ICANN accreditation

[Webcs-Peter]

Why is it so important ICANN accreditation for domain registration?

 

[astroWP]

ICANN accred. allows you to resell domains at your own prices and whatnot. This may be a pretty bleh explanation but it basically allows you to be like GoDaddy, NameCheap, etc. It costs quite a bit of $$ but if you do stuff right, you can go pretty far with it.

 

[MisterZim]

I believe you are asking the question in a registrar's perspective rather than a customer's perspective.

Basically, if a 'domain registrar' is not accredited, they are probably selling through an accredited registrar. For example, we offer domains but we ourselves are resellers of Enom.

I hope that helps.

 

[Mediumcube]

I do believe it's important otherwise how can you trust them?

 

[HostColor]

It is not important. Many companies that offer domain registration act as resellers of ICANN accredited registrars.

 

[Copahost]

That's only worth for companies with over 20,000 domain names. We currently hold 9,000 .COM/.NET/.ORG registrations, and it's still not worth.

 

[Artashes]

That's only worth for companies with over 20,000 domain names. We currently hold 9,000 .COM/.NET/.ORG registrations, and it's still not worth.

Can you share a little more about what makes 20,000 a magic number? How is it derived at?

 

[othellotech]

Can you share a little more about what makes 20,000 a magic number? How is it derived at?

It's "touted" as an appropriate tipping point of the difference between what you'd pay over-and-above the direct costs for a domain (vs what you buy from a reseller) which makes the paperwork, membership/fees/etc be worthwhile

It's based on an "assumption" which may or may not depending on yoru systems, staff, business etc be correct that all "costs" for providing a domain regsitration service are as low as thos from turnkey "systems" providers

What it boils down to is something like:
ICANN Fees (average) $4000 per year, signup costs (inc paperwork, solicitors, LofC etc) $6000
Per domain costs (10$ verisign, 50c ICANN, 1$ dns/whois/software)
= 11.50 each
Sell 20,000 @11.50 + 4000 + 6000 = 240,000$ = $12 each
If $12 is the price you can "buy" them from a reseller for, it's only after that 20,000 it makes any financial sense to *consider* direct accreditation

(obv. figures rounded up for simplification)

IMHO too many people jump into it without understanding the real costs and work involved, and the knock on effect of their busienss, which is why every year to number of overall regsitrars doenst change significantly - as many sign up as get acquired as get de-accredited for non-payment of fees.