Last night, I received word from Snapnames that the minimum backorder price on deleting domain names will increase from $59 to $69/each beginning today. This price point is in line with the minimum backorder price for domain names at competing drop catcher, NameJet.
As much as I don’t like to pay more, it’s probably a very smart move. When it comes to deleting domain names, I believe domain investors are accustomed to paying the $69 fee, so it’s not going to be a big deal. With a fairly small profit margin, an extra $10 per name is a pretty big increase.
The price will not impact expiring domain names or names that have been put up for sale by domain investors.
Here’s the full release:
On February 15, SnapNames will raise the starting bid for backorders for all deleting domain names from $59 to $69. This starting bid increase applies only to orders for names that are deleted from their respective registries (not the expiring or privately held names listed from registrar partners or sellers).
This change applies exclusively to new orders—any previously placed deleting domain name backorders will be grandfathered in and remain at a starting bid amount of $59; thus, $59 will be the opening bid if the name enters our system. (Note, if you are the only bidder in this scenario, like today you will be the buyer at $59. If another party backorders the same name after February 15, that party’s opening bid will be at $69 and the system will alert you to raise your bid if you so elect.)
As is the case today, all non-deleting domain names will enter our system at the starting bid price specified by the listing party. Opening bids for those names will stay at the amounts originally set.
There is no change to auction procedures. If there is only one bidder for a name at the time of its availability, the name will be awarded to that bidder. For names with more than one interested party, the names will go to auction and the highest bid at or above the starting bid amount will prevail.
Questions can be directed to the SnapNames support team:
Its high increase in the starting bid. I like snapnames very much. They are better than pool backorder service.