I sold a domain name today and was negatively surprised by the high commission by Sedo for virtually no work. They are one of Europe’s largest domain escrows, but also the most overpriced (4 times more expensive than most competitors). Their ridiculous pricing is the main reason why I don’t want to use SEDO for domain sales or domain purchases anymore and I suggest you do the same. After all, there are many excellent alternative domain escrows around.
What do SEDO charge for?
When doing a domain sales through SEDO.com, you handle all the ownership changes yourself. Obviously, you need to enter Nominet and send a transaction request to the buyer. All Sedo does is a) collecting the money (which can be done by anyone) and b) Help the domain buyer if they have any queries (which they usually don’t have). Anyone can do that and their support is not even very sophisticated with regards to domain queries (I’ve tried them before).
Why is SEDO not an alternative?
15 % in transaction fee IF you don’t have a ‘buy now price’ is simple too much. I was not aware of the commission difference between ‘buy now’ and ‘make offer’ and explained to SEDO’s support that the price was agreed in advance. However, it was not possible to change anything about the final offer was made.
What do other domain escrow companies charge?
I’ve used www.escrow.com a few times and it’s a very professional domain escrow company. Standard commission is only 3.25 %, which in comparison to Sedo’s 15 % is a real bargain! If you care about commissions during frequent domain sales, SafeFunds.com usually charge sligtly lower than 3 %. Lowest domain commission of all all domain brokers comes from eCop.com, only 1 % of the sales price. They also offer excellent rates for domain name swaps, domain leasing and financing. If you have large domain transactions, MissDomain is also a good alternative with a fixed domain transaction fee of €50. For small domain transactions, MiniEscrow.com might also be an alternative, charging 2.5 % sales commission.
What is your experience with domain sales and which market places and domain brokers do you use?