IT_Architect
08-13-2006, 08:13 PM
This thread is about reselling domains profitably. I do have and enom account, and will be asking questions about enom, but I don't want that to be the focus.
Enom thoughts and questions
I'm not an enom ETP, but I do have a $6.95 reseller account under an ETP for my own domains. I might resell for enom if it made sense, but it has been impossible to get questions answered by either their web site, by contacting my ETP directly, who doesn't know these answers, or by contacting enom, who doesn't respond to calls or emails.
It has been postulated on another thread that to maximize profitability from enom that one could could sell $8.95 reseller acounts to people. The math goes like this:
$8.95 Sell Price to reseller - $6.95 cost to ETP = $2.00 Gross Profit.
I like that arrangement as the $6.95 reseller, however, to find people willing to accept the responsibilities of being a reseller, put at least $100 into their account and get "dinged" 3%, just so they can buy a domain at or above market prices, doesn't strike me as something I could build a business on.
If as a retailer I buy the domains for $6.95 and could actually resell them for $8.95, the math goes like this:
$8.95 Sell Price - (($8.95 Sell Price * .03) - .95 Transaction Fee) = $7.7315 Cost of Goods Sold.
$8.95 SP - $7.7315 COGS = $1.2185 Gross Profit
With the $1.2185 GP you need to setup a business plan, web site, promote your sales, accept risk from those sales, purchase a telephone system, hire people for tech support, and take on an accounting burden. You are also selling other services for enom for which you receive no commissions. Is that accurate?
Questions not answered by enom:
1. Who notifies the domain owner when the domain is expiring?
2. Is there a method to get the transaction fees down to 2.7% and $.25 as with normal merchant accounts?
3. Does Enom have any kind of reseller handbook?
4. Can anybody explain the positioning of PDQ, Registry Rocket, and the API methods of selling?
Which registrar is the most profitable to promote and why?
Thanks!
Enom thoughts and questions
I'm not an enom ETP, but I do have a $6.95 reseller account under an ETP for my own domains. I might resell for enom if it made sense, but it has been impossible to get questions answered by either their web site, by contacting my ETP directly, who doesn't know these answers, or by contacting enom, who doesn't respond to calls or emails.
It has been postulated on another thread that to maximize profitability from enom that one could could sell $8.95 reseller acounts to people. The math goes like this:
$8.95 Sell Price to reseller - $6.95 cost to ETP = $2.00 Gross Profit.
I like that arrangement as the $6.95 reseller, however, to find people willing to accept the responsibilities of being a reseller, put at least $100 into their account and get "dinged" 3%, just so they can buy a domain at or above market prices, doesn't strike me as something I could build a business on.
If as a retailer I buy the domains for $6.95 and could actually resell them for $8.95, the math goes like this:
$8.95 Sell Price - (($8.95 Sell Price * .03) - .95 Transaction Fee) = $7.7315 Cost of Goods Sold.
$8.95 SP - $7.7315 COGS = $1.2185 Gross Profit
With the $1.2185 GP you need to setup a business plan, web site, promote your sales, accept risk from those sales, purchase a telephone system, hire people for tech support, and take on an accounting burden. You are also selling other services for enom for which you receive no commissions. Is that accurate?
Questions not answered by enom:
1. Who notifies the domain owner when the domain is expiring?
2. Is there a method to get the transaction fees down to 2.7% and $.25 as with normal merchant accounts?
3. Does Enom have any kind of reseller handbook?
4. Can anybody explain the positioning of PDQ, Registry Rocket, and the API methods of selling?
Which registrar is the most profitable to promote and why?
Thanks!
