One of my biggest pet peeves is being nickeled and dimed. It’s usually not that I can’t afford to pay a tiny bit more for something, but it’s annoying to pay more than I should be paying.
Yesterday at midnight, Verisign increased .com and .net domain prices by 7%. The wholesale cost for .com domain names increased from $7.34 to $7.85. Obviously domain registrars are going to pass this price increase along to customers, but one would assume they’ve already got the profit margin they want, so the price we pay should correspondingly increase by 7%.
At least that is what I thought would happen.
It seems that some domain registrars are increasing prices by more than the 7% increase that was passed on to them. One registrar I use increased my prices by 12.5% and another by about 10%. I would imagine other companies are doing the same to their customers.
Perhaps this is standard across the board, but it’s annoying. My portfolio only has about 500 domain names at any given time, so an increase isn’t going to cause me any issues, but it’s an annoyance, and I am sure there are people who will be impacted by this.
It doesn’t sit right for me that domain registrars are using the Verisign price increase as a way to pad their margins. Have you noticed the same thing?