I have an idea that a good part of the debt is the fact that they buy domains from icann in very damn huge numbers to always have a huge inventory.
A lot of domain sellers just buy domains (not the actual names) as they need them from icann.
Now the tv commercials?
They are what made godaddy a household and internet name when it comes to domains.
Same with their NASCAR participation with Dana Patrick.
People, it is called BRANDING.
Godaddy though is looking at more than selling domain names.
You watch, they will really start pushing hosting, servers, etc.
That is where the money is.
Say what you will, godaddy is a heavy hitter in the domain industry.
And they want to be a heavy hitter in hosting, etc.
According to Godaddy, Parsons will not have the majority of stock (eg: 51%), but will end up having more stock than any other single entity having stock. What % that is, they did not say.
Basically the investors paid to eliminate the debt and to finance future growth.
Super Bowl Ads, sponsorship via motor racing, and Orange County Chopper, don't come cheap. Hopefully, the domain renewal prices stay low.
I got nothing against branding, but there are better and worse ways of doing it. I'm just not sure some of their commercials actually communicate what they're about well enough. On a second (or third) thought, maybe they really are trying to just distract people into getting to their site only to plant an idea of starting a web site in their heads, about whatever their interests may be. If the point is no more than to get people to type "godaddy.com" into their browser, then I guess anything goes. :p
Originally Posted by iowadawg
Oh well, I'm gonna cease judging them. I wish them luck. :p
what's up netbuilders this is my first post here.
i used to have all my domains on godaddy.com but dropped all of them a while ago. it was expensive.
I would antiticpate that domain names are going to go up in cost now on GoDaddy. They aren't making any money on the sale of domains which is why they try so damn hard for the upsell in hosting and all of that. So, unless they can really get hosting and all of that to become a profitable business, expect the domain prices to go up at least a little to generate a profit.
If this makes them more expensive than the competition I'm not sure how will it help. Sounds like they're not in a very good situation. Something about their process doesn't seem right if they're losing money (maybe has to do with buying in batches instead of as needed, as mentioned by iowadawg).
they need to make better website building services and not focus on only the domains, they are commercial and most people don't know how to make a website, like the people they are marketing to. their website building service sucks, as far as i know.