Prices for new domain names remained stable in March, with few changes by major registrars. Go Daddy dropped its price to $6.95, its lowest price to date for a one-year .com registration, while 1&1 Internet AG nudged its offering from $5.88 to $5.99.
Discount-hungry domain purchasers have a new business model to consider, as Go Daddy rolled out Blue Razor Domains, a “membership discount club” where users pay an annual membership fee to obtain deeper discounts than those available through Go Daddy or its Wild West Domains reseller program. Blue Razor, an accredited ICANN registrar, is targeting its offerings to bulk purchasers who actively track existing domains. The $19.95 annual membership fee provides only a tiny advantage on .com pricing ($6.85 versus Go Daddy’s current $6.95 price) but more significant discounts on private registrations, monitoring and back-ordering.
Go Daddy president Bob Parsons said the model for Blue Razor is similar to that pursued by U.S. discount retailer Wal-Mart, which targets slightly different niches with its flagship Wal-Mart and Sam’s Club, a “membership warehouse” program offering discounted bulk goods in a no-frills environment.