$41.5 million for .Shop?

Discussion in 'New GTLDs' started by domainking131, Jan 29, 2016.

  1. domainking131

    domainking131 India Forum Leader Staff Member

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    GMO Registry’s outlay for .shop is difficult to rationalize.

    I’m still trying to wrap my head around GMO Registry paying $41.5 million for the .shop top level domain name. .Shop is a monster TLD, but it’s hard to justify this upfront cost for any top level domain name.

    Clearly, GMO is in this for the long term. Any company that invests $41.5 million plans to be in the business many years from now.

    Yet, with short-term results for new TLDs where they are, it’s difficult to figure out how GMO will earn a good return on investment.

    Couldn’t GMO just sell a million annual registrations for $40 each? That might be one justification. But that’s much easier said than done.


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