Why some domain extensions are more expensive than others

When you have a look at our domain price list, you will notice that some domain name extensions are more expensive than others. So why is that?

There are three factors that determine our domain name pricing (apart from the fixed costs of running the business):

  1. Registry price – this is the price a domain registrar is charged by the registries. What you may not be aware of is that it is not us who are actually holding your domain name but a designated registry such as VeriSign (.COM/.NET), PIR (.ORG), Nominet (.UK) or Denic (.DE). These registries charge a fee per domain to registrars which can vary considerably from one top-level domain to another. Ultimately, it is up to the registries how much they charge. This varies according to their operational cost, whether they are community-driven organizations or regulated by the government for example.

  2. Currency – we usually buy domains in the local currency of a country. Most European country code top-level domains (ccTLDs) are in Euro, while others are not part of the Eurozone e.g. Denmark uses Danish Crowns, the Czech Registry is paid in Czech Crowns, so they can all be subject to currency fluctuations.

  3. Support cost – some top-level domains have special registration procedures, for others you need to fulfill certain requirements for nameservers changes or whois contact updates, e.g. .EU domain updates are handled in a unique way. The world of country code domains is full of exceptional cases which have to be factored as additional support cost into the yearly registration fee as well.

As you can see there are a number of variables that influence the price for domains. We believe transparency is important, so we hope this article has given you some insight into domain name pricing.