Monday, August 24, 2009

.TREE Top Level Domain

What about planting trees?

There is an interesting business model to set up here based on the creation of domain names:

Let's imagine a tree costs 1€ to plant and a ".TREE" domain name sells at 5€ for the Registry.

As a reminder, a Registry is the legal entity which acquires the management rights to distribute ".TREE" domain names to the Network of ICANN accredited Registrars. Only one company is authorized by ICANN, after the validation of its application.

Setting up the ".TREE" Registry costs an average of 250 000€/year to maintain but according to the number of trees planted, the Return On Investment (ROI) on such a project can be 1500% for 1 000 000 domain names sold.

The 2003 International Telecommunication Union reports 49,85% of British businesses with 10 or more employees had a web site in 2001 (59% in France and 66% in Germany…). Such figures show a lot of companies worldwide use domain name and we are soon to be in 2010.

Many companies who use domain names can afford to plant one tree/year for a small fee and have the benefit of their domain name to highlight their participation in a great cause.

A domain name has to be renewed each year: they could even plant one tree per year.

A few figures:
  • Selling 1 000 000 ".TREE" domains names can be done easily with a nice action attached to the purchase of a domain name. For a cheap fee, a company acquires its ".TREE" domain name and plants one tree each year (ex: www.guillon.tree = 1 tree planted/year).
  • 1 000 000 domain names sold can be reached within 2 years,
  • Renewing 1 000 000 ".TREE" domain names a year means 4 000 000€/year,
  • Renewing 1 000 000 ".TREE" domain names a year means 1 000 000 trees planted each year.
  • 4 000 000€ - 250 000€ = 3 750 000€/year: profitable isn't it?
Think about it and pass the message.

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