Question for SEDO

[domaingenius]

Hello


I would be interested to know whether Sedo would tell publicly or otherwise what percentage of revenue from Google is passed over to clients ?.
Let me be honest in saying that I think that in the long run I think it unsustainable to take the position of saying it is confidential.
I am asking NameDrive the same question and lets see their reaction. I have been in business a good number of years and have never yet known a company not wish to say what they are taking and hope that this may open up the matter to debate . I am quite happy if someone says "Yes we take 25% " but when someone says "sorry we cannot tell you" one wonders why (and I am not saying that you have said that) ?.

Hope you dont take offence but is intended as serious question,

Regards

DG

 

[sedo]

Hi DG and all interested,

Actually, I must say that my counterpart addressed this question very professionally and accurately. Though our models may differ, invariably the amount that any company even gets to share out with in the first place is going to differ. As has already been demonstrated, the percentage payout is going to be a relatively worthless metric at the end of the day.

On our side, we know we're not going to be able to stay competitive if we don't share the wealth, so that's what we do. Sure we get a few complaints about not fairly dividing the revenue we receive from Google, but if that's happening, then we'd much rather take it on a case by case basis. Overall, people have been very happy and, if the pay outs do seem to low, then most sensible people just send us an e-mail asking what gives and we're happy to take a look. Some people choose to leave without notifying us or complaining, which doesn't really help us improve and notice problems. However, that's part of the learning process that any company here can tell you is a very real part of this industry.

Essentially, if we weren't providing competitive revenue splits, then there would be no incentive for our clients to stay with us. That, however, does not seem to be the case as we have seen some of our most positive growth yet has occurred during the last 6 months.

Being well-established has its strong points. We have a great relationship with our ad provider, which we believe flows down to you, the end user. However, the flip side to that is that we have to try our best to remain responsive, despite our growth. This is the biggest reason we are present here--and I think this is where the main point is. You can look at some presumed % share to tell you with whom you want to place your business with. Or, you can look at service, tools, statistics, functionality, and a whole myriad of other factors that help you decide who you want to work with.

We're happy to do our level best in these areas and, if we fall short, we've never cried about some jibing on the forums. We simply learn and improve. This is includes, but is not limited to, the adjustment of our own pay out structure.

We hope that helps, and do let us know if you have any questions.

Best Regards,

Jakob

 

[domaingenius]

I do hope im not "blackballed" for speaking up,lol. I note what you say and agree that if you have different formulas then it would be hard to say percentage wise, but you must have the total figures received from Google for each seperate client so how about giving each client a brakdown such as simply;

Google : $2000
less our fees $1900 )lol, I jest a bit)
You Get $ 100

That would be straight and to the point and only thing I could think would hold you back would be not wishing to make some think they were paying too much to "you". As I say I am not knocking what you earn because I simply dont know what you earn,

Regards

DG

 

[zee]

payment

Silly question to ask.....no businessman would divulge their accumen in a open forum for all and sundry to use or complain about..sedo is improving all the time...compitition means sedopro payments increase....I bet NO ONE on sedopro has seen a decrease in revenue....be happy...if not on pro...send pm and i'll sponsor.....see your revenue increase if accepted...z

 

[retired_member6]

And the sooner sedo pro is released to the masses the better or I'm leaving for namedrive haha stop giving other people more money than me!!

 

[Edwin]

It's also impossible to compare parking providers even if you knew their percentage shared with their clients, because each will have signed an NDA-protected agreement with Google that covers THEIR share of the revenue, and without that information the percentage is meaningless.

A fictional example to illustrate this...

Parking Service A
- Google split: 30% (parking service gets 30% of Google's revenue) (NDA protected information)
- Domain owner share: 60% (the domain owner gets 60% of the parking service's share)
- Effective domain owner share of Google's revenue: 18%

Parking Service B
- Google split: 50% (parking service gets 50% of Google's revenue) (NDA protected information)
- Domain owner share: 40% (the domain owner gets 40% of the parking service's share)
- Effective domain owner share of Google's revenue: 20%

Now all that the parking services A or B could say is "we give you 60% of our revenue" or "we give you 40% of our revenue" so without knowing the Google/parking split you've got a totally blinkered view of which service pays better.

 

[domaingenius]

It's also impossible to compare parking providers even if you knew their percentage shared with their clients, because each will have signed an NDA-protected agreement with Google that covers THEIR share of the revenue, and without that information the percentage is meaningless.

A fictional example to illustrate this...

Parking Service A
- Google split: 30% (parking service gets 30% of Google's revenue) (NDA protected information)
- Domain owner share: 60% (the domain owner gets 60% of the parking service's share)
- Effective domain owner share of Google's revenue: 18%

Parking Service B
- Google split: 50% (parking service gets 50% of Google's revenue) (NDA protected information)
- Domain owner share: 40% (the domain owner gets 40% of the parking service's share)
- Effective domain owner share of Google's revenue: 20%

Now all that the parking services A or B could say is "we give you 60% of our revenue" or "we give you 40% of our revenue" so without knowing the Google/parking split you've got a totally blinkered view of which service pays better.

Thanks for that Edwin. Yep I shall give uo trying to work it out on that basis and thus be down to simply comparing bottom lines over a period with same domains.

DG