Why are some domain names more expensive than others?

123-reg domain icon

This FAQ will help you to understand how the prices of domain names are considered

Each domain name has a different cost depending on the domain extension.

Whilst searching for your perfect domain name, you may have noticed that the available domain extensions are all available at differing prices. Aside from various promotions we may be running at the time, and the standard business costs, there are a few factors that dictate the price of each domain extension.

Each domain extension is controlled by a registry, you may have heard of some of them, such as Nominet. These registries charge a fee per domain name to registrars such as ourselves, which differ depending on the registry and the domain in question.

This is similar to, for example, the price of petrol. If the oil companies (the registries) increase the price of petrol, then you will see these price changes reflected at your local petrol station (the registrars).

It is up to the registries how much they decide to charge, as they will have their own considerations, such as their own operational costs, or whether or not they are regulated by government.

There may also be factors such as the support cost, where some domain extensions cost a little extra as they require specific support or set up requirements before they can be used. In these cases, they will be slightly more expensive as the set up process will require more resource.

The domain extension’s target audience can also be a factor in deciding the price of the domain extension. This is especially noticeable with gTLDs, where the specific target audience may be able to pay more for the benefits of having a domain extension that matches their specific needs. An extreme example of this is the .rich domain extension, which is specifically aimed at those with a high income and that want the status a .rich domain name provides, and as such, the cost of the extension is £1499.99.