Thursday 24 July 2014

Interview: What do ICANN's new top level domains mean for business?

Interview: What do ICANN's new top level domains mean for business?

In September 2013, internet registration outfit ICANN introduced a slew of new Top Level Domains (TLDs), far expanding the options beyond .com, .co.uk and a multitude of other aging suffixes.


Many of the new entries - including .technology and .photography - touched down with an obvious purpose, which can't be said for decidedly less conventional ones - such as .barefoot, .whoswho. and .zulu.


In France, the new TLDs have even sparked protest among the country's wine vendors. They reckon that the introduction of .vin and .wine could harm business through fake websites claiming to be associated with some of its regions' premium brands, undermining them in the process. On the other hand, the new TLDs received a warmer reception in the UK, which introduced new geographical domains .london and .uk in recent months.


Stefano Mazurri - vice president EMEA at GoDaddy, the 200lbs silverback gorilla of the domain name world - sees their introduction as an opportunity for individuals to be creative and for businesses to be savvy by catering for local audiences. We spoke to Maruzzi to find out more.


New guard


TRP: How popular do you think the new TLDs will be compared to .com and other older ones?


SM: In the short term, the contribution and market share taken by the new TLDs will by definition be small. When there's a new phenomenon it takes some time - it's a matter of promoting them.


Losing fizz


TRP: Their introduction has kicked up a bit of a fuss in France, what with the country's industry trying to ban .vin and .wine. Do you think the new domains pose any threat to industry?


SM: I don't drink wine, so it's tough for me to answer. But seriously, it's like pizza: everybody claims that they make the best pizza in town, and that theirs is different from everybody else.


I'm not sure if the availability of these two specific domains could hamper or damage the industry - I have an opinion but it's personal. In general we've seen creativity stem from the new .TLDs - some, like .guru, .technology, and .photography - are super popular.


We're purposefully moving from a phase when choice was very limited even in terms of country or international domains to a new namespace where domains can clearly indicate what you do, what your mission is or what problem you might solve.


Capital venture


TRP: .london recently launched in the UK. What identity implications will it have on individuals and businesses in the capital?


SM: I think that .london is one of the best geo domains because London's a world capital. There are two components to that: first, a local implication, which indicates that the business sits in London. Second, with London being such an aspirational and emotional brand, it resonates with businesses outside of the capital - and the UK too.


Big business chains like McDonalds or Starbucks that have a worldwide presence should consider articulating a local communication strategy on the back of these domains.


TRP: Do you think there should be geo domains for other cities - such as Manchester?


SM: It would be difficult devising a local strategy for all places at all times, but with London being so big - attracting around 20 million or so tourists per year - it makes sense to provide specific information. That could revolve around food, entertainment or a number of other industries.


Driving popularity


TRP: Stephen Fry was one of the first to switch his personal website from .com to .uk. How important will it be for well-known individuals and organisations to lead the way in driving the popularity of new domains?


SM: Obviously there's always emulation, so if somebody public embraces a trend then that will help. The .uk domain is an interesting proposition as it's broader compared to .london. I like that fact that it's short - I never understood why there was the .co bit, which seemed like an extra complication.


TRP: What impact will .uk have on .co.uk?


SM: I think we'll see .co.uk continue to grow, and it could be a potential opportunity for businesses to come up with attractive domains that weren't available in the past - even though there are some restrictions.


if you live in the UK you have five years to buy the equivalent .uk domain. The response to .uk since it launched on June 10 has been extremely positive, and we haven't seen any form of cannibalisation of .co.uk just yet.


TRP: As a domain registrar, would GoDaddy advise people and businesses to grab a .uk domain now or decide at a later date?


SM: Our suggestion is to do the opposite [and buy sooner] as in terms of investment it's a very limited amount. On the other hand, if you own 500 domains then by definition it's going to be a very significant amount of money, but if you want to create different ways of getting in touch with your customers then you could exploit the opportunity.


Cloud opportunity


TRP: How have cloud hosting and visual website builders made it easier for individuals and SMBs to get websites off the ground?


SM: It'll be even easier for them in 10 years, but even compared with two years ago it's fantastic. We all effectively have a personal IT department that's available 24-7 that's funded by large organisations investing billions of dollars into solutions that you can access right now, for free, from anywhere.


In the past - between three to five years ago - that was impossible. Now, you can set up your operations using available services out there. If you have somebody who can help you that has understanding or familiarity you can cherry pick them and create your digital presence fast while spending a very limited amount of money.


The cost levels are now acceptable, so not not having a digital presence for even very small businesses would still be a risky option for them.


Internet of things


TechRadar Pro: The Internet of Things is going to have a massive impact on the web and the amount of data generated - do you see a surge in domains off the back of that?


SM: I think that people will buy or use more applications. The planet will turn into a software planet that introduces more every day. Is there an implication for domains? It's possible - the popularity of these technologies will have an impact on everybody's personal lives.


Websites, both dedicated and specialised will appear in a sort of "ripple effect". It's similar to 10 years ago when the music industry moved from analogue to digital and the resulting implications around devices and consumption.


At the end of the day it could be a slow tide or a tsunami - we'll see - but there's going to be positive effects for sure.


Searching task


TRP: Google is looking at moving into the domains business and possibly outing a unified CMS system like Wordpress. What would that mean for domain registrars like GoDaddy?


SM: Google is a large organisation and clearly entering this space means that it validates our proposition. We've been around for a while, so it makes sense to invest in the area of domains. I'm personally happy to see it happening, and I don't see any threat or competition coming from them. For us, it's motivation to do even better.


TRP: What's in store for GoDaddy in the next year?


SM: We need to become more local. It's strange for an Italian saying we want to be more British, but this is our domain objective. Our communications strategy has been pretty solid in the past couple of years - we've been working with local agencies here in the UK to fine tune the strategies and find new avenues to reach potential customers and reinforce relationships around existing ones. That's priority number one - pleasing our customers.


Sometimes, the problem with being a huge corporation is that you're just not that local. When it comes to domains, the issue with that is that it's a local buisness, which is being driven by the announcement of new geographical TLDs.
















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