Growth of TLDs Like .Co and .Me Indicate Potential for new gTLDs
Sedo, the leading online domain marketplace and monetization provider, today announced the results of its 2011 Annual Domain Market Study with Q4 2011 review, which reveals domain industry trends and changes based on transactions in its marketplace. Sales volume in 2011 totaled $84,431,965, with .co and .me entering the top ten sold top level domains (TLDs) for the very first time, supporting the case for new gTLDs and their potential for success. While these newer extensions increased in value, the traditionally strong .com also increased, demonstrating that while there is promise for newcomers, .com domains will retain their value.
The continued increase in Buy Now sales, as well as growth in median prices for sales made over the SedoMLS Network, reveal a shift in end user behavior. More buyers are interested in fast domain purchases, as well as the ability to purchase premium domain names from a recognizable environment, such as their preferred registrar.
"This year we saw domain buyers increasingly turn to sources like registrars to purchase their domains, so we're excited to be playing a key role in providing these buyers with the greatest choice of domains names," said Liesbeth Mack-de Boer, Chief Sales Officer at Sedo. "SedoMLS places sellers' domains in front of millions of potential new buyers, and our goal for 2012 is to make buying a domain as easy as registering one for the first time."
Highlights of Sedo's 2011 Annual Domain Market Study include:
- 39,951 sales occurred in 2011, the majority of which took place in the first half of the year.
- The .com extension continues to dominate, accounting for 44% of all sales. In second place was .de, with 18% of all sales.
- Top sales for the year included Gambling.com for $2.5 million and Dudu.com for $1 million.
- Buy Now sales accounted for 35% of all sales in 2011. In Q4 2011 alone, Buy Now sales made up close to 40% of all sales, indicating a steady increase of around 5% per year since 2009.
- Median prices of nearly all TLDs increased and average prices were stable. The .co and .me extensions showed the strongest increases in median and average prices.
- The most popular domain name length was eight characters, represented by sales like Gambling.com
- 47% of sales during 2011 were priced at under $500, and a majority of those were Buy Now domains.
- IDNX, the first standard price index for the domain industry, shows that the domain market remains closely correlated to the NASDAQ 100 and IT stock numbers. (IDNX -1.5% and NASDAQ +1.7%)
"With SedoMLS, Sedo set the groundwork in 2011 for a trading platform that provides the best choices for both domain buyers and sellers," said Mack-de Boer. "In addition, our marketplace demonstrates the overall stability of domains as investments. With an increase in average prices, .com names remain at the top of our sales lists. However, the notable success of .co and .me acts as a benchmark for how new gTLDs may impact the domain market as a whole."
Sedo's complete 2011 Annual Domain Market Study with Q4 Review can be found online at: http://www.sedo.com/press/DomainMarketStudyUS2011.pdf
About Sedo
Sedo, an acronym for "Search Engine for Domain Offers," is the leading domain marketplace and monetization provider. Headquartered in Cologne, Germany and with offices in London, England and Cambridge, Mass., Sedo has assembled the world's largest database of domain names for sale, with more than 15 million listings. The success of Sedo's model has attracted a global membership base of more than 1 million domain professionals. For more information, visit www.Sedo.com.
Contacts:
fama PR
Jessica Harrison, 617-986-5024
sedopr@famapr.com
