Radix data show why registrars and registries love the premium model

JulienJ

Member
High renewal rates and revenues for premium domains.

On this week’s podcast I spoke with Tobias Sattler, the CIO of domain name registrar United Domains. He talked about the technical struggles of selling premium domains in new top level domain names. Despite all of these struggles, he said offering premium domains was well worth it.

New data provided to Domain Name Wire from new TLD registry Radix put the revenue opportunity in perspective.

Last year Radix generated $1.1 million in revenue just on premium renewals. (The company reported $1.76M in total premium revenue last year through November). Radix charges a premium price both for the initial registration and the renewal. This is a similar model to Donuts, but different from some registrars that charge only a one-time premium (e.g. .Club).

Only 1,348 premium Radix domains were renewed last year, so this is an average of $816 per domain. A registrar can sell 41 domains at $20 each and get the same revenue as selling just one premium.


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