This post started me thinking (I know that’s an amazing concept) about what percent of a domainer’s results (revenue/profit/cash flow) come from what percent of their domains.

Does Pareto’s (widely misunderstood) Principle apply to domains? Do most domainers see 80% of their results from 20% of their domains?

Pareto’s Principle is a comparison of two items (originally wealth in Italy) so you could get 80% of your revenue from 30% of your domains or 80% of your revenue from 10% of your domains.

With costs going up, it wouldn’t hurt for a lot of domainers to spend some time studying the results that they are getting from their domains and tracking them to see which are providing the bulk of their revenue. The analytics provided by a program like dnZoom can make this process much easier. It is important to consider the purchase price of each domain and the associated renewal costs.

Its not like they are charging real money is it?

As I see it, the biggest problem we face is all global incomes are priced in dollars. It time that all commodities, including Traffic, were priced in hard currency.

I think you are right about the price increases being in the last agreement between Verisign and ICAAN. I think that there were five or six price increases built into the contract.

Perhaps we should invest in Verisign rather than domains
Steve

This is a good reason to trim portfolios and limit new registrations (which I am actively doing). Can you inagine how big your renewal fees will be in 2012!