinguish the wine of one champagne producer from the wine of another, and so does not fulfill the fundamental function of a trademark of distinguishing the goods or services of one undertaking from those of other undertakings. A geographical indication is essentially designed to achieve a somewhat different purpose, namely to protect the producers of a particular region from loss caused by traders wrongfully applying that identifier to goods which have not been produced in the particular region, thereby appropriating to themselves the goodwill arising out of the reputation for quality which the producers of the protected products have built up. It seems to this Panel that geographical indications speak fundamentally of the quality and reputation of the goods produced according to certain standards in a specific geographic area, but not of any particular or individual trade source as such.”

Although it was unnecessary at the end, the panelist did discuss whether the respondent had registered the domain name in bad faith and/or had used it in bad faith:

“However the Complainant has not alleged that the Respondent’s intention was to sell, rent, or otherwise transfer the Domain Name to the Complainant or to a competitor of the Complainant – just that the Respondent’s primary intention was to rent, sell, or otherwise transfer the Domain Name to a third party. And even if the Complainant had said that the Respondent’s intention was to sell, rent, or otherwise transfer the Domain Name to the Complainant at a profit, the Panel has found that the Complainant is not in fact “the owner of the trademark or service mark”, as those words are used in paragraph 4(b)(i). The Complainant’s allegations therefore do not bring it within paragraph 4(b)(i) of the Policy, and the Complainant has not specified any other ground on which the Complainant is said to have been guilty of bad faith registration and use of the Domain Name. Trading in domain names is not per se contrary to the Policy (see, for example, Media General Communications Inc., cited by the Respondent).”

This is a very in-depth decision, and I recommend that you check it out when you have a chance since I have not adequately analyzed the decision in this post.

Registrars: Post .CO Transfer Coupon Codes

Elliot Silver
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54

Over one million .CO domain names have been sold to date in less than a year, which is a remarkable accomplishment for the .CO Registry. .CO domain names were first available to the general public last July, and of course that means there are going to be hundreds of thousands of them up for renewal in the next four to six weeks.

While many domain registrars offered hefty discounts on .CO domain registrations, those special promotions are limited to new registrations and not renewals or transfers. As a result, many domain owners will face the decision of whether to renew at possible double the initial registration fee or whether to let some of their .CO domain names expire.

That being said, I believe there’s an opportunity for a domain registrar or two to earn a larger .CO market share. I recommend that they offer special transfer coupon codes on .CO domain names when done in bulk (to avoid dealing with customer service issues that one-off customers might cause). Make an even better offer when customers transfer and add two or more additional years to

This post may seem a bit self serving, but please keep in mind I have about 10 .CO domain names right now and likely won’t benefit much from it. I do think some readers of my blog might benefit though.

AllThingsD: CSN Stores Gets $165 Million “…for Acquisitions”

Elliot Silver
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7

According to Tricia Duryee of AllThingsD, CSN Stores, the company that owns and operates quite a large number of websites on descriptive domain names, has received $165 million in funding. The article mentioned that the company will be spending some of this funding on new acquisitions:

“The funding will go toward expansion both internationally and in the U.S.; for acquisitions; and to support the launch of its new brand, Wayfair.com.”

This could be an opportunity for domain owners who have built product-related websites and want to sell their stake, or for those domain investors who have great generic domain names that have not built anything on them yet. Perhaps the company would be interested in making strategic domain acquisitions.

In all, the company operates over 200 websites. Some of the websites on descriptive domain names include:

  • Luggage.com
  • Strollers.com
  • TVStands.com
  • BedroomFurniture.com
  • Upholstery.com
  • BedroomSets.com
  • WineRefrigerator.com
  • Bedrooms.com

Thanks to MO.com for the tip.

Being First to Announce gTLD Intentions May Be Critical

Elliot Silver
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4

I’ve read about a number of companies and organizations that have already announced plans to apply for a new gTLD. Several of the potential new gTLDs have more than one applicant at this point. From my perspective, it may be best for companies to announce their gTLD application intentions early to dissuade others from applying for the same extension.

Some keywords are more likely to be contested than others. I believe there have been two or more companies announcing their intention to apply for extensions like .nyc, .eco, .gay and a few others. I would imagine there were be multiple applicants for gTLDs like .insure, .hotel, .eat….etc.

However, there are probably plenty of keyword extensions where competition won’t be as fierce. I received a press release from a company that plans to launch .Jewelers, and by being first to announce this, it might dissuade others from applying. With so many available keyword gTLDs, why choose one that someone already claimed, when that will likely mean a lot more money to win the bid?

In my opinion, those who announce intentions earlier are less likely to face competition from others. If I had plans to apply for a particular gTLD and I heard that another company was going to apply as well, I would probably shift my focus elsewhere. The application process should be focusing on how to sell domain names and monetize the gTLD rather than on how to win the bid.

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