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events It's bad. No worse. It's sad.

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OK imagine you run a domain business and you sell $7.9 million dollars a year worth of domains but it costs you $18 million dollars to operate the business.
What would you do?
Well MMX owners of such names as .work .beer .london .boston decided to pay the CEO $1.1 million and stop outbound sales.
Did you hear that guys, the main stream bloggers will not pick that up THEY STOPPED OUTBOUND SALES OF PREMIUM NAMES.
They had 13 sales people whose only job was selling premium names in 2015 and it didn't work. These sales people could negotiate the price given they own them and had millions to choose from, a big advantage but it was not financially viable; endusers were not interested.
So a $10million operating loss. They are one of the biggest pure play new gTLDs company and they are hurting like many of them. Will be sold for cents on the dollar within 2 years. Their only hope is .vip launches next month in China.
Invested? Strong sell.
Announced today by the CFO reporting 2015 audited accounts to the London Stock Exchange
 
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The views expressed on this page by users and staff are their own, not those of NamePros.
I'm confused. Can you post a link to what you're talking about?
 
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A $10million operating loss how can it be any worse!!!! ohh $100million loss, yeah I get it... keep optimistic

I know you've been wanting the downfall of a string of new gTLDs but this isn't the case. If you study the company and listen to them they admit they took on to much, where other new gTLDs outsource many operational functions of this type of business.

They are restructuring and correcting their mistakes. The sky isn't falling if that's what you want everyone to think. :)
 
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If regularly making such losses than better to get of business.
 
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I know you've been wanting the downfall of a string of new gTLDs but this isn't the case. If you study the company and listen to them they admit they took on to much, where other new gTLDs outsource many operational functions of this type of business.

They are restructuring and correcting their mistakes. The sky isn't falling if that's what you want everyone to think. :)
Restructuring by dumping their back end system and paying nominet to do it dumping their registrar and paying uniregistry to do it - both will cut into their profit margins less jam. With a projected $5 million costs AFTER the costs savings of outsourcing and with only 300,000 names under management and a third being the give away of .work; they need to be selling 750,000 names a year just to break even and at their current growth rate of only 15,000 names a year that will not happen in my life time. So whats left .VIP to the rescue - they have one last card to play before it comes tumbling down .vip. Small details but the devil is in the small details. Anyway keep reading the propaganda and don't do your own homework recipe for success
 
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Restructuring by dumping their back end system and paying nominet to do it dumping their registrar and paying uniregistry to do it - both will cut into their profit margins less jam. With a projected $5 million costs AFTER the costs savings of outsourcing and with only 300,000 names under management and a third being the give away of .work; they need to be selling 750,000 names a year just to break even and at their current growth rate of only 15,000 names a year that will not happen in my life time. So whats left .VIP to the rescue - they have one last card to play before it comes tumbling down .vip. Small details but the devil is in the small details. Anyway keep reading the propaganda and don't do your own homework recipe for success

Not sure that your numbers are correct, if so maybe you should be working for them to help them bail and run for the hills! :rolleyes:

Honestly I don't know what their future is but I've seen many companies restructure and bounce back just fine. I do know by outsourcing it will in fact save them money and not take away from their profits as you've suggested. It's cheaper to outsourse than loose money doing it them self, not sure what part of that you don't get. They will in fact save millions by outsourcing and focusing on just selling domains.

Personally I hope they have a turn around, I don't seek out failure like you're doing. ;)
 
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Not sure that your numbers are correct, if so maybe you should be working for them to help them bail and run for the hills!

The numbers are correct they give very detailed financials as they are invested in by some big UK funds. They will save $5million by outsourcing but that still leaves a massive black hole that can only be filled by atleast doubling their reg numbers. Good luck to them - investors are being taken for a ride when the CEO gets $1million on past performance
 
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I'm confused. Can you post a link to what you're talking about?
Sorry not making it clearer, I did rush it somewhat. In summary today MMX a major registry of the new gTLTDs posted year end accounts for 2015, showing $10 million loss for the year. When you dig into the figures 2 things struck me 1) they paid their CEO $350,000 and gave a performance bonus of $400,000 together with his last years payment of $350,00 he walked away in January having been paid 1.1millionUSD for 2 years work.
2) They started to employee sales people to do cold calls to prospective endusers, to sell their premium names and they have I think 28 different strings .london .law being their best ones. Upshot was it didnt work so the 13 sales people they employed have stopped getting on the phone or sending emails to endusers soliciting sales. Now they employ less sales staff and only react to incoming inquires basically sit and wait and hope to sell some names at premium prices.

link http://www.londonstockexchange.com/exchange/news/market-news/market-news-detail/MMX/12793409.html
 
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Oh OK, then outsourcing, allowing them to focus on what they should be doing, selling domains can't bring them back? Whatever.

I've stated my thoughts on this, some may agree and others might not. I do know this is one of many threads you've started pertaining to the failure of new gTLDs, not sure why I wasted my time in this one... :|
 
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betthelot - any reason you felt the need to post yet ANOTHER thread bashing new extensions? That's pretty much all you write about.
I agree with you for the most part but I start to wonder what's your agenda? - why the fixation on this particular topic?
Or maybe we should start asking - who do you work for?
 
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something we agree on


Ok I'm out of your thread but before I go just let me reminisce on a few of them... :)


New gTLDs, are they about to blow?

WOW Mind+Machines makes huge cost cuts

Day 1 of the implosion N.gTLDs. Stop renewing

Its bad. No worse. Its sad.
 
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Ok I'm out of your thread but before I go just let me reminisce on a few of them... :)


New gTLDs, are they about to blow?

WOW Mind+Machines makes huge cost cuts

Day 1 of the implosion N.gTLDs. Stop renewing

Its bad. No worse. Its sad.

What else is someone to do when they can't afford to play the game :)
 
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Gee guys - just ignore me, I wont be offended
 
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Gee guys - just ignore me, I wont be offended
I don't see the reason to ignore you - just state clearly your agenda.
People who defend new extension either invested a lot of money in them or work for registries.
People who post 10+ threads to bash them... ??
If you have good reason - I would love to hear it.
"I don't like them" doesn't sound like a sufficient explanation for such a dedication.
 
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Restructuring by dumping their back end system and paying nominet to do it dumping their registrar and paying uniregistry to do it - both will cut into their profit margins less jam. With a projected $5 million costs AFTER the costs savings of outsourcing and with only 300,000 names under management and a third being the give away of .work; they need to be selling 750,000 names a year just to break even and at their current growth rate of only 15,000 names a year that will not happen in my life time. So whats left .VIP to the rescue - they have one last card to play before it comes tumbling down .vip. Small details but the devil is in the small details. Anyway keep reading the propaganda and don't do your own homework recipe for success
Why do you think .VIP might rescue them? .VIP, short for "DOT 'Very Important Person'" or pronounced as "DOT 'Vee-Ai-Pee'" or "DOT 'Whip'"? I don't see value in this extension. And Chinese words don't really start with a 'V' sound, so I don't see the significance of this extension launching in China as well.

Am I missing something?
 
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i cant understand what you are talking about...
 
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M&M does have $34.7 million in cash and they are taking steps to curb operating expenses so at least for the next year they seem viable. Perhaps they should not be bidding on additional strings (.CPA, .INC, .LLC, .Music, .Casino) if they cannot make money with the portfolio of 30+ TLDs they already have.

I did read M&M was going to focus resources on inbound inquiries rather than outbound. I will admit I have never found outbound marketing to be a particularly effective use of time. Yes there are individuals who regularly sell domains for low $XXX that long-term might garner a $1500+ offer in the name of cash flow. I don't like the idea of spending hours of outbound effort to sell a domain which long-term might sell for $XXXX for $50 in the name of cash flow.

What I would be concerned about though if I held a M&M registry domain would be the risk they will raise prices in the future. The largest share of registrations in any new TLD will occur in the first few days after launch. After that sales will trickle in at a much slower pace. So if the registry is not making money on its existing strings, it will have to either increase revenue (most likely through higher prices as they have already announced they are cutting back on outbound marketing efforts) or cut expenses (as they have done) or both. There have already been discussions about the new TLDs' liberty to raise renewal costs on previously "non-premium" domains that then get designated as premium. I believe there is considerable risk with M&M strings that renewals will increase in the future either across the board or on individual domain names which might currently have low renewals. I have had to drop a lot of .TV domains because those $28-$30 renewals are just too expensive given the infrequent nature of .TV sales (a TLD which has been around for 15+ years and yet new TLD investors believe they will take off over the next two to three years???).
 
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betthelot - any reason you felt the need to post yet ANOTHER thread bashing new extensions? That's pretty much all you write about.
I agree with you for the most part but I start to wonder what's your agenda? - why the fixation on this particular topic?
Or maybe we should start asking - who do you work for?
Forewarned is forearmed.
He who has ears to hear, let him hear.
 
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awe - whats in a name anyways.
 
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They are restructuring and correcting their mistakes. The sky isn't falling if that's what you want everyone to think. :)
Restructuring by handing out perks for lack of performance ?
It's the whole business model that is fundamentally wrong. If end users aren't interested, there is little you can do. The assets are almost worthless. All corporations go through difficult times at some point, but that doesn't question the validity of their products/services, or the industry they operate in. Here the validity of new extensions is being questioned. Simply put - the registries are in the wrong business.
There is a huge disconnect between supply and demand.

Other registries are in bad shape too. Example: Telnic has lost £25 million since it was founded — and much of that was before .tel even launched. The .mobi registry failed too, and was sold to Affilias.

The registries have adequate funding for the time being, but won't be able to sustain losses forever. Guess what will happen when the investors/shareholders call it quits ?
This is a big mess and the best has yet to come. Stay tuned for more.
 
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Thanks mad409, for posting the link to DigitalLook. It clarifies many things.

Minds + Machines is making major business decisions and is going through restructuring processes. While these processes puts any company at risk to a loss, Minds + Machines is also trying to cover its losses to look good to investors. Many companies face a year where contracts that helped them rise become a burden on it.

There are many factors at play here. The company is also using its cash reserves to expand. In conclusion, all of these things are business tricks a to expand a company. You can't just extrapolate this information for domaining.

The first set of threads on gTLDs were a nice counterargument. But I'm afraid to say that it seems to be turning into misinformation and petty arguments.
 
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