news GoDaddy has doubled the price of their broker service fee to $119.99

[fogfever]

I see that today the broker service fee on parked godaddy pages is now $119.99. I assume this will increase Godaddy's revenue while decreasing sales for individual domain holders. I hope they are just temporarily testing this new price doubling. Does anyone have any info on this godaddy broker fee price change?

 

[Mister Funsky]

DynaDot's service is still $20.

That is something I did not know. I'm becoming more and more of a Dynadot fan.

 

[Sutruk]

What happens here is that "the broker service fee" is just to contact the domain owner and present him an offer. This fee is a "money lost" fee if the domain owner doesn't agree to sell his domain.

I wouldn't feel so hurt if I lose $20 bucks for the service. But losing $119.99 is way beyond what would be a fair service for just contacting the domain owner. And I think about the person losing this amount, because $119.99 (yeah... till the last cent!) is something that starts hurting to simply throw it to the toilet.

In fact, I wouldn't be surprised if many of the people seeing that amount purchases the service thinking they are buying the domain for that price...

 

[fogfever]

In fact, I wouldn't be surprised if many of the people seeing that amount purchases the service thinking they are buying the domain for that price...

I know that's true. A friend asked me a few weeks ago if he should buy cyberguard.com for $69.99. I told him is was worth 1000x more than that - he had seen the godaddy broker form and thought that was the price for the domain

 

[Corey]

Doesn't affect me, I am using GD way less these days, pricing is not competitive.

I like value for money.

Cheers
Corey

 

[alcy]

looks like they love to double stuff... not long ago they doubled their domain club fee... anyway they lost me long before that... their ui is an abomination... their prices too. they are.big rich and profitable only by right of how long they been around and a base of clients that are too lazy to bother to look around and see about 20 better in every way alternatives to gd. tons and most of such people are not even np members and will never read this post and stay forever gd clients thinking there are no better or even none at all alternatives. anyone with half brain will will never pick say gd over dynadot.

 

[Constantin S]

Strange, yesterday it was showing $119.99 on my end as well, but now is back to $69.99.

 

[bmugford]

About the only benefit of using GoDaddy over the many other broker services would be their ability to pierce their own WHOIS privacy

Since GoDaddy controls like 1/2 of the domain market, the odds of a domain being registered there are good.
GoDaddy would be able to see what account the domain was in, and relay the offer.

Another service would not be able to do that.

Outside that, the 20% success fee is kind of absurd IMO.

Brad

 

[draco]

The only benefit I can see to using their broker service is if you really want the domain, it's registered with GoDaddy, and you've been unable to contact the owner yourself. GoDaddy's domain owner contact form has limited options. It's not rocket science. Just don't use Gmail, Yahoo, etc. when you try to contact the owner. You should at least be able to determine if the domain is for sale, and if they're reasonable in their asking price. If you need help with the negotiations after that, or if you really want the domain and you can't reach the owner, then consider them.

And unless I'm mistaken, GoDaddy won't refund you if they can't reach the domain owner, the owner says it's not for sale, or the owner asks for 50 billion USD.

 

[draco]

About the only benefit of using GoDaddy over the many other broker services would be their ability to pierce their own WHOIS privacy

Since GoDaddy controls like 1/2 of the domain market, the odds of a domain being registered there are good.
GoDaddy would be able to see what account the domain was in, and relay the offer.

Another service would not be able to do that.

Outside that, the 20% success fee is kind of absurd IMO.

Brad

Great minds think alike. You beat my post by a minute.

 

[zotix]

Hopefully Paul Nicks last great failure before losing his spot on Godaddy leadership team page.

You are just trolling around about People you don't even know personally.
Internet at its best.

While you are sitting with a pizza in front of TV, those people work their ass off.
First of all, reach this position, take so much responsibility & last but not least: have the softskills and the psychological resilience to deal with things like this.

Have fun at your Mc Donalds job

zotix

 

[pb]

Strange, yesterday it was showing $119.99 on my end as well, but now is back to $69.99.

Perhaps they're running A/B tests.

 

[Chris Hydrick]

A higher initial cost likely means higher quality offers. However, that is a balancing act because the party could essentially be paying $120 for nothing.

On the flip side, I believe buyers paying that GoDaddy broker service have the fee deduced from the total sale amount if a deal is reached.

Almost like a down payment, or an incentive for the prospective buyer to reach a deal, so not to they waste the $120.

Edit: I think I was mistaken. GoDaddys website says the fee is nonrefundable. Not sure why I thought the fee was deducted from final sales price, but it would be cool if worked that way!

 

[Jim Holleran]

Hi @fogfever
Thanks for sharing. We will continue to review pricing for GoDaddy's Domain Broker Service as we evaluate the service we provide to domain buyers. The pricing you see is part of that ongoing work.


To clarify, price changes to GoDaddy's Domain Broker Service do not impact Afternic-listed domain name sales. Our system is set up so that when a Domain Broker Service customer searches for a domain name actively listed at Afternic, they are forwarded to the aftermarket listing to purchase the domain name or make an offer (depending on the seller's settings).

Hi @fogfever
Thanks for sharing. We will continue to review pricing for GoDaddy's Domain Broker Service as we evaluate the service we provide to domain buyers. The pricing you see is part of that ongoing work.


To clarify, price changes to GoDaddy's Domain Broker Service do not impact Afternic-listed domain name sales. Our system is set up so that when a Domain Broker Service customer searches for a domain name actively listed at Afternic, they are forwarded to the aftermarket listing to purchase the domain name or make an offer (depending on the seller's settings).

 

[Jim Holleran]

lol what a joke

 

[Jim Holleran]

Hi @fogfever
Thanks for sharing. We will continue to review pricing for GoDaddy's Domain Broker Service as we evaluate the service we provide to domain buyers. The pricing you see is part of that ongoing work.


To clarify, price changes to GoDaddy's Domain Broker Service do not impact Afternic-listed domain name sales. Our system is set up so that when a Domain Broker Service customer searches for a domain name actively listed at Afternic, they are forwarded to the aftermarket listing to purchase the domain name or make an offer (depending on the seller's settings).

You guys have turned from ripping people off to now spamming emails about names available that are not to get people to buy your domain broker service.

 

[Edukar]

To clarify, price changes to GoDaddy's Domain Broker Service do not impact Afternic-listed domain name sales.

@GoDaddy, You are frankly lying! For many domainers at Afternic, a part of their domains has recently received the status "Under Review" in their accounts for no reason. Clients who want to buy these domains now do not see the BIN price, but a brokerage offer $ 119.99. It means that last GD acts do impact Afternic-listed domain name sales. More precisely, they openly interfere with sales

PS I warn the moderators that this is real truth my words is easy to check. This forum is not intended for lies of big corporations

 

[Mister Funsky]

For many domainers at Afternic, a part of their domains has recently received the status "Under Review" in their accounts for no reason. Clients who want to buy these domains now do not see the BIN price, but a brokerage offer $ 119.99. It means that last GD acts do impact Afternic-listed domain name sales. More precisely, they openly interfere with sales

I have experienced this myself.

Although I've got 1000+ names using the Afternic landers, because of this issue (listed names not showing properly) and unenthusiastic broker responses, I'm turning to np's landers more and more.

 

[Recons.Com]

There is also DomainAgents.com for $19.95.

They also charge much lower success fees -

$10,000 USD & Under - 10%
$10,001 - $50,000 - $1,000 + 7.5% on amount above $10,000
$50,001 - $100,000 - $4,000 + 5% on amount above $50,000
$100,001+ - $6,500 + 2.5% on amount above $100,000

Brad

DA often just uses the whois privacy contact field and might never reach the owner. GD has lots of names under the management and for those they can email, call etc.

For me, $69 to $119 just basically means more motivated buyers. This you can factor in into your negotiation tactics.

Still, the decision seems weird, because $69 was more than enough to weed the fluff and the most profit should come from actually closing the deals.

E.g. 10000 requests sold at $69, $690K sold. 2000 deals closed at 3000$ average gross, $600 net to GD, another $1.2MM made. Grand total $1.89 MM.

Now with new pricing, let's assume the elasticity is lower than straight line and they won't lose half of the requests and sell 6000 requests, $720k worth sold. 1200 deals x 3000$, $600 net, total from this $ another 720k (by coincidence). Grand total $1.44 million.

Let's also assume, 4000 less requests mean they can fire 2 of the brokers and save another 150k$ in salaries, office, benefits etc.

Still 1.89$MM > $1.44MM+0.15MM

So, anyway you look at it, it is a poor decision for the company.

 

[Mister Funsky]

DA often just uses the whois privacy contact field and might never reach the owner. GD has lots of names under the management and for those they can email, call etc.

For me, $69 to $119 just basically means more motivated buyers. This you can factor in into your negotiation tactics.

Still, the decision seems weird, because $69 was more than enough to weed the fluff and the most profit should come from actually closing the deals.

E.g. 10000 requests sold at $69, $690K sold. 2000 deals closed at 3000$ average gross, $600 net to GD, another $1.2MM made. Grand total $1.89 MM.

Now with new pricing, let's assume the elasticity is lower than straight line and they won't lose half of the requests and sell 6000 requests, $720k worth sold. 1200 deals x 3000$, $600 net, total from this $ another 720k (by coincidence). Grand total $1.44 million.

Let's also assume, 4000 less requests mean they can fire 2 of the brokers and save another 150k$ in salaries, office, benefits etc.

Still 1.89$MM > $1.44MM+0.15MM

So, anyway you look at it, it is a poor decision for the company.

Gddy should have come here first and asked for input...your breakdown would have given them pause (I assume).

At first the price increase bothered me...but now I'm thinking it might work out for domainers.

A corporate guy/gal won't think twice about pulling the 120 trigger but the increase from 70 might motivate a small/medium business person or individual to put a little effort into whois. Or maybe, just maybe, they will type in the name and find a for sale lander.

 

[Fryo4life]

@GoDaddy, You are frankly lying! For many domainers at Afternic, a part of their domains has recently received the status "Under Review" in their accounts for no reason. Clients who want to buy these domains now do not see the BIN price, but a brokerage offer $ 119.99. It means that last GD acts do impact Afternic-listed domain name sales. More precisely, they openly interfere with sales

PS I warn the moderators that this is real truth my words is easy to check. This forum is not intended for lies of big corporations

A strong accusations @GoDaddy . I think you should mind your language.