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Old 07-01-2008   #1
Jerry Nordstrom
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Domain Tasting Crackdown

How many of us have found in our placement report a number of sites with a few impressions generating a couple clicks producing0 conversions and when we go look up the site, it is gone? It is highly likely that this was a domain name tasting operation that just cost you $4-$10 or more. In this past month we have about $290 in click costs that we feel are from domain tasting operations from Google alone.

Note: Lets be quick to point out not to bash Google as they are the only ones allowing us to see placement data with such clarity and stop it, MNS and Yahoo do not allow for this.

I took this article and chipped it down to the important points for us adwords/content advertisers.

Credits to Adam Strong

Full article here

In an email sent to domain name registrars this evening, ICANN announced a new resolution approved by the ICANN board, effectively ending domain name tasting. Since the GNSO had previously sent their recommendation to the board in April. The new policy will charge the .20 cent ICANN fee on every domain registered, whether or not it is deleted within the 5 day Add Grace Period or not.

The Add Grace Period (AGP) was implemented to allow registrars a 5 day period so they could delete domain names that may have been registered using false or fraudulent information. This policy was gamed by domain tasting operations which would register thousands of domain names, test them for traffic during the 5 day Grace Period and delete domains which did not make enough money to cover the annual registration fees.

The ICANN fees are only charged at the end of the quarter for domain names registered, transferred or renewed so the .20 ICANN fee was avoided since the domain tasting operations would only have to pay the ICANN fee on domains that were older than 5 days.

In effect the per name cost of a tasting operation has increased from about $6 per name to $47.

It is indeed still possible that domain tasting will occur. The AGP (5 day Add Grace Period) still exists which provides the loophole to delete tasted domains.

Many Domain Name game insiders feel these new fees still will not stop Domain name tasting. Basically they say that the additional fee amounts to the Taster having to generate 8 more clicks per year to cover that cost. Hmmm, so the incentive goes up to click on their own ads 8 more times. See this article
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