09 Aug '18, 3pm

Quantifying GoDaddy's aftermarket

GoDaddy’s aftermarket business continues to grow, and analysts need to understand how it works. An analyst asked GoDaddy about its domain name aftermarket business on this week’s GoDaddy earnings conference call. GoDaddy credits increased aftermarket revenue for growing its topline domain name revenue and it’s important for analysts and shareholders to get an understanding of how the business works. Aftermarket revenue is not like domain name registration revenue. Domain registration revenue is recognized over time and is recurring. If a registrar sells a domain for $12 this month, it will recognize $1 of revenue per month for the next year. More often than not, that domain will be renewed so the one registration continues to contribute to revenue for a long time. But when GoDaddy sells a domain for $10,000, the best it can expect the next year is to get a standard renewal...

Full article: https://domainnamewire.com/2018/08/09/quantifying-godaddy...

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