Afternic Service is Sucking @ 25% (1.Viewing)

DropWizard

DropWizard

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You'd think if they were going to raise their rates to 25% service would improve. Last year we had a few hundred dollars disappear from a transaction during the payment process and got nothing but BS and a runaround from them. This time they took a $2500 commission on a domain sold and transferred last Thurs morning.

No payout date is scheduled after three business days. Support says up to another three business days. And by the way, no manager to talk to and maybe they could get someone to phone me back in the next 24 hours.

I only took it because it would allow me to speed up a reno I'm doing.

I don't like being forced to deal with their PPC suppliers either to get a lower commission. We have arrangements we've had for years and why should we give in to blatant blackmail?

Done with them.

Oh yeah, and their Transaction Assurance only assures they get paid. You, you're on your own.
 
I find they typically take one week to make payment - even for fast transfer where they obtain the domain in seconds.
 
DropWizard said:
You'd think if they were going to raise their rates to 25% service would improve. Last year we had a few hundred dollars disappear from a transaction during the payment process and got nothing but BS and a runaround from them. This time they took a $2500 commission on a domain sold and transferred last Thurs morning.
Click to expand...

That was technique, wasn't it? Going to report it to Ron Jackson?
 
rlm said:
That was technique, wasn't it? Going to report it to Ron Jackson?
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LOL, you know me too well. I don't think I'm going to report the sale. I thought about writing an article about this 25% and see if he'll publish it. I hit them on Twitter too. There's no excuse for a week's delay and when their support tells me they need that time to VERIFY the transaction! WTF! You gotta wonder what the hell they mean by that? It should have been verified before they ever accepted the domain transfer.

Sorry, what did you mean by technique?
 
rlm said:
That was technique, wasn't it?
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DropWizard said:
LOL, you know me too well. I don't think I'm going to report the sale. I thought about writing an article about this 25% and see if he'll publish it. I hit them on Twitter too. There's no excuse for a week's delay and when their support tells me they need that time to VERIFY the transaction! WTF! You gotta wonder what the hell they mean by that? It should have been verified before they ever accepted the domain transfer.

Sorry, what did you mean by technique?
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Ah, so it wasn't you. Technique.ca sold too, and it appeared to be around $10K USD. Was just trying to see if anyone here would fess up to selling it.
 
DropWizard said:
LOL, you know me too well. I don't think I'm going to report the sale. I thought about writing an article about this 25% and see if he'll publish it. I hit them on Twitter too. There's no excuse for a week's delay and when their support tells me they need that time to VERIFY the transaction! WTF! You gotta wonder what the hell they mean by that? It should have been verified before they ever accepted the domain transfer.

Sorry, what did you mean by technique?
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I think these marketplaces work based on the worst case scenario of a domain taking up to a week to transfer. They're not used to dealing with the speedy transfers of .CA, nor do they really care to. To minimize their touchpoints on every transaction, I bet they just queue it for followup a week later rather than manually checking it every day. If you're anxious for the $$$, then l recommend being the squeaky wheel...

But yeah, its annoying and it feels like you're paying the maximum service charge yet getting the minimum service level.
 
rlm said:
I think these marketplaces work based on the worst case scenario of a domain taking up to a week to transfer. They're not used to dealing with the speedy transfers of .CA, nor do they really care to. To minimize their touchpoints on every transaction, I bet they just queue it for followup a week later rather than manually checking it every day. If you're anxious for the $$$, then l recommend being the squeaky wheel...

But yeah, its annoying and it feels like you're paying the maximum service charge yet getting the minimum service level.
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It was a .com and Fabulous allows you to log in and approve the transfer instantly. Got the offer Wed night and provided codes the next morning, approved the transfer shortly after as soon as Fab notified me they received it. The transfer was completed Thurs morning. I'm not going to sit by for a 6-day transfer process followed by a week-long payment wait. Ridiculous!
 
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Sale just updated (perhaps thanks to James' intervention) with a payout date of the 17th. :mad:

Previous discussions with support have told me they do it in the afternoon which means it's likely I won't see the money till Monday. If memory serves me, their last wire took three business days to land and was short a few hundred dollars. It will take almost a full two weeks for a payout if that happens. Words fail me! 25%? BAH!
 
For 25% they better send a nice gift basket along with the money.
 
DomainRecap said:
For 25% they better send a nice gift basket along with the money.
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I don't understand ow ANYBODY can give up 25% of their assets and then still pay tax on the profits.

Imagine this....

You buy a domain for 10k

Lets say you sell it for 20k on a quick flip, good money right?

Nope you give 5k to godaddy because they take it off the top without considering what your cost was.
Then factor in the tax man if you are a legitimate domainer and there is literally nothing left.

I am in the 53% tax bracket so my take home on that 20k domain would be $2,350 after paying my cost, godaddy, and the tax man.

Seriously?

They will never get my business, not s single drop at 25% and they will never get my name servers exclusively. It's my property, I decide where they point to. I want to harness my type in traffic so I get the odd sale with no commission. Godaddy can have a reasonable commission if they sell it but the straight type ins will always remain my sales, whoever gives those away is foolish for doing so.
 
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Those number aren't really accurate, even if you only owned a single domain.

Any asset you sell for a profit (no matter if it's a painting or a Pokemon card) you deduct the initial cost (as well as any other acquisition cost in your similar asset class) before taxes. So even if you bought 1 domain for $10K and sold it for $20K, then at 53% you would take home $4700 in the worst case.

If you also bought a lot of domains that year that didn't sell, you would probably not pay anything. You just need to keep the records and if you experience a loss, then claim it as such to be used against future periods.
 
DomainRecap said:
Those number aren't really accurate, even if you only owned a single domain.

Any asset you sell for a profit (no matter if it's a painting or a Pokemon card) you deduct the initial cost (as well as any other acquisition cost in your similar asset class) before taxes. So even if you bought 1 domain for $10K and sold it for $20K, then at 53% you would take home $4700 in the worst case.

If you also bought a lot of domains that year that didn't sell, you would probably not pay anything. You just need to keep the records and if you experience a loss, then claim it as such to be used against future periods.
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OK lets break it down

20,000 Sale with 10,000 Cost

10,000 cost
5,000 to godaddy leaves 5,000 profit from the 20k sale

Remove 50% tax from the $5000 and you are left with $2,500 max

Now mind you that 50% tax bracket will vary from person to person but I know once I do my calculations the government always manages to take half of my income.
 
The problem is godaddy has no costs and we do, they take 25% off the entire deal not just the profit and we have not even factored in the renewal costs yet.
 
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MapleDots said:
OK lets break it down
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I got the numbers mixed up and thought the $10K was your entire cost (acquisition + fee) which is what cost would be if I'm filling it out. Sorry about that and I should have read it through.

Now my question would be, why are you spending $10K outright to sell for only $20K. Those numbers do NOT work. :p :ROFLMAO:
 
DomainRecap said:
Now my question would be, why are you spending $10K outright to sell for only $20K. Those numbers do NOT work. :p :ROFLMAO:
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I was talking about a quick flip, not the norm but something that I have done.

I like godaddy services, I did well with them, its so unfortunate they totally botched the name server thing.
 
MapleDots said:
I was talking about a quick flip, not the norm but something that I have done.

I like godaddy services, I did well with them, its so unfortunate they totally botched the name server thing.
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Even at a more favorable ratio, the breakdown is still not that great for a domain investor.

$1K cost. $10K sell.

$2,500 to GoDaddy.
$7,500 to you.

GoDaddy collects 25% of the gross sale, with essentially no risk or carry costs on their end.

Brad
 
DataCube said:
Even at a more favorable ratio, the breakdown is still not that great for a domain investor.

$1K cost. $10K sell.

$2,500 to GoDaddy.
$7,500 to you.

GoDaddy collects 25% of the gross sale, with essentially no risk or carry costs on their end.

Brad
Click to expand...

No, $6,500 to me once you deduct the cost, which technically gives GoDaddy more than 25%
 
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