Godaddy 25% commission for domains not using their Nameservers (2.Viewing)

MapleDots said:

https://twitter.com/x/status/1626636595074826259

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DataCube said:

You generally need a lot higher margins to cover the low STR. Adding commissions just makes it worse.

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DomainRecap said:

Exactly, but a lot of people don't understand the numbers.

If you have a 2% STR (and it might be lower the first few years) then those 2 out of 100 domains you sold have to pay for the other 98 unsold ones. So if your domains cost $100 on average, then you need to sell them for $5,000 each just to break even on the base cost. And that's just simple math and doesn't include any commissions, renewals or other fees.

When it comes to investing, only the revenue and expenses of your entire portfolio matter, and you can pretty well ignore individual sales.

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DataCube said:

I posted some of my 2022 stats the other day on Twitter.

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DomainRecap said:

Yeah, I saw that and what you posted is exactly how investors need to look at their domains, as a portfolio, not just some outlier sales that don't tell the whole story.

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DataCube said:

I have always said that you have to account for all the domains you don't sell in a year, not just the domains you do sell.
That is a key point which many investors don't seem to grasp.

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DomainRecap said:

Exactly, and as Bill Gates said, just take money in and subtract money out.

These "Purchase Price: $250 + Sales Price $350 = Pure Profit!" guys on Twitter are insane.

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DataCube said:

Naturally as you move up in price range the ratios are going to decrease. However, then other things come into play like resale value.
For instance buying a LLL.com for a floor price, then selling it for $10K+ profit is not that bad.

Lower ratios generally only work with domains that have higher liquid value and where the renewal fee is a tiny % of the value.

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+10% more commission deducted for not using dan NS

25% + 5% commission deducted from seller, that is insane! If that’s the case, I rather use other domain escrow platforms. I have not receive a email notification regarding not pointing to dan nameservers will result in a 10% more commission!!! That is unacceptable and i never seen another escrow platform have similar rule like this one!

By “not pointing to your platform page and deducting seller 10% more”, and actually i only include my email and dan marketplace link on my landing page, they still deduct that 10% and reject to make any exception! That really disappoint and upset me! Where dan supports “import your own leads” that the seller invite the buyer by email, so i don’t see how my landing page cause them any lost but only 10% lost to me!

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