the first lesson someone should learn is that if something
applies fro him this doesn't mean that it applies to everyone :)
what is someone sells 10,000 domains per month? a $1 discount
is equivalent to $10,000 additional revenue, so this could be
important.
also the number of surfers who know what are the domain name
prices is too small so you could sell domains for $100/y and
you could have customers anyway. (in general you could
have customers even if you sell sh*ts on the web :)
regards,
doytchin
----- Original Message -----
From: William X. Walsh <[EMAIL PROTECTED]>
To: Peter Mullins <[EMAIL PROTECTED]>
Cc: <[EMAIL PROTECTED]>
Sent: Saturday, August 19, 2000 2:44 PM
Subject: Re[2]: Fw: domain booking rates
> Hello Peter,
>
> Saturday, August 19, 2000, 3:07:58 AM, you wrote:
> > Should OpenSRS lower it's wholesale price? That's for OpenSRS to
decide.
> > If resellers though are suffering from low-priced competition they
cannot
> > hope to match then they are right to point this out to OpenSRS - and
should
> > be able to do so without fear of condescending feedback.
>
> Resellers shouldn't be expecting domain registration to be a profit
> center for them. Then low price competition is not an issue. Domain
> registration should be an adjunct to their existing service, a value
> add.
>
> For the pricing "requests" (some of them were worded more like
> demands) that I have seen here, to get that pricing they would have to
> become ICANN accredited themselves.
>
> There will always be someone lower in price, if you are trying to be
> the lowest price in your market, and make a profit at the same time, by
> being an RSP, you are simply fooling yourself. If you want to try and
> play that game, become ICANN Accredited.
>
> The condescending feedback you note is generally from people who have
> been in this business a long time, and have said what I spelled out
> above for a long time. It gets rather tedious to see people complain
> all the time about how the competition (ICANN Accredited Registrars
> usually) are undercutting them and they can't compete and make a
> profit at the same time, when the writing has been on the wall in this
> industry for quite a long time.
>
> These people are just learning the lesson that many of us have been
> repeating on this list every month or so.
>
> But there will always be those who think they know better and don't
> agree, and set out to do that anyway, investing a lot of time and
> money to try and make it happen. Those are usually the ones who come
> back and whine when they can't compete on price, or complain that
> OpenSRS doesn't include this that or the other service that their
> competitors are offering, etc.
>
> Forgive some of us for not being that sympathetic.
>
> Look at the domain registration business as a value you are adding to
> your existing services, and you will find it much more enjoyable and
> less stressful.
>
> Then you find you CAN compete. You can offer customers domains at a
> loss (because you make it up in the other services you are selling to
> them). For example, you can give your hosting customers domains for
> $6/yr, and make up the $4 to $5 in loss in your first month's hosting
> fees, where you have a higher margin of profit anyway. Then you can
> charge your higher rates to "non-customers" who you really don't care
> if you get their business anyway. This provides and incentive for
> people to host with you as well.
>
> What we are seeing is people getting $15/mo virtual servers and
> spending $250 on RCU's, and thinking they will have a profit making
> domain registration service.
>
> Then they wake up.
>
> --
> Best regards,
> William mailto:[EMAIL PROTECTED]
>
>