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August 15, 2013

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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.

Sedo Issues Its Domain Market Study for 2Q-2013 & Their Own Financial Results + Does Chicago.com Have a New Owner or Just a New Investor?

I've been away on vacation so in the Lowdown posts today and tomorrow I'll bring you up to date on some of the news and information that came in while I was away. For starters, 

Sedo has released their latest quarterly domain market study covering 2Q-2013 and for the first time the Sedo study is presented as an infographic rather than in the usual text format they have used since they started issuing these reports in 2004. 

Sedo reported closing over 9,500 sales to buyers in 160 different countries in the second quarter with an average sales price of $1,830. The median price for their sales (the point at which half of all sales were higher and half were lower) was $551

Sedo CEO Tobias Flaitz

Sedo's sales came from a record 118 different domain extensions and CEO Tobias Flaitz said ICANN's impending release of new gTLDs will dramatically increase that number. "We're going to see the market flooded with hundreds of new domain extensions in the coming months and years, and our data shows that investors and corporations are evidently warming up to the idea of using different extensions," Flaitz said. 

"It will take time and effort before we see mass adoption of new TLDs, and Sedo is contributing its part to raise awareness through global marketing, sales efforts and partnerships with applicants. The fact that more extensions than ever are being traded and successfully used for business is a promising development," Flaitz said. 

Even so, the Sedo study showed that 53% of all sales on their platform in 2Q-2013 were .com domains with an average price of $1,937 for those sales. Sedo also reported that 42% of its sales were from Buy It Now listings. 

In a related note, Sedo Holding AG also issued their earnings report for the first half of 2013Sedo reported revenue growth of 5.9% (in line with its forecast) with total group revenue rising from  €66.6 million in the same period a year ago to €70.5 million this year. Sedo said the growth was especially driven by the Affiliate Marketing segment, adding that the Domain Marketing segment (including domain monetization) remained confronted by the challenges of a contracting market and strong competition from price-aggressive providers.

In another interesting story while I was away, geodomain giant Dan Pulcrano, in an article  he wrote for SV411.com, said that the Chicago Sun Times had purchased Chicago.com - though the company has not publicly confirmed that yet. 

The point man for Chicago.com's long time ownership group - Josh Metnick - hasn't confirmed a sale either and as Andrew Allemann reported at DomainNameWire Wednesday, Metnick is still listed as the registered agent and President of the company shown in the WhoIs record as the Chicago.com owner. So, it is possible that the Sun Times involvement may be an investment/marketing agreement rather than an outright purchase of one of the world's premier geodomains. 

(Posted August 15, 2013) To refer others to the post above only you can use this URL:
http://www.dnjournal.com/archive/lowdown/2013/dailyposts/20130815.htm


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