How to Optimize Revenue From Domain Reselling

Becoming a domain reseller allows you to harness the expertise and infrastructure of trusted domain registrars to support and enhance your core product offerings. By capitalizing on the demand for unique, valuable domain names, you can leverage domain resale to enhance the customer experience and establish new revenue streams. 

Additionally, by offering a valuable digital asset in a rapidly growing market, you can attract paying customers to your platform and convert free users to premium plans. Implementing a few best practices can further assist in these efforts to diversify your revenue sources and create a profitable domain reselling program.

Strategies to Optimize Revenue as a Domain Reseller

It’s important to strategically position domain services within your platform to maximize the revenue potential of your domain reselling venture.  Applying the following techniques can help you put curated domain names in front of the right customers and connect them with other paid services, too. 

Offer a Portfolio of Domains Specific to Your Audience

The key to getting the most out of your domain services is encouraging adoption among existing and prospective customers. By advertising a curated portfolio of domain names that are highly relevant to your target audience, you help your customers understand the value of a custom domain name add-on. Thus, offering a curated portfolio allows you to:

• Hone in on the main segments of your customer base 
• Expand your brand by targeting a new niche 

When educating customers on your new domain services, tailor your messaging to share the most relevant domain names and extensions with each niche. For example, you may promote .bio domain extensions to influencers and content creators as a tool for building their brand. Or, suggest .press or .news domain names as an avenue for brands to share updates or public relations content.

As you incorporate domains targeting new industries or subjects, you can consistently generate revenue from multiple distinct customer groups while building a cohesive brand story around your primary offerings. 

Instill Competitive Pricing

Your pricing strategy can have a direct impact on both customer acquisition and retention. For instance, designing a competitive pricing strategy allows you to optimize your revenue by attracting new customers with a fair price while still earning a margin on the domains you broker. 

You can also advertise domains as a premium add-on that’s still affordable to customers on a budget. This premium positioning strengthens your market position and establishes your platform as the go-to solution for end-to-end domain services. 

When reselling domains, choose to do so under either a fixed or flexible pricing model:

• With a fixed model, you set the price for the domains you sell. Buyers can add the domain to their cart and check out immediately. 

• With a flexible pricing model, you allow for negotiations, allowing the buyer to bid on valuable domain names they might view as a long-term investment. 

Position Domains as a Premium, Paid Feature 

Once you integrate domain name services into your platform, you can use them to incentivize customers to upgrade to paid plans. By bundling a custom domain name with your other products or services, you can provide additional value to your customers. 

Selling domain names connects your customers with enhanced professionalism and branding potential that they wouldn’t otherwise be able to access on a free plan. And, because they can register and manage domain names without leaving your platform, upgrading is simple and convenient. This seamless integration, in turn, lends itself to a more satisfying customer experience.

Integrate Domains Seamlessly in the User Experience 

For domain sales to become a successful part of your product suite, purchasing a domain name must be seamless for your customers. Ultimately, that means building domain reselling services directly into your interface. 

Without being redirected to a third-party site, your customers should be able to: 

• Search for domain names
• Check their availability
• Make a purchase

Additionally, by prompting customers to select a domain name add-on during checkout, you can capture last-minute sales from individuals seeking ways to get more out of your services. 

Offering a frictionless experience guides your customers through the checkout flow, keeping them engaged with your platform and focused on the benefits of their domain name add-on. Once your customers are tied to your brand through their domain name, they may be more likely to register additional domain names or complete the renewal process through your platform.

Providing domain names within your platform also positions you as an authority in the domain services space. Customers who view you as the all-in-one provider for their domain needs are more likely to refer others to you for domain services, ultimately driving more revenue through social proof and word-of-mouth recommendations.

Bundle Additional Add-on Services

Domain name search and registration is just one of the services you can provide your customers to help them establish their digital identities. You can also offer services as supplementary add-ons, like: 

• Web hosting
• SSL certificates
• Website-building tools 

Because these services directly relate to your platform’s domain name tools, customers may be more likely to choose multiple premium add-ons for an end-to-end experience. These add-ons can drive up the value of your transactions, significantly increasing the lifetime value of each customer.

When hosting a full range of complementary add-on products and services, carefully monitor sales trends to identify which options have the greatest return on investment. Reviewing the performance of different add-ons and bundles can help you optimize your paid plans to maximize your revenue.

How Identity Digital Can Help

Identity Digital provides SaaS companies and online platforms with a diverse portfolio of domain extensions and the infrastructure to resell them on their sites. By offering a wide range of industry-specific top-level domains (TLDs), like .social and .pro, Identity Digital empowers its reseller partners to select the most impactful domains for their product strategies. 

Plus, domain resellers can start offering Identity Digital domains through multiple integration options: 

• iFrame – An iFrame integration is a low-code solution that directly embeds domain registration services into your interface. A basic integration creates a streamlined customer experience without extensive technical lift. 

• API – For a more advanced solution, you can implement a custom API that gives you complete control over your domain registration interface.

Capture More Revenue With Identity Digital

Remain competitive and distinguish your brand from competitors by offering high-value services and deliberate how you incorporate them into your platform. A thorough go-to-market strategy for your domain services empowers you to provide a robust customer experience that optimizes your revenue potential.

And Identity Digital can help. 

Identity Digital provides the tools to launch a curated, end-to-end domain registration experience that enhances your product offerings. To start driving revenue with domain services on your platform, contact the Identity Digital team today. 

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Sources:

¹ Straits Research. Domain Name Registrar Market Size to Reach $1025 Billion by 2027. https://www.globenewswire.com/news-release/2021/10/25/2319864/0/en/Domain-Name-Registrar-Market-Size-to-Reach-1025-Billion-by-2027-CAGR-4-7-Straits-Research.html

² Harvard Business Review. Pricing and the Psychology of Consumption. https://hbr.org/2002/09/pricing-and-the-psychology-of-consumption