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August 27, 2012

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Here's the The Lowdown from DN Journal,
updated daily
to fill you in on the latest buzz going around the domain name industry. 

The Lowdown is compiled by DN Journal Editor & Publisher Ron Jackson.

Sweden's .SE Registry Claims Victory Over .Com as ccTLDs Enjoy Growth Spurt in Major Markets Around the Globe 

One of the most interesting trends in 2009 was the growth spurt we witnessed in ccTLD sales despite a global economy going through one of the worst economic downturns in the past century. As we noted in our latest monthly newsletter, the total dollar volume of ccTLD sales reported to us in 2009 soared 28% above the total for 2008. This happened even though total sales reported for the entire domain aftermarket slid 12.5% year over year.  Clearly the major country codes have been outperforming the market as a whole, and doing so by a very impressive margin. 

Yesterday, I  ran an item about increasing interesting in Australia's .au extension, especially now that registry operators there have removed some of the severe restrictions on .au ownership (prior to mid 2008 resale of .au domains was prohibited - talk about a damper on aftermarket sales!). Today I ran across an article about surging ccTLD sales in another market - Sweden. 

Sweden's country code is .SE and this headline on the .SE registry's website caught my eye - The .SE Domain Dominates the Swedish Market While .Com is Receding. The article says that according to a report published in January 2010 by the government commissioned Central Bureau of Statistics (SCB), "The .se domain is growing stronger while .com is losing its’ foothold in Sweden."  According to SCB’s report, IT Use By Enterprises 2009, 88% of all companies chose to register .se addresses, while 32% opted for .coms.

Danny Aerts, the CEO of the .SE registry said, “We see the same trend internationally.  Country code top-level domains, like .se, are growing faster compared to the generic top-level domains, like .com, .net and .org, in other markets as well.  In Sweden, .se  is the obvious top-level domain choice for companies.  Now we are also clearly seeing that smaller companies and individuals are to a larger extent choosing .se over other top-level domains." 

According to the SCB, Swedes are choosing .com less often. In 2008, 42% chose .com among companies with more than ten employees, but in 2009 .com's market share among those companies fell 6% to 36%.  Small companies with less than ten employees went in the same direction. In 2008, 34% of those companies chose .com, while in 2009 that number shrunk to 28%.

At the end of 2009 there were 936,428 active .SE domains, a 12% jump from the 834,004 that were registered at the end

of 2009. Sweden is just one of several nations that are seeing strong growth in use of their local ccTLDs. These high growth ccTLD markets (as well as blossoming IDN usage around the world) are creating welcome new opportunities for domain investors looking to diversify their holdings.

(Posted Feb. 5, 2010)

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