Re: Domain Rant.

[Karl Denninger <karl () Mcs Net>]

On Thu, Mar 20, 1997 at 09:39:06PM -0800, Dave Crocker wrote:
> At 8:51 PM -0800 3/20/97, Karl Denninger wrote:
> > McDonalds does not have a "monopoly".  They have a *BRAND*.  You like to use
> > that word because it is emotionally charged and you get a "kick" from it
> > when you use it.
>
>       I like to use it because it fits.  When a consumer is locked into
> dependency on a particular vendor and does not have freedom to change
> vendors, that vendor is in a monopoly position.
>
>       The difference between buying hamburgers and buying domain names is
> that you are free to buy your next hamburger from someone else.  While one
> might counter that one is also free to buy the next domain name from
> someone else, it ignores the continuing dependency for names already
> purchased.
>
>       If the exclusive vendor of a name chooses to triple the fee next
> year, the consumer is stuck.  The cost of changing domain names, after
> putting marketing collateral development and building up their own brand
> equity in the domain name, is onerous.
>
> d/

If CORE decides to hike the maintenance fee in Year 2, 3 or 4, all
registrars will have to pass that fixed cost of doing business on to their
customers, and not only are you stuck if you stay with one vendor, you're
stuck if you *MOVE*!

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