RE: [gnso-dt-wg] Reviewing GTLD price increases' impact to tasting activity

[Alan Greenberg <alan.greenberg@xxxxxxxxx>]

Tim, I think it is a tenuous argument at best. 
Since the price increase only applies to the 
domains kept after the AGP, the effective cost per domain tasted is VERY small.
Alan

At 22/10/2007 12:44 PM, Tim Ruiz wrote:
> Kristina, I think the idea is that the names being tasted at this point
> are all out on the long tail of any potential return. So the threshold
> for a name to be considered profitable is very narrow between its return
> and its cost. A increase in registration cost would make it even
> narrower and perhaps bring into the question whether tasting continues
> to be a practical way to try to find the names that would still return a
> profit.
>
> I think that argument *may* have some merit, but I'm not completely
> convinced either. Regardless, if that is the case, we should be able to
> see the impact (or lack thereof) by monitoring the zone file activity
> and not have to wait for the registry reports to be posted. And of
> course, the registries can report on the impact separately and sooner
> themselves if they choose to.
>
>
> Tim
>
>
> -------- Original Message --------
> Subject: RE: [gnso-dt-wg] Reviewing GTLD price increases' impact to
> tasting activity
> From: "Rosette, Kristina" <krosette@xxxxxxx>
> Date: Thu, October 18, 2007 3:26 pm
> To: "Jothan Frakes" <jfrakes@xxxxxxxxxxx>, <gnso-dt-wg@xxxxxxxxx>
>
> Jothan,
>
> I don't follow how the registry price increases will curb tasting if the
> AGP is being used for no-charge registrations.  From my perspective, a
> refund is a refund - it just may be a bigger one.  (It may be more
> accurate to say that no charge is no charge.  The point is the same.)
> It's not clear to me what market factor/disincentive you anticipate.
> I'd like to understand the analysis.
>
> Having said that, the likelihood that the IPC will be willing to wait an
> additional six months is between slim and none.  If that makes us
> imprudent and unreasonable, so be it.
>
> Kristina
>
> From: owner-gnso-dt-wg@xxxxxxxxx [mailto:owner-gnso-dt-wg@xxxxxxxxx] On
> Behalf Of Jothan Frakes
> Sent: Thursday, October 18, 2007 3:26 PM
> To: gnso-dt-wg@xxxxxxxxx
> Subject: [gnso-dt-wg] Reviewing GTLD price increases' impact to tasting
> activity
>
>
>
>
> Hi-
>
> I acknowledge the desire to take action on domain tasting is strong
> within some constituencies; I'd like to suggest that the recent price
> increases enacted at registries may have a role in curbing the activity.
>
> The recent price increases on the GTLDs may create a market factor that
> significantly removes the financial benefit to tasting because of the
> higher per unit cost.
>
> Ultimately, this theory cannot be proved or disproved until data from
> the registries for the month of November (the first full calendar month
> that would reflect the results of the change) can be reviewed.
>
> How soon would it be before we would see the registry reports that would
> reflect November 2007 (the first full calendar month that would reflect
> the change) in them to indicate if the GTLD price increases created a de
> facto solution?
>
> It seems to me that some review of the results of the price increases
> before proposing any solution would be prudent and sensible.
>
> -Jothan
>
>
>
> Jothan Frakes
>
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