GoDaddy’s (NYSE: GDDY) domain name marketplace business now accounts for about 10% of the company’s revenue, up from the mid-single digits in 2018. The company revealed this number on its investor gathering call recently.
With Q1 revenue of about $900 million, this suggests that GoDaddy’s aftermarket made roughly $90 million or so in the first quarter.
Domains revenue overall was $423 million, so the aftermarket is 20% of the domain’s business from a revenue viewpoint. The entire margin is likely much higher since GoDaddy doesn’t have to pay a registry when it makes a sale.
GoDaddy’s aftermarket revenue covers expired domains, commissions on third-party sales, as well as revenue from selling domains from its owned-and-operated domain collection.
GoDaddy said the aftermarket drove much of the 5% regular improvement in the growth rate of the domain name business.