Today at opening session of the Dot Nxt conference entitled: Setting the Scene, a questions was asked what would you tell large domain holders in anticipation of hundreds or thousands of new gTLD’s
Rob Hall of Pool.com made stated “if I was an owner of a large amount of two, three and four word .com’s I would dump them as new gTLD generic terms will be worth more than the .com equivalent in the future.”
“If I owned Shoes.com I would probably keep it, but if I owned Greatshoes.com, or GreatShoesforsale.com I would dump them”
I spoke to Rob for a while after the session to get further clarification and he used the example of “Ottawa Pizza”
Rob thinks that once there is a .Ottawa and a .Pizza the domain names Pizza.Ottawa or Ottawa.Pizza would both be worth substantially more than OttawaPizza.com.
I asked assuming if GreatPizza.com is worth $50K today what would it be worth a few after say a .Pizza is live.
He said there would be an immediate loss of 20K in value and the decline in value would continue but slow.
Finally he asked me to tell him a domain I owned, so I said Stuff.com.
“So would you rather own Stuff.com or .Stuff for $185K?
“If you owned the TLD don’t you think you could sell 10,000 registrations a year at $10 or make $100K a year.”
Maybe you would sell 50,000 registrations a year and now make $500,000 a year and that would be an annuity in perpetuity.
“So why wouldn’t you sell your generic .com’s and use the money to fund new gTLD’s”
Its certainly a radical approach to domains and one I haven’t heard anyone discuss so boldly an publicly.
So what do you guys think.
Do you think the additional choices in the domain space will cause value of other than bang on one word generic to fall?
Would you rather own stuff.com or .stuff?