18(c) What operating rules will you adopt to eliminate or minimize social costs?

Prototypical answer:

gTLDFull Legal NameDetail
.club.CLUB DOMAINS, LLCView

Registration Phases Overview and Minimization of Social Costs.

This response provides an overview of .CLUB DOMAINS, LLC operating rules to minimize the social costs and negative consequences or costs imposed on consumers in particular how multiple applications will be resolved, cost benefits for registrants and our intentions and commitments on pricng policies. Overviews are provided in the following areas;

- Sunrise, Landrush Applications, Auctions, Premium Names and General Availability Overview
- Advantageous Pricing, Introductory Offers and Bulk Registration
- Minimize Social Costs
- Price Change Policy

Sunrise, Landrush Applications, Auctions, Premium Names and General Availability Overview
The Company will offer a phased launch consistent with many prior gTLD domain name launches. First, a Sunrise Period will be offered as required by ICANN, for trademark holders to register domain names that correspond to their marks. If there is more than one qualified Sunrise applicant, then they will be invited to participate in an auction to select the registrant of the contested domain name. After the close of the Sunrise Period, the Company will offer a Landrush period where it will take applications for domain names. In the event more than one applicant contends for any domain during the Landrush period, applicants will be invited to participate in an auction to select the registrant of the contested name. The Company intends to reserve premium names to be held by the Company for offfer and sale at the registry’s discretion while complying with all ICANN rules and regulations. After the Landrush period the Company intends to take an estimated ten (10) to thirty (30) day break prior to General Availability to ensure resolution of contested or trademark related names coming out of Sunrise and Landrush. After that break, the Company will make unreserved and unregistered names generally available for open registration by any interested person or entity, on a first-come⁄first-served basis to register for one and up to ten years.


Advantageous Pricing, Introductory Offers and Bulk Registration
At launch we intend to offer domains during Sunrise and Landrush at a price point designed to support the costs of the outreach programs required to build awareness and education in our target market. Upon general release, our plan is to make domains available at a discounted rate through our retail channel and to our registrar partners. We will recommend and encourage introductory offerings in our channel.


Minimize Social Costs
The cost of a .CLUB domain will not be price prohibitive to new or existing clubs and over the long run will provide additional value to the clubs, due to the identifiable nature of the gTLD and the vertical-focused services designed to address clubs’ needs. Our pricing will be competitively set within the price range of existing gTLDs to ensure take up and affordability of this top level domain.


Price Change Policy
Our approach to suggested listed retail and wholesale registrar prices for domain registry services is to launch and maintain our price points at a consistent and competitive level. Our view is that a competitive price point is required to ensure affordablity in our target market and to compete effectively with other gTLD options currently in market and those coming to market. Our view is that while .CLUB domains do offer added value to the target niche and affords a premium, we must be competitively priced. The price point decision drivers are;

1. Price is not an objection to end-user purchase in that it does not impose a high cost on consumers, and
2. We price to build and maintain a registry that is economically sustainable over the long-term.

Our intent is to maintain suggested retail and registrar list prices for the foreseeable future. However, the Company must reserve the right to increase pricing under certain circumstances including market forces which may negatively impact our margins and business viability. Additionally, we may periodically adjust for inflation. While we cannot fully predict all future cost input changes, we have no plans to increase suggested retail or registrar list prices beyond ten percent per year. Should market forces require us to increase domain registration or renewal prices to either maintain business viability of the registry or enable launch of new services, we will notify registrants and⁄or partners in accord with the ICANN Registry Agreement.

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gTLDFull Legal NameDetail