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Procurement Market Intelligence Report

Internet Domain Names
Sourcing Guide & Market Trends

Comprehensive intelligence for making smart purchasing decisions

Learn about actual and potential costs

How much should I pay for Internet Domain Names?

What is the average price of Internet Domain Names?

This procurement report includes pricing information to help you purchase Internet Domain Names. Our analysts provide a benchmark price and a price range based on key pricing factors to help you understand what you should be paying for this specific product or service. To see the average price for this and hundreds of other products and services, subscribe to ProcurementIQ.

Has the price of Internet Domain Names been rising or falling?

Analysts look at market data from the previous three years to determine an overall price trend. You can use the recent price trends to help you understand price volatility and plan your budget.

I’m not ready to purchase Internet Domain Names yet. Will I pay more if I wait too long?

We forecast the next three years of price movements by looking at factors likely to affect the market's supply chain, such as inputs, demand and competition. You can then use the price forecast to figure out the best time to purchase.

What other costs are associated with purchasing Internet Domain Names?

Our analysts calculate the total cost of ownership and assign a level of low, moderate or high, depending on things like customization, integration and installation. Use this information to budget for Internet Domain Names with a reduced risk of unexpected costs.

See how we display average pricing information, trends and market data.

Find the vendor to meet your needs

Where can I purchase ?

Market share concentration for domain name registrars is high. Due to their early entry into the market, publicity efforts and the additional resources they can invest in value-added services, the top four suppliers account for more than 50.0% of the market. Market leaders, such as GoDaddy, have registered several million... Subscribe to learn more.

Questions to ask potential suppliers

How can I gain leverage during negotiations?

Experience and Expertise

How long have you provided these products to your longest-tenured client?

What qualifications does your staff have and what measures do you take to keep those qualifications up to date?

What industry do you most commonly supply this product for?

To what extent will ordering multiple products from your firm allow me to save on costs?

What is your repeat business rate for businesses in my industry and how does that compare to your overall rates?

Supply Chain Risk

Over the past three years, what percentage of your revenue has been dedicated to raw input materials? How has that changed?

Has the availability of raw materials tightened due to the coronavirus outbreak?

Over the past three years, what percentage of your revenue has been dedicated to labor?

How have fluctuations in input prices affected the prices of your products during the past three years?

How do you mitigate sudden price increases in raw materials?

When input prices rise, how much of the cost is absorbed by you and how much is passed onto buyers?

How, if at all, has your supply chain been affected by import tariffs levied in 2018?

Regulation

How do you manage regulatory change? Do you have regulation advisers or methods to track regulation?

How have changing regulations influenced your pricing now and how will the changes affect prices over the life our proposed agreement?

What ongoing training procedures do you provide for your staff?

Have you ever been found to be noncompliant with regulatory frameworks?

Amid widespread health concerns during the COVID-19 pandemic, what contingency plans are in place to mitigate risk to your clients and employees? Do you offer clients any flexible exceptions, such as contract suspensions?

Security

Have companies using your services ever been victim to malicious domain rerouting? If so, how did you assist in resolving the situation?

What past incidents have you had and how were they resolved?

What process do you use to identify potential safety hazards and resolve them?

If an incident were to happen due to a weakness in your security measures, would you provide a refund on business lost or registration?

Customer Service

How do you evaluate customer satisfaction and how frequently? Is this made available to clients?

How have you changed your service in response to customer complaints and suggestions?

If you encounter issues or your client is not satisfied, what steps do you take to address the issue?

Do you have a step-by-step process to handle client issues or complaints? What does that look like?

Amid widespread health concerns, what contingency plans are in place to mitigate risk to your clients and employees?

Value-Added Services

What type of web-hosting deals can you provide with the purchase of a domain name?

What additional features/services do clients purchase most often?

Why should I purchase additional services with you, rather than using a separate provider with lower prices?

Do you have customized services for web design and other creatively-demanding services or do you use?

Reliability

Who are your biggest clients that have registered domains with you? Do you provide features and services aside from registration for those clients?

On average, how long do clients stay registered through your company?

Why are your prices lower/higher compared with other registrars?

Do you offer registrations that exceed 10 years?

Financial Standing

How have you maintained high levels of service despite the slim profit margins associated with low-priced domain registration?

What percentage of revenue do you account for with your parent company?

In case of loss of accreditation or bankruptcy, how would you handle transferring all the domains?

How often do you upgrade hardware?

Are you experiencing fluctuations in demand as a result of the coronavirus outbreak? What measures are you taking to handle changes in demand?

Reputation

Have you had any major complaints with past clients? How have you dealt with these complaints?

What is the average retention rate among your clients?

Have you had any previous experience with clients specific to the market in which I operate?

Do you have any case studies of clients that you can provide for me?

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Key elements for every RFP

What should my RFP include?

Project Budget

Buyers should state their budget for internet domain registration.

Buyers should indicate if they are purchasing any additional features or services and their respective budgets.

Selection Criteria

Buyers should make sure the vendor provides a satisfactory level of customer support and security.

Buyers should evaluate providers based on the estimated costs of the internet domain name and additional services.

For a detailed list of key selection criteria, buyers should reference the Buying-Decision Scorecard section of this report.

Project Schedule

Buyers need to include the proposal due date and award information date.

Buyers should include any other benchmark dates relevant to the project that providers need to be aware of (e.g. desired website launch date).

Evaluate major factors to mitigate risk

How risky is the supply chain?

Supply chain risk for domain name registration is low. Domain name registries depend on the accreditation and TLD assignment that ICANN grants to them, which ensures that, should they no longer be accredited, the domain names will be securely transferred to other registries. Risk of losing a domain name due... Subscribe to learn more.

HIGH

MEDIUM

LOW