Each quarter Sedo releases a Domain Market Study, which explores in depth trends and conditions in the online domain marketplace.

1. Domain Market Study
2nd Quarter 2011

2. Sedo‘s All-Time Top 3 Sales
At of the end of Q2 2011, Sedo’s global Domain Marketplace now
boasts over 18 million domain names listed by more than 1 million
members worldwide. In Q2, Sedo’s Domain Marketplace saw close to 18%
$25,000,000 in global sales and maintained stable average sales prices
across all TLDs. Even considering the record-breaking sale of Sex.com in
$2,500,000
Q4 2010, overall sales numbers in Q1 and Q2 2011 remained consistent
with previous quarters and growth trends.
$3,000,000 51%
The notable sale of Gambling.com for $2,500,000 during Q2 also marks
Sedo’s third-highest published domain sale of all time (following last year’s
© Sedo 2011
sale of Sex.com at $13,000,000 and Sedo’s 2006 brokering of Vodka.com
for $3,000,000).
Highlights of what you’ll find inside our complete
Q2 Domain Market Study:
$13,000,000
How .com sales compare to other TLDs in Q2,
as compared to previous quarters
Which sales channels buyers tend to prefer
Breakdowns and evaluations of average and median sales prices
Sex.com
Vodka.com
Gambling.com
© Sedo, 2011 :: www.sedo.com

3. Q2 2011 TLD Sales
1. Division of Generic Top-Level Domain (gTLD) and
Country Code Domain (ccTLD) Sales for Q2 2011
Accounting for 52% of all Q2 TLD sales, .com remained the marketplace’s
dominant extension. For other gTLDs, .net came in a distant second with
6% market share, demonstrating the continued strength of .com as a key 18%
investment choice for business owners and domain portfolio holders alike.
Overall in Q2 2011, .de continued to be the most frequently traded ccTLD 6%
© Sedo 2011
on the marketplace, accounting for 18% market share, while .co.uk and
52%
.eu each accounted for 6% of the market. At 18%, .de was also the second
most frequently traded TLD, surpassing gTLDs such as .net, .org and .info. 6%
.CO Maintains Position as a Top TLD
6%
The pie chart to the right shows a breakdown of domain extensions
(gTLDs and ccTLDs) that contributed to at least 1% of the overall 5%
transaction volume of Q2 2011. TLDs that did not contribute at least
1% have been excluded from this chart. The chart also illustrates the
staying power of .co, which has maintained similar sales figures to
3%
both .nl and .es since its debut on the top TLD list in Q1. While still a
2% 1% 1%
small percentage of overall domain sales, the continued presence of
.co as a top TLD marks it as a valuable contender for investment and
as a valid alternative to .com and other top gTLDs. .com .org
.de .info
.net .co
.co.uk .nl
.eu .es
© Sedo, 2011 :: www.sedo.com

4. Sales Volume in $
$40,000,000
$35,000,000
sex.com
$30,000,000
$25,000,000
$24,578,341
$20,000,000
$36,995,239*
$21,568,780
$21,273,575
$20,507,143
2. Sales Growth
$15,000,000
As seen in previous quarter over quarter comparisons, sales in Q2 2011
remained predominantly consistent with those in previous quarters, with $5,000,000
© Sedo 2011
the exception of Q4 2010, which saw a dramatic increase due to several $0
high-value sales. Q2 Q3 Q4 Q1 Q2
2010 2010 2010 2011 2011
The graph to the right shows trends and growth in sales volume per
*sex.com sold in this quarter.
quarter. With the record sale of Sex.com removed from the overall
volume of Q4 2010, Q2 2011 represents the strongest quarter Sedo’s Number of Domains Sold
Domain Marketplace has seen in over a year. These recent figures
12,000
illustrate the steady, if not upward, trend in domain sales following
2008’s economic downturn. 11,500
11,146
11,000
10,608
10,600
10,500
10,326
10,085
10,000
9,500
© Sedo 2011
Q2 Q3 Q4 Q1 Q2
2010 2010 2010 2011 2011
© Sedo, 2011 :: www.sedo.com

5. Q2 2011 Division of Sales Type
7%
3. Division of Sales Type 5%
The chart to the right displays a breakdown of the various channels used 5%
for domain sales through Sedo’s Domain Marketplace during Q2 2011. The
Offer-Counteroffer channel remained the most popular, accounting for 41%
41%
© Sedo 2011
of all sales. This decrease of 2% from Q1 2011 shows that buyers may be
looking to other sales channels, such as Buy Now listings. 15%
Domains purchased via Buy Now listings (domains listed by sellers with
fixed prices) resulted in 27% of all sales in Q2, remaining consistent with
the previous quarter. The continued strength of Buy Now domain listings
indicates that a quick, easy purchase process is still an attractive prospect 27%
to potential domain buyers.
Marketplace Auctions have reclaimed their position as the third most
popular sales channel with 15%, illustrating an increased interest in
domain auctions among sellers who have received offers.
Offer-Counteroffer Auctions
Fixed Price Brokerage
Marketplace Auctions External Transfers
© Sedo, 2011 :: www.sedo.com

6. Domain Sales per Price Category
2% 1%
4. Domain Sales per Price Category
At 49%, virtually half of all sales through Sedo’s Domain Marketplace
4%
during Q1 2011 were $500 or less. This price category saw a decrease in
Q2 2011 to 45%, indicating an overall increase in the value of individual 8%
domain transactions this quarter on Sedo’s Domain Marketplace.
Domain sales priced at $5,000 and under were the most frequent,
accounting for 48% market share. Domain sales in a price range of more
45%
© Sedo 2011
than $50,000 accounted for only 1% of the market.
The chart to the right reinforces the fact that most domains can safely 40%
be valued at 2- to 3-figure amounts, with few exceptions. It also clearly
indicates that domains are an asset within the reach of business owners
and investors, no matter how large or small their budgets may be.
up to $500 up to $10,000
up to $2,500 up to $50,000
up to $5,000 $50,000 and up
© Sedo, 2011 :: www.sedo.com

7. Average Sales Price per gTLD in $
5. Number and Price Comparison (gTLDs)
The average price of .com domains in Q2 2011 reached $3,114, a 20% Q2 Q3 Q4 Q1 Q2
2010 2010 2010 2011 2011
increase over Q1. It is important to note that, average .com sales prices for
Q2 2011 were also higher for every quarter over the last year, excluding .com 2,401 2,511 5,753 2,595 3,114
the record-breaking sale of Sex.com. There was also a notable increase in
.net 1,673 1,675 1,856 1,584 1,611
both .net and .info sales prices, with other major gTLDs holding strong not
far behind. .org 1,135 2,736 1,552 1,423 1,384
© Sedo 2011
.biz 694 1,054 582 1,745 1,275
.info 638 926 765 977 1,005
Average Sales Price per ccTLD in $
6. Number and Price Comparison (ccTLDs)
Average sales prices remained relatively stable in Q2 2011 as compared to Q2 Q3 Q4 Q1 Q2
2010 2010 2010 2011 2011
previous quarters. Due to a confidential, record-breaking sale, the .es
extension had the highest average price at $3,540, followed by .fr at .de 1,383 1,449 1,519 1,263 1,430
$3,473. Although ccTLDs are a lower proportion of marketplace sales, it is
notable that premium ccTLDs maintain a strong and consistent value from
.at 802 1,057 760 1,688 1,130
quarter to quarter. .fr 2,466 4,819 8,182 2,466 3,473
.es 1,725 1,093 1,502 2,031 3,540
© Sedo 2011
.co.uk 1,999 1,532 2,030 1,610 1,824
© Sedo, 2011 :: www.sedo.com

8. Median Domain Price per gTLD in $
7. Median Sales Prices
Median sales prices for gTLDs remained fairly consistent quarter over Q2 Q3 Q4 Q1 Q2
2010 2010 2010 2011 2011
quarter. However there was a significant increase in Q2 2011 median sales
prices for gTLDs across the board. The .com extension, for example, hit a .com 510 522 650 595 700
median price of $700, an increase of nearly $200 over the same quarter of
.net 581 588 686 589 600
the previous year.
.org 530 589 697 537 550
© Sedo 2011
.biz 380 500 317 405 429
.info 402 431 420 442 496
Sedo‘s Top 10 Public Sales
8. Top 10 Public Sales
Q2 2011 was a strong quarter for .com domains. Sedo’s Domain Market- Domain Sale Price
place saw the impressive brokering of Gambling.com for $2,500,000, and gambling.com $2,500,000
other .com domains accounted for nine of the top ten sales of the quarter. wellnessfinder.com €300,000
datacenter.com $352,500
consolidation.com $220,000
billionaire.com $215,000
mai.com €80,000
navidad.com $100,000
© Sedo 2011
defiance.com $90,000
ese.com $85,000
business.co $80,000
© Sedo, 2011 :: www.sedo.com

9. Performance in Q1 and Q2 2011 in $
9. The Continued Popularity of .co and .me
Average Average Median Median
After a solid start in the first quarter of 2011, two new Top Level Domains in Q1 in Q2 in Q1 in Q2
© Sedo 2011
- .co (the ccTLD for Colombia) and .me (the ccTLD for Montenegro) - held
steady in Q2 2011. Despite being country code TLDs, .co and .me func- .co 1,205 3,297 310 525
tion as desirable alternatives to generic Top-Level Domains (gTLDs), pre- .me 1,201 976 210 219
dominantly in English-speaking countries. While the average prices of .co
and .me domains were almost the same as those in Q1 2011, .co boasted
an increase in average sales price to $3,297 during Q2. The .co extension
also continued to show growth with a median price ($525) that was sub-
stantially greater than that for .me domains, and more than $200 higher
than its median from the previous quarter.
© Sedo, 2011 :: www.sedo.com

10. 10. Conclusion Top 10 Categories
By comparison with Q1 2011, Sedo’s Domain Marketplace experienced
increases across the board, boosted by high-value sales such as
1. Software
Gambling.com. Given ICANN’s approval of new gTLDs applications, and
the increase in the average sales prices of .co and other ccTLDs, it seems 2. Religion and Spirituality
clear that Sedo’s Domain Marketplace will see an increase in the market
3. Regions, Country, Cities
share for many new TLD sales over the coming quarters.
4. News and Media
Finally, Sedo’s recent launch of the first domain name price index, IDNX,
further validates the value of domain names as an economic indicator and
5. Employment
as a solid investment for both business owners and individuals, and we 6. Consulting
look forward to seeing how the domain industry trends in Q3 based on
7. Domain Industry
this invaluable new tool.
8. Insurance
9. Lodging
© Sedo 2011
10. Humor
© Sedo, 2011 :: www.sedo.com