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Frank Schilling On New gTLD’s and The Value of .Com In The Years Ahead

Posted on the 26 July 2015 by Worldwide @thedomains

Frank Schilling in a comment to our post on .Bank getting 5,500 applications, had a very interesting comment:

“”IMO Dot Com will still be the largest individual TLD, but many, many viable alternative TLD’s will marginalize the totality of .com’s mindshare in future.

Speaking as the owner of a large portfolio of valuable dot com names, I once felt comfortable explaining that people should spend whatever it takes to buy one of my .com names because they could rest easy knowing their acquisition/investment cost could be amortized over many years and that a buyer could realize a life-time of permanence and value by purchasing the .com (an extension with ubiquitous and singularly viable resonance).

In a World with thousands of shorter, better looking and newly-viable name endings, I no longer believe .com to be singularly viable and sense the potential for a rift in resale valuations of .com names in the years ahead.””

We have been debating the effect of new gTLD on .Com values for at least 5 years well before the first new gTLD was released.

My opinion really has not changed on this, certainly the value of ultra premium .Com’s unquestionably will continue to rise in the coming years but longer .Com’s especially those that have several new gTLD’s in the wheelhouse of the .Com will continue to come under pricing pressure as consumers have more choices for a suitable domain.

Likewise bang on new gTLD’s will sell for premium dollars.  Domain names like wine.club like Meet.me have premium value

So for example payday.loans or skin.care those are bang on natural domain names.

They have premium dollar value.

Yes the .com’s are better but those domains are in use and gone.

Not available.

There used to be a 5%-10% rule for .net/.org value to a .com

I think these direct match domain names will have a value in the 10%-20% range.

Take Skin.Care for example.

SkinCare.com recently sold to l’oreal.

That domain is gone.

A domain like Skin.Care is easily worth 10% of the value of the .Com

Take a domain like joint.ventures which we recently acquired.

My friend Rick Schwartz owns the .Com

You want Jointventures.com go make your seven figure offer and buy it from Rick.

Don’t have 7 figures then in the low six figures joint.ventures isn’t a bad option.

Many other new gTLD extensions with don’t lend themselves such a matching to  lesser domains will probably have the value of a .info in the low $x,xxx or $xxx range.

Those are my thoughts

What do you think?


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