Domain Manage

Reasons NOT to Buy New gTLD's

Discussion in 'Domain Research' started by julian, May 13, 2014.

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  1. julian United Kingdom

    julian Banned

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    Had a few clients asking me whether to splash the cash on new gTLD's
    and if they should dump their existing .co.uk in favour of mybiz.plumbing etc :shock:

    What I'd like is to be able to point them to a simple to understand generic document/webpage that outlines the problems of new gTLD's.

    SO am looking for ideas, your thoughts..
     
  2. Domain Forum

    Acorn Domains Elite Member

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  3. invincible

    invincible Well-Known Member

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    Wouldn't you be better writing such a page yourself?


    (from iPhone)
     
  4. Edwin

    Edwin Well-Known Member Exclusive Member

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  5. julian United Kingdom

    julian Banned

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    I am, but looking for more input and ideas.

    Am generally surprised given how much people have in .uk on this forum the apathy in going to war :)




     
  6. Edwin

    Edwin Well-Known Member Exclusive Member

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    The new GTLD are doing a fabulous job of shooting themselves in the foot without anyone helping the process along. We're several months into the process, and by and large the whole new GTLD "thing" has been a resounding flop.

    Taken together, the 252 live new GTLD can only muster 746,338 registrations. Most are adding under 50 new registrations/day after the initial "flurry" of interest on launch day. There are some handy stats at http://ntldstats.com/ that spell out just how doomed they are.

    It is going to take them forever and a day to make a material impact on the wider market, even if the occasional misguided company may see them as a "viable" alternative to .com/.co.uk (we've ALWAYS had instances where companies have gone with JUNKNAME.com or GOODNAME.junkextension as a "substitute" for not being able to get the URL they really wanted - hasn't hurt the aftermarket in the slightest - now there are just more choices when it comes to .junkextension)

    In short, it's pretty boring trying to fight somebody who's landing more punches on themselves than you could ever hope to...
     
  7. addz123 United Kingdom

    addz123 Active Member

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    Really cool link and site Edwin.

    I convinced my friend not to move his business to a .photography domain.

    Why? Because I told him that even if .photography becomes the norm of the industry in 2-3 years, right now it would just cause confusion to his audience.

    It's not up to people like him to market the .photography domain and brand it. Rather, he should wait until the GTLD picks up traction and awareness before using it in his business. The cost of educating people about the new gTLD will not be offset with the rewards.

    Furthermore, a new gTLD would destroy any future Adwords campaign, since it would create lower CTR% from being on an unrecognised, untrusted domain. You only have to look at how poorly .org domains fair in comparison to .com/co.uk in PPC to see the domain extension makes a huge difference.

    CTR% is also really important in SEO ranking too, so don't see how you can justify a lower CTR% and lower SEO rankings just for a new gTLD domain.
     
  8. julian United Kingdom

    julian Banned

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    just ondering if adwords unit will have issue with these extensions e.g.

    fitting www.yourcompanyname.photography

    vs

    www.yourcompanyname.com at the bottom of ad unit space.

    (if we bin the www. will 'average' user know its a url?)

     
  9. Edwin

    Edwin Well-Known Member Exclusive Member

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    .photography is an "interesting" case, because there is also .photo, .photos and .camera (yes, all 4 extensions are now "live")

    So there's not only the "is it a URL" issue to contend with, but there's a bonus issue in the form of "oops, what was the extension again?" :)

    In short, if the average new GTLD is junk when it comes to marketing, then .photography is junk^2!
     
  10. sdsinc Iceland

    sdsinc Active Member

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    First of all, let's look at history.
    Industry-specific TLDs have all failed. No exception. Think .jobs .aero .travel .museum .coop .pro etc. They have had a decade to establish themselves, not just 2-3 years.
    Why do people think everything is going to be different now ? Yes, fewer or no restrictions, lower reg fee (not always). But this not going to create the demand, just remove a few obstacles (pricing + red tape) to adoption.

    Now your friend could buy a domain as defensive reg and keep it "just in case" but that is a waste of money imo. He will still be able to adjust later if the trends change...

    Right now, there is no first mover advantage. Of course it's a catch-22 situation, because somebody has got to start the ball rolling, but hey I didn't say those TLDs were useful or should even exist :p

    It is strange that icann't has approved TLDs that are nearly identical and truly confusing. They just let the cats fight among themselves and they rake in the cash.

    Mind you, we are talking about the very same body that denied .бг (proposed Cyrillic IDN country-code domain for Bulgaria) on the grounds that it looks too much like Brazil’s .br :shock:

    http://domainincite.com/7762-icann-wont-say-who-rejected-bulgarian-idn

    By the way, sorry for making a long post, but Edwin hinted at the disappointing registration figures. Even the older new regs like .info or .biz experience growth rates that are inferior to .com. In other words, they are not catching up at all - the gap vs established extensions is actually widening.

    Over time they are becoming better known but more marginal nonetheless. Today, nobody says .biz could become the equal of .com.

    The end of the story is that .co.uk/.uk will not stop growing or shrink in favor of other extensions. I could write a book on why new extensions are a bad idea, but suffice it to say I am fairly certain some are going to crash and registrants will get burnt.

    It is important to keep in mind that the registry contract stipulates a continuity plan of something like 3 years I believe. In other words, if diamonds are forever, domain extensions are not. TLDs that underperform could be retired down the road... believe me, they are not all going to survive so I wouldn't hurry to put my online presence on an unproven extension. Especially if we are talking about a critical business venture.
     
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  11. dvdrip

    dvdrip Active Member

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    Edwin,
    most of the sub 200 registrations new gTLD are not yet properly live.
    What you see are the domains registered by the registry such as nic.newgltd etc.
    About 100 new gtlds have launched so far.

     
  12. dvdrip

    dvdrip Active Member

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    There are actually more restrictions now (2 letters, country names, organizations, reserved domains, etc) and prices are a lot higher.

    Renewals start at $15, most are between $25 and $50 and go up to $4500 per year!

     
  13. sdsinc Iceland

    sdsinc Active Member

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  14. noonoo1

    noonoo1 Active Member

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    TBH its going to be all about the search engines.

    The search engines will decide who is on the first page or not and very few go to page 2.

    EG. Type in 'caravan finder' in G.co.uk you will see 4 .co.uk 1 .net 1 .com and 1 .mobi

    Just saying.
     
  15. sdsinc Iceland

    sdsinc Active Member

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    Then why are alt extensions not more popular ?

    My take: SEO is one thing, branding is another.
     
  16. noonoo1

    noonoo1 Active Member

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    I cant answer that, maybe its ignorance, all i know is that any tld can get to page1.

    Maybe its the advice given by web designers thats are asked the question by their clients, maybe its the advice that is given on forums by domainers.

    Yes the value of .com is far greater than any other extention but any extention can be on Page1 of G.

    The analagy can be compared to cars if you like:

    A ferrari ($300k) will get you to where you want to be but so can a mini($15k)
     
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