Big change in domain name sales commissions at GoDaddy, Afternic, Dan and Uniregistry.
GoDaddy announced today that their are increasing domain name sales commissions to 25% unless you use their nameservers. If you do use their nameservers for your domains for sale then the commission drops to 15%.
The change applies to all domains listed for sale on GoDaddy, Afternic, Dan and Uniregistry.
Before Feb 1, 2023:
The commission rate is dependent on the price the domain sold for.
- Sale price: $0 to $5000 — Commission rate: 20% ($15 minimum)
- Sale price: $5,001 to $25,000 — Commission rate: $1,000 plus 15% of amount over $5k
- Sale price: $25,000 and over — Commission rate: $4,000 plus 10% of amount over $25k
DAN’s commission is currently 9%.
After Feb 1, 2023:
On February 1, 2023, the following commission structure will go into effect.
The commission rate is dependent on where the domain’s nameservers are pointed to at the time of sale (US$15 minimum).
- Domains using GoDaddy brand aftermarket nameservers that point to a GoDaddy For Sale Lander: Reduced flat, 15% commission rate.
15% of sales price for domains sold pointed to nameservers at Afternic, Dan, or Uniregistry Market; regardless of where it sells on the network or through landers directly.
- Domains not using GoDaddy brand aftermarket nameservers: Standard flat, 25% commission rate
25% of sales price for domains sold that are not pointed to nameservers at Afternic, Dan or Uniregistry Market.
GoDaddy brand aftermarket nameservers will end with the following:
Here is what GoDaddy said about the commission increase:
“Over the last few years, it has been exciting to be a part of and help drive the growth of the domain aftermarket. As we invested in our platform and integrated Dan and Uniregistry Market, we delivered positive changes, like a redesigned domain management interface, higher converting buy-it-now landers and an expanded distribution network that helps drive more sales for you. ”
“Currently, each GoDaddy owned marketplace uses a different commission structure, causing confusion for sellers and adding unnecessary friction. There is a need for us to align the various commission structures to a single plan. Doing so makes pricing simpler for you, as you can be confident you will receive the same amount, net of commission charged, across all marketplaces. ”
“This new commission model rewards those choosing to do more of their business with GoDaddy auctions using Afternic.com, Dan.com or Uniregistry.com through any of our For Sale Lander options with a reduced commission on their sales, regardless of where it is sold. For those already using our For Sale Landers with Afternic, this will be a significant reduction in commissions versus the current 20% commission rate for the average sale.”
More on this change tomorrow…
25% is a huge commission charge. Many domain investors surely will look for alternative ways to sell their assets.