Domain Registrars to Change Over Next 5 Years — Role of
What role will domain registrars play in five years?
Today, we think of domain name registrars as the place to go to register domain names. But this role will change over the next five years.
Why? If you think “all of the good names are by now registered” now, think regarding what the landscape will look like in five years. Here are some predictions for domain registrars:
1. Registrars become domain managers, not “registrars”. The central role of a registrar will be to provide management tools for clients’ sizable portfolios of domains and to manage renewals. The registrars with the best management tools will prevail.
2. Registrars depend on aftermarket sales instead of initial registrations. Aftermarket domain name exchanges are integrating with registrars to offer alternatives when a domain is not available. Look for this to become the norm going forward. In fact, registrars will change their search algorithms to push aftermarket sales instead of fresh registrations.
3. Commercial registrars own the bulk of domain names. Sizable registrars by now keep some of the best expiring domains for themselves. They also have some of the best intelligence regarding domains counting which domain names people are searching for. Registrars will profit off the backs of their clients and snatch up significant domain inventory — something they can turn around and sell on the aftermarket.
Of course, here’s another scenario: There are approximately 37^63 possible .com domains to be registered in roman characters alone (26 letters, ten digits, and hyphens). “True” IDNs come online, expanding the domain pool exponentially. Fresh extensions become the norm. Registrars see explosive growth in registrations.
Nevertheless, I believe registrars that offer the best account management and embrace the aftermarket will be the ones to thrive.
If you agree with this view, then it makes sense for registrars today to offer the lowest possible price for registrations. If they continue to offer reasonable renewal prices and good account management tools, clients won’t transfer out domains. The more clients they lock up today, the more they’ll have in the future.
