08|08|2007 9:19 am EDT
Tucows introduces cost+ pricing model
In an email to their resellers, Tucows announced a change in their pricing model yesterday. As of August 4th, the billing is now based on a cost + maintenance fee model. That means that Tucows resellers will now be charged the registry fee, the ICANN fee and a “Tucows Maintenance Fee” of $3.00 separately.
So here are the current reseller charges at Tucows:
| TLD | registry cost | ICANN Fee | Tucows Fee | Total |
|---|---|---|---|---|
| COM | $6.00 | $0.20 | $3.00 | $9.20 |
| NET | $4.25 | $0.20 | $3.00 | $7.45 |
| ORG | $6.00 | $0.20 | $3.00 | $9.20 |
| INFO | $5.75 | $0.20 | $3.00 | $8.95 |
| BIZ | $5.30 | $0.20 | $3.00 | $8.50 |
Considering that other registrars such as GoDaddy have also been charging the ICANN fee separately, I would expect other registrar to switch to a similar model over time.
Tucows stock took a plunge yesterday after the quarterly earnings call, which also announced a stronger focus on the aftermarket for the company.
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6 Comments
Michele Neylon
August 8, 2007 @ 6:12 pm EDT
Frank
eNom has been listing the ICANN fee separately for quite some time.
Michele
Frank Michlick
August 8, 2007 @ 8:27 pm EDT
Michele,
As I said in my article above “other registrars such as GoDaddy have also been charging the ICANN fee separately”. However this is the next step that introduces a transparent registry pricing as well. Probably the easiest way to deal with the accounting needed to run a registrar.
Of course the ICANN fee is not charged in realtime at the time of the registration, as far as I know but rather invoiced at a later time. So this gives the registrar some time to “play” with the advance payment.
/Frank
Michele Neylon
August 8, 2007 @ 8:29 pm EDT
Frank
Apologies - I misread you.
Michele
Victor
August 9, 2007 @ 12:55 pm EDT
Does this mean that a registrar have to pay 9.20 for every domain they sell? what does tucows $3.00 fee represent?
Regards
Frank Michlick
August 9, 2007 @ 1:11 pm EDT
Victor, the cost for the Tucows’ resellers is $9.20. What exactly Tucows charges the $3.00 fee you have to ask them.
The cost for the registrar is $6.00 + $0.20 ICANN fee. And then there are some more fees for them, like the “variable ICANN fee”.
Also keep in mind that most of the registry fees will increase in October.
/Frank
Victor
August 9, 2007 @ 1:15 pm EDT
Thank you!