Have you got a letter in the mail from domainregister.com.au or perhaps domainnamegroup.com.au? If you have you’re probably wondering what it’s all about? Well to put it simply they are trying to sell you an available domain name at a hefty price. The going rate they quoted me was $249.00 for two years. Ouch.
domainregister.com.au offers domains at prices 938% above retail
Turns out these folks are well known to Australian overseeing bodies. Many have already issued consumer alerts. And that’s not to mention that there are forums abuzz with other souls trying to get the good oil.
Firstly, it’s crucial to understand that the typical market rate for a com.au domain is about $24 for two years. This means that the ‘offer’ that domainregister.com.au is putting forward is $225 over and above the regular retail price. Or for dramatic effect 938% above regular retail price.
Now it’s important to note that I don’t think domainregister.com.au is not doing anything illegal. But I do believe that they are taking advantage of people’s knowledge. Just like I noted in perception vs reality – people can be taken advantage of when they have a knowledge gap between what they think is right and what is actually right. In this case, if you had no knowledge of domain prices, but generally assumed that anything technological comes with a high price tag – you might believe – and be happy to pay $249 for a two year domain name. Domainregister.com.au is relying on this ignorance to convert sales.
Domainregister.com.au Letter is Persuasive
Let’s take a closer look at the other elements used to try and influence you to take up their offer:
- Good business name. Domain Register sounds legit and credible doesn’t it. Like a company that you would trust
- Letter looks like an invoice. If it looks like an invoice, you’re more likely to be persuaded to pay it
- In addition to the domain name, they offer ‘free email and web formatting’ plus a ‘free gift’ (never disclosed)
- The letter quotes the phone number of a support centre, again indicating that the company is large and legitimate
- Visa and MasterCard logos are shown, which again act to legitimise the whole operation
- The company office is noted as Collins Street Melbourne, a prestigious Melbourne address – again offering credibility (although many business seem to be registered at the same address).
So I must hand it to them, they have done quite a good job at including persuasive elements to encourage people to fork out the $249. I could name one or two more that they could use to improve the letter, but I wouldn’t want to assist them.
A final point. If you receive this letter. I recommend that you throw it in the bin. Caveat emptor – buyer beware.
Growing your small business,
David Moloney
Small Business Planned
Small Business Planned