On Wed, 28 Mar 2001 10:11:53 -0800, Eric Paynter wrote:

Hello,

       I want to add something here on the $1.00 less rate for those selling
large volumes of domains. This offer is really an unfair practice OpenSRS has
allowed because it allows for a  "The rich get richer and the poor get poorer" 
scenario. In other words, in the USA you can sell domains for $9.50 and make 
a $0.50  profit if you are in the 250 domain bracket. Based  on really high 
domain sales anyone in the USA can make a reasonable profit. Resellers
in the USA under the 250 domain model can sell for $9.80 per domain if they 
use Paypal and still make $0.50 a domain.

      If you are like me and live and operate in Canada,  you can forget that idea 
as the GST Tax alone is going to be another 7% ( $0.63) on top of the $9.00. 
The cheapest a Canadian company can sell a domain based on the 250 domain
a month incentive and break even,  including GST,  is about $10.16 a domain. 
That is $0.66 above what a reseller in the USA can sell at the break even level 
using the 250 domain model. 

     What incentive is there for the small guy? Basically none. OpenSRS as a 
Canadian company has made it impossible for Canadian Companies to compete 
in the domain business as a reseller unless they open shop in the US. As far as 
I am concerned,  the 250 domain sale incentive is destructive to volume Canadian 
resellers and needs to overhauled as a fair opportunity measurement between the 
US and Canadian resellers. One way to make this possible is to lower the domain 
model from 250 down 7% to Canadians or 175 domains.. This would at least make
it some what fairer in my opinion. 

     Anyone else care to comment on this?

Regards,
           ...Darrell


>Out of the sales FAQ (http://www.opensrs.org/Sales_FAQ.shtml#q10):
>
>'I have a LOT of Domains to register. Can I obtain a further discount? 
>
>If you wish to discuss volume pricing possibilities, please contact one 
>of our sales representatives at 1-800-371-6992'
>
>
>Also, on the promotions page (http://www.opensrs.org/promos.shtml):
>
>'If an RSP registers 250 or more domain years in a month and promotes 
>Tucows through one of the methods outlined below, they will get a $1.00 
>rebate applied to their account for every .com, .net, and .org "domain 
>year" registered in that month; they will also get a $1.00 rebate for 
>every "domain name" for .co.uk, .org.uk, or .ca names (see important 
>notes below)...'
>
>
>So, it is highly likely that a large volume RSP is getting a better 
>rate than $10/domain-year. There is no behind the scenes intrigue going 
>on. Can we drop this thread now?
>
>-Eric P.
>
>
>-------------------------------------------------------
>arctic bears - the internet - your way.
>email hosting from US$8/month, domains from US$19/year.
>http://www.arcticbears.com
>
>
>
>
>-----Original Message-----
>From: Paul Chvostek <[EMAIL PROTECTED]>
>To: [EMAIL PROTECTED]
>Date: Wed, 28 Mar 2001 11:54:03 -0500
>Subject: Re: Domain for 9.95 ?
>
>>
>>Heya.
>>
>>> "SoftCom has established a relationship with OpenSRS to provide our
>>valued
>>> customers with a domain name registration fee of US $9.95 per year.
>>The fee
>>> will be billed by SoftCom and will appear on your monthly statement.
>>You
>>> will be billed every year thereafter"
>>> 
>>> What this tells me, very clearly is that:
>>> 
>>> A) SoftCom and OpenSrs have entered into an agreement where SoftCam
>>can
>>> purchase domains under $9.95 from them.
>>
>>Not the way I see it.  SoftCom's statement makes no committment about
>>how much *they* are paying for domains.  A normal financial planner
>>would recommend against selling products for below cost, but a good
>>marketteer will always value a well-planned loss leader.  If SoftCom
>>is confident that they can make a hefty profit on other services
>>"associated" with domain registration, I wouldn't be surprised that
>>they'd take a small loss per domain, as an edge on the competition.
>>The wording above even implies that there will be other services
>>(else there would be insufficient reason for a monthly statement).
>>
>>> B) SoftCom will bill you $9.95 from now to eternity, for $9.95 for
>>every
>>> year that you have the domain with them.
>>
>>Sounds reasonable.  You buy their service, they bill you for it.
>>
>>> This brings me to the conclusion, that there is no way no how they
>>could be
>>> selling those at a loss.
>>
>>Unfounded.
>>
>>>  In addition, I found no domain registration
>>> agreement anywhere on their site, which is disturbing (even though
>>they say
>>> you won the domain...).
>>
>>That *is* odd...  The OpenSRS policies *must* be posted, or the RSP is
>>violating their agreement.
>>
>>-- 
>>  Paul Chvostek                                           
>><[EMAIL PROTECTED]>
>>  Operations / Development / Abuse / Whatever      vox: +1 416 598
>>0000
>>  IT Canada                                          
>>http://www.it.ca/
>>
>
>
>



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