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December 18, 2006

GoDaddy Starts .COM Domain Name Price War with $5.99 Registrations

posted by MR WAVETHEORY at 12/18/2006 09:33:00 PM

Just days after announcing a domain name registration partnership with Google (Nasdaq GOOG), GoDaddy has announced a .com domain name price war with its rivals. Today, I got an email in my inbox offering me .com domain name registrations for $5.99 per year. The coupon code for the offer is gdh1217, which you must enter when you check out.

GoDaddy is undercutting its rivals by a significant margin with this .com domain name deal. The best prices I could find for new domain registrations were:

Enom $6.95/year
Network Solutions $11.99/year
GoDaddy $5.99/year

GoDaddy sent its customers a bulk email promoting the offer:


At Go Daddy®, we thrive on competition, speed and power. IndyCar® star Danica Patrick is no different. While Go Daddy is the hottest thing on the Internet, Danica's tearing up the track.

Now we're combining our talents, and that can only mean one thing: The HOTTEST deals on the 'Net coming at you... FAST!

How's this for starters... $8.95 $5.99* .COM domains! That's right; register a new .COM at Go Daddy today and you save over 30%! Our best offer ever!

.COM is the perfect domain whether you want to promote your business, protect your brand, create a family scrapbook or announce a new arrival. Act now and it's yours at more than 30% savings!

Danica Patrick's already taking over IndyCar racing. And now she's helping us further our lead in the domain name industry! These savings end December 31, 2006, so order online at www.GoDaddy.com or call 1-480-505-8821 today! Simply enter source code gdh1217 in your shopping cart, or mention the code when you call.

Thanks as always for being a Go Daddy customer.


Bob Parsons
CEO and Founder

What is interesting is the economics of the offer. Verisign, Inc. (Nasdaq VRSN) operates the dot-com domain name registry and charges $6.00 per dot com domain registration according to the Revised .com Registrary Agreement with ICann. That means Godaddy pays Verisign the wholesale rate of $6.00 per domain registered. It also means GoDaddy will be operating at a loss of one penny ($.01) per domain registered under this promotion.

Of course, there is a catch to the offer. GoDaddy says the offer is limited until December 31, 2006 which means renewals will most likely occur at the regular rate of $8.95.

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