Generating New Revenue Streams with

Premium Domains

Bob Mountain Chief Revenue Officer

Afternic.com

Agenda

•  What  is  a  “Premium  Domain”?    

•  Overview  of  premium  domain  a9ermarket  

•  A9ermarket  technology  

•  Benefits  

•  New  TLDs  

•  How  can  you  get  involved  

•  Q&A  

What is a Premium Domain?

•  Domains  are  similar  to  commercial  real  estate:  they  are  a  business’s  “online  store  front”  and  “digital  idenKty”    

•  ExisKng  registraKon  •  Short  •  Highly  memorable,  supports    a    

business’s  on-­‐line  idenKty  •  SEO-­‐friendly  •  May  have  type-­‐in  traffic  before    

being  developed  

Premium Domain Customers

PearlParty.com LivingAuthentically.com PoolClean.com GlobalRenewable.com HotSoup.com

RatePoint.com FoodSteps.com McCapital.com SafetyTown.com SteakExpress.com

Why Invest in a premium domain?

Key Point Details Legitimacy A good domain name conveys legitimacy and professionalism.

Customers will be more apt to do business with you online.

ROI The .COM extension is easily the most valuable and sought after extension – and most quality .COM addresses are only available on the secondary market and only for a premium price.

Discoverability Domain names are equivalent to online Real Estate. You want a prime location so your prospects and customers can reach you.

Search engine strength

Domains with strong keywords can improve your ranking in the major search engines

Traffic Purchasing a domain with existing traffic can help drive targeted leads/sales and grow your business

Previous History

Domains with previous history are considered more authoritative in the eyes of search engines

Secondary Markets Often Eclipse the Primary Market

Automobiles U.S. Equity Market

$35.5 billion

Shares sold in IPO market

Shares sold in secondary

market

306 thousand

New construction

units sold

Units sold in secondary

market

10.6 million

New cars sold

Units sold in secondary

market

$30.7 trillion

4.3 million

35.5 million

Residential Real Estate

4

The Aftermarket Represents A Significant Revenue Opportunity.

$0

$200

$400

$600

$800

$1,000

'00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 '11 '12

$ M

illi

ons

Value of Global Aftermarket Domain Sales $1 billion

7

Premium Domains are Optimized for SMBs

SMB 1-5 Employees

42%

SMB 6-24 Employees

21%

SMB 24-499 Employees

15%

500+ Employees 4%

Domainers 10%

Non-Profit 4%

Personal 4%

77%  of  A9ernic  Domain  Buyers  are  Small  and  Medium  Sized  Businesses  

Online Presence

SMBs Need Premium Domains To Be Successful Online

Scarcity Growth

Only of Indian MSMEs have an online presence

5%

Only of SMBs worldwide have a website

33%

Million .com domains registered

103+

Annual growth rate across all TLDs

11%

Increase in sales volume on Afternic since ‘07

8x  

Growth rate 2x    

SMBs with a strong web presence report:

Revenue increase 2x    Hiring 2x of businesses in

Asia ran social marketing campaigns in ‘11

75%

Authorization Afternic requests Losing Registrar to start transfer and get authcode from Registry.

Purchase Reseller partner purchases a domain from Afternic inventory.

Afternic Enables Smooth Transition with Fast-Transfer Technology

Transfer Afternic gives Reseller the authcode to transfer the domain via Registry.

Losing  Registrar

Authcode  +Owner  info

Registry

Afternic Afternic

Registry

Transfer

Reseller Reseller

BuyDomain.com

Authcode

1 2 3

The Only Global Premium Domain Reseller Network

Europe  

Asia  

Oceania  

Canada  

U.S.  Caribbean  

21 page 11

Why should your customers care?

12

Search Engines Like Shorter Domains

•  Older,  more  established  domains  tend  to  be  shorter  •  Long,  exact  match  domains  tend  be  owned  by  spammers  •  Large  corporaKons  invest  into  shorter  names,    more  SEO  and  

content  •  Shorter  domains  are  more  memorable  

Search Engines Love Exact Match Domains

•  Exact  match  domains  perform  well  in  search  results;  recent  study  by  the  Open  Algorithm  confirmed  correlaKon  of  exact  match  domains  to  search  query  on  Google    

•  Successful    brands  create  new  exact-­‐match  domains,  much  like  Amazon  and  Facebook  

14

Search Engines Love Exact Match .com Domains

15

Search Engines Even Like Hyphenated Exact Match Domains

16

Keyword Match Improves Search Engine Position

17

Yesterday

New TLDs will Create Huge New Premium Domain Opportunity

Beginning this Year

Now

gTLD extensions in active use 18    

Internationalized county-code extensions

23

New gTLD internationalized extensions

66

Global brands launch their own extensions

900

New open gTLD extensions available

500+  

Professional Web .PW    

New Options are now available:

Subdomain for India .In.net  

Traditional country-code extensions 250

Million-dollar Question: Which Domains are Premium in New gTLDs?

Suggest

Value

Refine

Monitor

•  Need  to  analyze  masses  of  data  and  iden0fy  candidate  domains  

•  Need  to  pair  domains  with  market  data  valua0ons  

•  Need  to  keep  updated  candidate  lists  based  on  news  and  global  trends  

•  Need  to  monitor  prices  to  ensure  fair  market  value  

What’s in it for you?

•  New  revenue  opportuni0es  – Make  profit  on  premium  domain  sales  –  Extremely  high  renewal  rates  –  Premium  domain  customers  have  highest  life0me  value  

•  BeAer  user  experience  – More  domain  choices  

•  Customer  reten0on  – Don’t  let  your  customers  buy  them  elsewhere  

Get Involved: Integrate Premium Domains into Your Service Offering

These Resources Can Provide More Education on Premium Domains.

www.DNJournal.com  (sales data over many years, domain trends, etc…) www.DNSaleprice.com (comparable sales by keyword) www.Namebio.com (domain comparables and resources) www.Archive.org (domain history) www.Valuate.com (rough domain appraisals – use when helpful) www.Domaintools.com (Whois/is name for sale/archive records) www.NameFind.com  (name suggestion engine) www.NameBee.com  (Domain Name Industry blog aggregator)  

Bob Mountain Senior Vice President, Business Development mtn@afternic.com +1 508.878.0469

Carissa Pompei Business Development Manager cp@afternic.com +1 781.839.2876

Put Premium Domain Sales to Work for You. Call Us Today.

Nadya Morozova Director of Business Development, Europe nadya@afternic.com +44 782.612.1912

Afternic is the leading domain reseller network in the world, spanning four continents and

serving nearly 1 billion domain queries per year.

SmartName is a leading domain monetization company,

generating millions of dollars in advertising revenue through

advanced technology.

About Afternic

“AGernic.com  the  largest  premium  domain  marketplace  in  the  world  with  over  100  par0cipa0ng  members  and  the  most  secure  and  advanced  

technology  in  the  industry”  

Brands    

Thank You!!!