Domain Prices

Factors That Affect Domain Prices?

TLD of the Domain Name

The top-level domain (TLD) is the part of the URL (Uniform Resource Locator) that comes after your domain name. For instance, a URL such as example.com is made up of the domain name (here it’s “example”) and a TLD (” .com”). The price of a domain depends on the type of TLD. The most popular domain extensions such as .com, .net, and .org  cost between Ksh 1000 to Ksh 1800. Less common TLDs such as .xyz, etc are sometimes sold at the cheapest price compared to traditional domain extensions such as .com. As of the fourth quarter of 2022, the total number of domain name registrations across all top-level domains was 350.4 million.

The table below shows the top 10 popular domain extensions as of September 30th, 2022 (Source: Verisign, Q4 2022)

The ranking in the table above excludes domain names in the .ga, .gq .tk, .cf, and .ml ccTLDs operated by Freenom.

TLDs also give visitors a clue about the website’s purpose. For example, .org is used mostly by non-governmental organizations, and .edu is used for US educational institutions. Country code Top-level domains such as .co.ke implies that the website targets or offers information relevant to Kenyan website visitors. Likewise, the .co.ug domain extension signifies that the website is relevant to the Ugandan audience.

Internet users trust information or websites using .com, .net, and .org compared to less known TLDs for instance .cf.

So it’s important to choose the right TLD for your domain name as this has a big impact on the success of your online presence.

Choice of your Registrar

The price of domain registration depends also on the choice of the registrar. Some companies are stand-alone domain registrars while others upsell value-added services such as web hosting plans and SSL certificates which are more often than not bundled together as a package.

It is essential to select a domain registrar that meets your budget and needs. Some domain registrars are expensive while others offer wildly low introductory prices. You may also try to confirm if the domain registrar is accredited by the relevant registry and/or ICANN.

When looking to buy domain names at a lower price, it is important to distinguish between domain registry, domain registrar, and domain reseller.

Domain Registry – This organization is managed by ICANN and owns the TLD extension. For instance, Verisign owns the .com extension, and every time a domain is registered or renewed, a fee is paid to Verisign.

Domain Registrar –  It leases domains from the specific registry and sells them to individuals, companies, or government agencies.

Domain Resellers –  They buy and sell the domains from domain registrars and upsell other related services such as web hosting, SSL certificates, digital marketing, etc

Domain Privacy

Domain privacy is important as it protects your personal information, protects your email from being bombarded by phishing and spam messages and also from cybercriminals who can use your personal information for malicious purposes. 

When you purchase a domain name, your personal information such as name, email, telephone number, and address is stored in the WHOIS database. Anyone on  the internet can query the WHOIS tool and access the domain registration details.

Domain privacy protection redacts this personal information from prying eyes and helps to prevent identity theft.  Each domain registrar has its ways of handling domain protection. At Nescom, you will be able to get domain protection for free when registering your domain or after the registration process. Some registrars however charge from Ksh 1000 to Ksh 5000 for domain privacy which can impact your budget for domain registration. To keep the domain registration cost low, ensure the domain privacy is free or at a reasonable market price.

However, some top-level domains such as .asia do not allow domain privacy to be enabled. 

Length of your Domain Registration

The domain registration period also impacts the overall price of the domain name. Most domain registrars allow registrants to select up to 10 years period of ownership. A longer period of registration attracts huge discounts which makes the domain cost lower in the long term.

It is also believed in SEO circles that a longer period of domain name registration impacts greatly the domain’s trustworthiness in the search engines. Trusted domains rank better than websites that are believed to be created for bad content.

Redemption Fees

Whenever a domain name expires, it enters into a grace period called the redemption period. This is typically 30 days after the domain has expired. Domain registrars allow registrants to pay a redemption fee and renewal fee in order to activate it. 

If the redemption fee is not paid after the 30-day grace period, the domain enters a pending delete status and during this time the domain cannot be redeemed. The domain owner will have to wait for the domain to be deleted to re-register it. However, when the domain is made available again, it is purchased by anyone on a first-come first-served basis unless it is a copyrighted domain name. 

The redemption fee depends on the TLD and can range from Ksh 0 to hundreds of thousands.

Domain Transfers

The process of changing domain registrars is known as a domain transfer. People transfer domains from one domain registrar to another because of better customer support, better add-on services such as DNS management, etc. When you transfer a domain, a certain fee usually a few dollars is charged by the new domain registrar.

Some domain extensions do not support domain transfers so it’s important to check the registrar’s policies. In such a case, you can simply point the nameservers’ records to your preferred web hosting company.

Domain Renewals

Domain renewals come at a fee which of course depends on the registrar or TLD of the domain name. Renewal prices of domains at times differ from the introductory price. It is important to check these details before you fall for the gimmick of web hosting companies that offer “free domain registration” upon purchase of hosting packages. 

Nescom Kenya charges Ksh 1699 for .com registration and the price is unchanged during domain renewal.