GoDaddy increases commissions to 25% unless you use their nameservers

Date:

Big change in domain name sales commissions at GoDaddy, Afternic, Dan and Uniregistry.

GoDaddy announced today that their are increasing domain name sales commissions to 25% unless you use their nameservers. If you do use their nameservers for your domains for sale then the commission drops to 15%.

The change applies to all domains listed for sale on GoDaddy, Afternic, Dan and Uniregistry.

Before Feb 1, 2023:

The commission rate is dependent on the price the domain sold for.

  • Sale price: $0 to $5000 — Commission rate: 20% ($15 minimum)
  • Sale price: $5,001 to $25,000 — Commission rate: $1,000 plus 15% of amount over $5k
  • Sale price: $25,000 and over — Commission rate: $4,000 plus 10% of amount over $25k

DAN’s commission is currently 9%.

After Feb 1, 2023:

On February 1, 2023, the following commission structure will go into effect.

The commission rate is dependent on where the domain’s nameservers are pointed to at the time of sale (US$15 minimum).

  • Domains using GoDaddy brand aftermarket nameservers that point to a GoDaddy For Sale Lander: Reduced flat, 15% commission rate.
    15% of sales price for domains sold pointed to nameservers at Afternic, Dan, or Uniregistry Market; regardless of where it sells on the network or through landers directly.
  • Domains not using GoDaddy brand aftermarket nameservers: Standard flat, 25% commission rate
    25% of sales price for domains sold that are not pointed to nameservers at Afternic, Dan or Uniregistry Market.

GoDaddy brand aftermarket nameservers will end with the following:

  • afternic.com
  • smartname.com
  • uniregistrymarket.link
  • dan.com
  • undeveloped.com
  • internettraffic.com
  • cashparking.com

Here is what GoDaddy said about the commission increase:

“Over the last few years, it has been exciting to be a part of and help drive the growth of the domain aftermarket.  As we invested in our platform and integrated Dan and Uniregistry Market, we delivered positive changes, like a redesigned domain management interface, higher converting buy-it-now landers and an expanded distribution network that helps drive more sales for you. ”

“Currently, each GoDaddy owned marketplace uses a different commission structure, causing confusion for sellers and adding unnecessary friction.  There is a need for us to align the various commission structures to a single plan.  Doing so makes pricing simpler for you, as you can be confident you will receive the same amount, net of commission charged, across all marketplaces. ”

“This new commission model rewards those choosing to do more of their business with GoDaddy auctions using Afternic.com, Dan.com or Uniregistry.com through any of our For Sale Lander options with a reduced commission on their sales, regardless of where it is sold.  For those already using our For Sale Landers with Afternic, this will be a significant reduction in commissions versus the current 20% commission rate for the average sale.”

More on this change tomorrow…

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