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Thread: Adoption of New gTLDs

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    Default Adoption of New gTLDs

    I'm curious to learn how this issue is developing outside the US, where there is less .com hegemony.

    When applications for the new Generic Top Level Domains, dot dentist, lawyer, food, sport etc. opened in January 2012 it was expected there would be 500-1,000 applications at a cost of $185,000 each. To date there have been 2,600 approved in principle, of which 700 are issued, up and running, with likely more applications in the pipeline. Many critics originally opposed the expansion on a variety of grounds. They're now beginning to look like luddites. Just type abc dot xyz into your browser. The day after that domain launched 10,000 new ones were added to .xyz. No doubt there will be failures, but success too.

    The continued adoption of the IoT is having a significant effect on the rate of expansion of the gTLDs. In 20 5 years time, when driller.dentist is on your case to buy an internet connected toothbrush, so that they can monitor your mouth, there'll be little point in trying to buy a domain name for your toothbrush under the dot com/dot ie domain systems. Instead drillerabc123.dentist will contact you at
    John/JaneDoeabc123.toothbrush. Ok, that might be a slight exagg.

    In 2015 the number of gTLDs jumped from under 4M to over 11M, a 300% increase, with bigger gains projected in the years ahead.

    Full disclosure: I'm not an innocent bystander here. I recently bought six domains average price $140, which I hope to use, not sell, just before they were opened to the public.


    https://en.wikipedia.org/wiki/Generic_top-level_domain

    http://www.circleid.com/posts/201601...g_fail_so_far/

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    Default Re: Adoption of New gTLDs

    There is not a .com dominance outside of the US and that means that in most developed markets, the local ccTLD is the dominant TLD with .com being a legacy TLD. However the ccTLD/com axis in most of these markets accounts for approximately 80% or more of the local domain footprint for the country. This is the kind of thing that most of the new gTLDs are up against. It is quite a tough market and there has been some consolidation in the last year or so.

    There is also a ticking timebomb in the .com and .net TLDs due to the Chinese bubble of Q4 2015. This is where millions of four letter, five letter and numerical (numbers only) domain names where registered in these TLDs. The millions of domain names added caused monthly net gains in both TLDs to be massively out of synch with those of the same months in recent years. The registrants of the domain names were almost overwhelmingly Chinese. The bad news for Verisign, the operator of the .com and .net TLDs, is that many of the Chinese and Asian registrars and hosters on which the domain names are registered have low renewal rates with some having a renewal rate for new one year registrations below 30%. Verisign had to issue a note saying that it was unsure whether the registration patterns would continue and that it did not know what the renewal rates would be for these domain names. The registration volume in these TLDs has now fallen close to expected levels. The theories on these registration patterns vary with some claiming that the registrations are for money laundering/transfers. Others claim that the Chinese people are in for the long haul and these domain names are considered assets. The problem is that these people don't seem to have access to accurate data.

    There are some new gTLDs that have performed below their registries expectations. Some have yet to break the 5,000 registrations mark. The reasons for the poor performance of these new gTLDs often comes down to pricing, promotion, position and timing.

    Some of the new gTLDs are more expensive than .com or .net registrations and this means that there is less incentive to register for speculative purposes. In a new TLD launch, speculation is a factor and it raises the profile of a TLD (sales of keyword domain names like insurance.tld, sex.tld, poker.tld etc). This higher registration fee results in slower takeup of the new TLD. (But can also have a positive effect on renewal rates as the price creates a reluctance for the registrant in not renewing the domain name.) Some registries like that of .xyz have gone for a below .com pricing model combined with discounting. The renewal rates on discounted domain names can be low ranging from somewhere around 5% for free registrations to about 20% for discounted registrations (depending on the size of the discount).

    Position in the market is also a critical factor that those outside the industry overlook. (The usual "technology" churnalists etc.) A TLD does not exist on its own. It exists in a domain name ecology and this ecology breaks down into a set of country level markets and one, often smaller, global market. This also applies to .com and .net though the size of the US market in both obscures the fact that it is a set of markets and not a single global market. The new gTLDs are targeting a position in these markets where they have to coexist with other TLDs. Some have unique propositions for the registrant in that they are descriptive or niche TLDs that are closer to ccTLDs in nature in that the registrant self-identifies with the TLD in a similar way to the ccTLDs. For Ireland, the ccTLD is .IE. Many people in Ireland expect a business here to have a .ie domain name and then, perhaps, a .com. There's a very curious effect in a ccTLD dominant market where the extension (the .ie etc) becomes psychologically invisible. This means that keyword domain names do not necessarily do well because of the self-organising properties of ccTLDs. A business name or city name can be more important in a ccTLD. If a new gTLD registry has its market position right, then it should gain registrations but as it is a pseudo-ccTLD, the registration volume will be lower than that of other TLDs and the rate of registrations will be lower.

    Promotion matters. If a TLD launches and is not promoted, then few if any will register domain names in that TLD. But more importantly, the TLDs have to be promoted to the registrars first. These are the domain name registration and hosting companies. Getting this part wrong can cripple a new TLD. The big player in this space is Godaddy. If the new TLD is not on Godaddy's list of domain name options for customers and it is targeting the US market, then it doesn't exist. Promotion at a country level market is even more difficult. It is most definitely not a case of if you launch it, they will register. The end users, the registrants have to know the TLD exists and have to have be given some kind of value proposition for registering and developing and using domain names in that TLD.

    Timing has been a big problem for the new gTLDs. Most of it is down to ICANN banjaxing the launch schedules and having registries launch at the wrong time of year and too closely to each other. Like all markets, the domain name market has seasonal trends. Too many TLDs launching close to each other creates a confusion in their potential markets.

    The one thing that really decides whether a new gTLD is a success is usage. The registrants have to start developing websites on these new gTLDs and using them for e-mail purposes. Some new gTLDs are remarkable in that they already have web usage and development. Others have extremely low usage. (I consider most of the stuff that has been published on web usage on various sites to be just cargo-cult rubbish and typically from people who don't understand the complexities of measuring usage and development.) A developed website on a domain name means that it is not just a registered domain name. There is a good chance that the domain name will be renewed. In .com and some of the ccTLDs, the web usage level for domain names can approach 30%. This does mean that approximately 70% can be parked on Pay Per Click (PPC) advertising or coming soon pages, or not even active. The further one gets from the non-core TLDs (com and the ccTLD), the lower the web usage rate. Some of the new gTLDs are actually doing a lot better than people expected in web usage and development terms but there are some possible also-rans that are visible from this data.

    Regards...jmcc
    (Disclosure: Not just a random bystander. More a watch stander.)

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    Default Re: Adoption of New gTLDs

    Thanks for that comprehensive post.


    I was attracted to my niche, dot wine, which the French government vigorously opposed....... by the international potential. Globally 38 billion bottles produced annually, increasing at about 1% a year. ..........I'm hoping to sell 250,000 in the US before I move overseas.


    1.300 wine trademark holders registered during the Sunrise Period, which ended in December. 3,700 like me, registered during the Early Access Period, which ran for 10 days and ended Jan 25. It's only been open to the public since Jan 27, and another 2,000 have since registered.

    Online wine sales in the US seems relatively developed compared to elsewhere, even though there are some bizarre alcohol laws in the US. Makes it harder to succeed here, but if you do, it's easier elsewhere.


    I've noticed on trips to Europe that US wine is poorly represented. It's either cheap crap, or very expensive high end stuff, and not much in the middle. I first need to get an online biz in the US up first, hopefully by June, licensing can be slow. Then maybe use Ireland as an EU base, presuming I can meet licensing requirements etc.


    I have a Chinese sister-in-law capable of helping on developing in China.


    I managed to snag bargains.wine, values.wine, plus best bargains/deals and values. My intent is to use best deals in the US, best bargains in Asia, best values in EU or some variation, to more effectively monitor, all terminating back to a central repository. Someone else got deals.wine. I know the wine biz, and am working though a reading list of books to learn the web biz.


    I also have some other .coms, wonderfullywickedwines, georgesgorgeousgrapes and a few more. Hope to eventually use them all to promote/supplement each other.


    There are currently 7,000 .wine domains registered, 5,000 of which were registered before it opened to the public on Jan 27, which suggests good initial trade interest, and a likelihood of .wine websites making it online. That already puts it in the top half #186 of all new gTLDs. Only 100 gTLDs have more than 16,000 registered, 35 with more than 50,00, and 5 with more than 500,000. There have been a total of 1.3M new gTLD registrations so far this year, and while obviously most of them are coming from China, 2016 is currently on target to more than double 2015.


    Lots of gTLD stats here, and at the home page.https://ntldstats.com/tld



    Those Chinese are hoors for the numbers.

    According to ntldstats.com .XYZ was sitting at 1,967,963 domain registrations as of the last zone update, however there has been a huge surge in 6 number .XYZ domain names from China (NNNNNN.xyz) (also known as 6N domains) of over 100,000 domain registrations.

    According to XYZ 27% of all 6N domain name combinations are now registered.

    100% of all possible 5N and 4N .XYZ domain names are registered.
    .XYZ has more domain registrations than any new gTLD and over 16% of all new gTLD registrations according to ntldstats.com
    .XYZ Says They Just “Blew Past” 2 Million Domain Registrations

    Posted: 06 Feb 2016 12:52 PM PST
    Daniel Negari the CEO of the .XYZ registry just sent me over a note that the new gTLD .XYZ has “blew past 2 Million domain name registrations”. According to ntldstats.com .XYZ was sitting at 1,967,963 domain registrations as of the last zone update, however there has been a huge surge in 6 number .XYZ domain […]
    The post .XYZ Says They Just “Blew Past” 2 Million Domain Registrations appeared first on TheDomains.com.
    http://www.emarketer.com/Article/How...61?ecid=NL1001
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    Default Re: Adoption of New gTLDs

    Luxembourg may be more competitive for a EU base

    Low VAT on wine

    http://www.vatlive.com/vat-rates/eur.../eu-vat-rates/
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    Default Re: Adoption of New gTLDs

    Quote Originally Posted by DCon View Post
    Luxembourg may be more competitive for a EU base

    Low VAT on wine

    http://www.vatlive.com/vat-rates/eur.../eu-vat-rates/
    Thanks, closer to the time, I'll have to swot up on excise and vat rates etc. and learn the rules. I last did it in the 1980's but everything's changed since then.
    As a general rule the most successful man in life is the man who has the best information.

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    Default Re: Adoption of New gTLDs

    Quote Originally Posted by Count Bobulescu View Post
    I was attracted to my niche, dot wine, which the French government vigorously opposed....... by the international potential. Globally 38 billion bottles produced annually, increasing at about 1% a year. ..........I'm hoping to sell 250,000 in the US before I move overseas.
    It was a tricky TLD to get through. There's also .vin to consider. Just looking at the .vin and wine website data and there's a lot of brand protection registrations. (Classic early market patterns.)

    I've noticed on trips to Europe that US wine is poorly represented. It's either cheap crap, or very expensive high end stuff, and not much in the middle. I first need to get an online biz in the US up first, hopefully by June, licensing can be slow. Then maybe use Ireland as an EU base, presuming I can meet licensing requirements etc.
    It is either commoditised (sold in supermarkets and off-licences) or a luxury item. The other aspect is that established businesses with ccTLD domain names may have most of the online business. Alcohol is a very tricky thing to market online and there are duty and tax issues to be dealt with on a country by country basis.

    I have a Chinese sister-in-law capable of helping on developing in China.
    The regulations there might be a bit more difficult. I think that all websites have to be registered with the government and have official approval.

    I managed to snag bargains.wine, values.wine, plus best bargains/deals and values. My intent is to use best deals in the US, best bargains in Asia, best values in EU or some variation, to more effectively monitor, all terminating back to a central repository. Someone else got deals.wine. I know the wine biz, and am working though a reading list of books to learn the web biz.
    Those seem to be speculative registrations rather than business registrations. You should be looking at a five year timeline for the TLDs to develop.

    I also have some other .coms, wonderfullywickedwines, georgesgorgeousgrapes and a few more. Hope to eventually use them all to promote/supplement each other.
    Perhaps. But are you selling wine that comes in a box with a twist off lid or a luxury item to oenophiles.

    There have been a total of 1.3M new gTLD registrations so far this year, and while obviously most of them are coming from China, 2016 is currently on target to more than double 2015.
    And most of those Chinese registered domain names have no active websites. That's something that most people don't see.

    Those Chinese are hoors for the numbers.
    Remember what I said about discounting? Most of those domain names are short term (1 year) registrations and highly speculative.

    Regards...jmcc

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    Default Re: Adoption of New gTLDs

    Quote Originally Posted by jmcc View Post
    It was a tricky TLD to get through. There's also .vin to consider. Just looking at the .vin and wine website data and there's a lot of brand protection registrations. (Classic early market patterns.)

    It is either commoditised (sold in supermarkets and off-licences) or a luxury item. The other aspect is that established businesses with ccTLD domain names may have most of the online business. Alcohol is a very tricky thing to market online and there are duty and tax issues to be dealt with on a country by country basis.

    The regulations there might be a bit more difficult. I think that all websites have to be registered with the government and have official approval.

    Those seem to be speculative registrations rather than business registrations. You should be looking at a five year timeline for the TLDs to develop.

    Perhaps. But are you selling wine that comes in a box with a twist off lid or a luxury item to oenophiles.

    And most of those Chinese registered domain names have no active websites. That's something that most people don't see.

    Remember what I said about discounting? Most of those domain names are short term (1 year) registrations and highly speculative.

    Regards...jmcc
    The .vin registry has about half the number of .wine, and it seems a bigger percentage from China since it opened to the public. I think therefore there's a better chance of market leaders emerging from .wine.

    Initially the wines I'll be selling on the US market will mostly be imported ones in the $10-30 range US, adjusted for taxes etc. about 15-50 in Ire. But that will change over time to include more US wines.

    The California wine market, 4th largest in the world, is much more sophisticated than the three larger producers Spain, France, and Italy, in terms of finance, marketing, tech etc. There are a lot of specialist suppliers to the industry, Shipcompliant which deals with tax and legal issues, Wine Fetch designs and hosts wine specific sites. Silicon Valley Bank also does wine financing. Lots of consultants like Gomberg-Friedrickson There is a better database to enable this be accomplished from the US than if it was being attempted from a base in France etc.


    https://www.winefetch.com/retailers/

    http://www.shipcompliant.com/

    http://www.gfawine.com/

    http://www.svb.com/winedivision/

    http://italianwinecentral.com/top-fi...ing-countries/
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    Default Re: Adoption of New gTLDs

    Completely random and counterintuitive business names seem to work well on the internet. Monosyllabic is good, is seems, meaning pretty well irrelevant.
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    Default Re: Adoption of New gTLDs

    Quote Originally Posted by C. Flower View Post
    Completely random and counterintuitive business names seem to work well on the internet. Monosyllabic is good, is seems, meaning pretty well irrelevant.
    There was actually some very good work done on naming by a guy with an engineering background a few decades ago. Basically he broke down the English language into fragments or phonemes and associate each with a feeling, emotion or idea. He then used these to build brand names. It was a very revolutionary idea for its time and worked quite well. With the domain name business you've really got three sections. The first is the business user who will just use their own business name, if it is available, as their domain name. Then you've got the domainers who invest in domain names to resell them. They normally target the generic keyword domain names as these can sell for a lot of money. Then you've got the branders. These develop brands and will create new domain names rather than buying existing ones. It is actujally easier to build a brand than use a generic keyword domain name for a business. It is far harder to protect a generic term with a trademark and given the age of most TLDs, many of the generic keyword domain names and many of the dictionary word domain names are long gone.

    Regards...jmcc

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    Default Re: Adoption of New gTLDs

    Quote Originally Posted by Count Bobulescu View Post
    The .vin registry has about half the number of .wine, and it seems a bigger percentage from China since it opened to the public. I think therefore there's a better chance of market leaders emerging from .wine.
    The .vin gTLD will probably attract a more high end business registrant where its customer know that it is French for wine. However it will also be targeting the EU market, I think. It would be a good thing to maintain the brand over .com, the new gTLDs, and if you are going to operate in the EU, the local ccTLDs.

    Initially the wines I'll be selling on the US market will mostly be imported ones in the $10-30 range US, adjusted for taxes etc. about 15-50 in Ire. But that will change over time to include more US wines.
    Will the import and duty costs eat into the profits? If you've got a customer base that will pay $100 for a bottle of reasonably good wine without flinching, then it doesn't make sense to sell them a $20 bottle of wine.

    The California wine market, 4th largest in the world, is much more sophisticated than the three larger producers Spain, France, and Italy, in terms of finance, marketing, tech etc. There are a lot of specialist suppliers to the industry, Shipcompliant which deals with tax and legal issues, Wine Fetch designs and hosts wine specific sites. Silicon Valley Bank also does wine financing. Lots of consultants like Gomberg-Friedrickson There is a better database to enable this be accomplished from the US than if it was being attempted from a base in France etc.
    And it doesn't have the scum in Brussels trying to grind businesses into the ground. It is a good thing to know one's market.

    Regards...jmcc

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    Default Re: Adoption of New gTLDs

    Quote Originally Posted by jmcc View Post
    The .vin gTLD will probably attract a more high end business registrant where its customer know that it is French for wine. However it will also be targeting the EU market, I think. It would be a good thing to maintain the brand over .com, the new gTLDs, and if you are going to operate in the EU, the local ccTLDs.

    Will the import and duty costs eat into the profits? If you've got a customer base that will pay $100 for a bottle of reasonably good wine without flinching, then it doesn't make sense to sell them a $20 bottle of wine.

    And it doesn't have the scum in Brussels trying to grind businesses into the ground. It is a good thing to know one's market.

    Regards...jmcc
    I doubt anyone will sell much US wine in France, Italy, Spain. if I get to EU I'll be targeting UK, Germany, Scandinavia. I'm not yet sure what approach I'll take outside the US. My sense is that eCommerce in general, and mobile in particular, has much greater adoption in the UK than continental. I still have a lot to learn in that dept. Duties VAT etc. are not really an issue because it's a level field, and that money just passes thru your account.
    That said I can buy today, a specific non US, non EU wine for $6. Three years ago I saw it in Superquinn at E15. Where I base in the EU, will most likely be determined by the easiest country to get an import license. There's more money to be made in selling a lot of inexpensive wine, than a little of expensive.
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    Default Re: Adoption of New gTLDs

    Should have added above, there are lots of US B2B and B2C online sales resources.

    https://www.internetretailer.com/

    http://www.emarketer.com/

    https://www.internetretailer.com/201...wn-publication
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    Default Re: Adoption of New gTLDs

    Quote Originally Posted by Count Bobulescu View Post
    I doubt anyone will sell much US wine in France, Italy, Spain. if I get to EU I'll be targeting UK, Germany, Scandinavia. I'm not yet sure what approach I'll take outside the US. My sense is that eCommerce in general, and mobile in particular, has much greater adoption in the UK than continental.
    true i believe UK does more eCommerce

    BUT

    nothing compared to the US

    it is a matter of distance and community building... they use their corner stores cos well 'that's what they've always done and they like chit chatting w Mrs XYZ'

    NOT so in the US. Everyone is looking for the fastest way to get the 'store' out of the way ... i can't wait for my grocery store to start accepting online deliveries that they will then drop off in my porch ..

    when i go to EU (any country) I LIKE going places, seeing people, going to stores etc .. .. here in the US meh .. its more of a hassle, people dont walk anywhere ye get used to 'customizing' your life as much as you can

    why aren't you targeting some state in the US... counties that have 'dry laws' and where it is more difficult to buy wine? ye can't buy but ye can drink it... and Canada..what about Canada?

    China is a great huge market but unless sis in law knows what she's doing it could be a bottomless pit


    That said I can buy today, a specific non US, non EU wine for $6. Three years ago I saw it in Superquinn at E15. Where I base in the EU, will most likely be determined by the easiest country to get an import license. There's more money to be made in selling a lot of inexpensive wine, than a little of expensive.
    yes and that brings me to my next question ... .where's our Wine thread in PW?

    The UK will probably be easiest to get import license from US .. France, Spain, Portugal and Italy have their own good stuff and they do a decent job promoting home-brands ..

    maybe going for cheap American Wine only in UK might work cos 'we' have a reputation, so people who love and hate us will probably want to try...

    Agree on last statement ... was that how Robert Mondavi made his fortune?

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    Default Re: Adoption of New gTLDs

    Quote Originally Posted by random new yorker View Post
    true i believe UK does more eCommerce

    BUT

    nothing compared to the US

    it is a matter of distance and community building... they use their corner stores cos well 'that's what they've always done and they like chit chatting w Mrs XYZ'

    NOT so in the US. Everyone is looking for the fastest way to get the 'store' out of the way ... i can't wait for my grocery store to start accepting online deliveries that they will then drop off in my porch ..

    when i go to EU (any country) I LIKE going places, seeing people, going to stores etc .. .. here in the US meh .. its more of a hassle, people dont walk anywhere ye get used to 'customizing' your life as much as you can

    why aren't you targeting some state in the US... counties that have 'dry laws' and where it is more difficult to buy wine? ye can't buy but ye can drink it... and Canada..what about Canada?

    China is a great huge market but unless sis in law knows what she's doing it could be a bottomless pit




    yes and that brings me to my next question ... .where's our Wine thread in PW?

    The UK will probably be easiest to get import license from US .. France, Spain, Portugal and Italy have their own good stuff and they do a decent job promoting home-brands ..

    maybe going for cheap American Wine only in UK might work cos 'we' have a reputation, so people who love and hate us will probably want to try...

    Agree on last statement ... was that how Robert Mondavi made his fortune
    ?
    I think the champagne & smoked salmon socialists of PW, would be appalled by the vulgarity of such a thread.

    Or Fred Franzia, a Gallo son-in-law with Trader Joe and two buck Chuck, over 1B btls sold thru just 400 stores.


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    Default Re: Adoption of New gTLDs

    Quote Originally Posted by Count Bobulescu View Post
    I think the champagne & smoked salmon socialists of PW, would be appalled by the vulgarity of such a thread.

    Or Fred Franzia, a Gallo son-in-law with Trader Joe and two buck Chuck, over 1B btls sold thru just 400 stores.


    my father used to say the cheap wine is the first to go... in good years he would save some of the best to "work" on it and that stuff would just stick around for a-while
    Last edited by random new yorker; 10-02-2016 at 04:55 AM.

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