The
already crowded domain conference calendar
(I have been to six shows in the past six months) is
going to be packed even tighter in 2010. When the
originators of the large scale domain conference
concept, T.R.A.F.F.I.C.'s
Rick Schwartz and Howard Neu, announced
a new alliance with Rick
Latona on Tuesday, the line up of
T.R.A.F.F.I.C. shows alone doubled from three
this year to six next year.
|
Add
in at least one show each from DOMAINfest
Global, Domainer
Mardi Gras, Domain
Roundtable and the GeoDomain
Expo, regional events like Canada's
DomainConvergence.com
and Germany's Domain
Pulse and Domainvermarkter
Forum and company specific events
like the highly appealing SedoPro
Forum (they've just announced
the 2009 edition will be held in Key West,
Florida next fall) and the dedicated show
goer could easily spend all of 2010
traveling from one conference to the next
without ever going home.
T.R.A.F.F.I.C.'s
expansion comes at a time when some people are
already complaining about "conference
fatigue" and attendance at nearly all
of the shows (except DOMAINfest Global in Los
Angeles and T.R.A.F.F.I.C. New York)
has drifted down to around 200 (give or take a
couple of dozen either way). You may have also
noticed that the worst economic downturn since |
Jimmy
Durante was right,
when it comes to domain conferences,
"Everybody wants to get into the
act!"
|
the
Great Depression is currently underway.
Given all of this, Latona, Schwartz and Neu
think this is a good time to run more
shows? Are they completely crazy? Yes,
they are. Crazy like a fox. These
three didn't get where they are by making a lot
of bonehead moves. |
Of
the six locations they announced for next year,
four are outside the United States
- Amsterdam, Toronto, Hong Kong
and Reykjavik, Iceland (this one could be
switched to a different overseas location). Net
change for the number of shows in America - zero.
Guess |
where
the fastest growth in the Internet (and domain
registrations) is occurring? That's right, outside
the U.S. Latona, an inveterate world
traveler, knows this because he has seen it
first hand in his sojourns around the globe.
That's why he confidently licensed the right to
stage a T.R.A.F.F.I.C. show devoted entirely to
ccTLDs earlier
this month in Amsterdam, even though
most people thought he was a couple of cans
short of a six-pack. The show was a success and
the majority of the domainers who made it fly
were men and women from outside the U.S.
The
Latona-Schwartz-Neu triumvirate makes sense on
several levels. It allows Schwartz and Neu to
firmly establish their baby as a global brand
and it gives Rick Latona Auctions
exclusive rights to sell to the well heeled
T.R.A.F.F.I.C. audience, dislodging rival Moniker
from the mix.
The impending T.R.A.F.F.I.C. six-show
blitzkrieg also puts Schwartz and Neu back
on the offensive after four years of
watching a steadily growing pack of competitors
whittle away bits and pieces of their market
share. You had to know they were not going to
stand idly by and watch that go on
forever. Schwartz
has been preaching for some time that the depths
of the current recession was a perfect time
for people to strengthen themselves through bold
moves that would put them in a position
to thrive when the downturn inevitably
ends. With this merger, he put into practice
what he has been preaching.
Whether
the trio's strategy pays off or not remains to be
seen and it is unlikely their competitors are going
to sit on their hands and let T.R.A.F.F.I.C. steamroll
them into oblivion. Though it may be too early
to call the winners in the battle between
promoters, at least one huge winner is
going to come out of all of this and that is conference
attendees, regardless of which shows they go
to. Competition can really slice and dice profit
margins for promoters but it is always a good
thing for consumers. You probably noticed a
few days ago that T.R.A.F.F.I.C. offered
historically low early bird prices for the October
2009 show in New York. Just today, Latona
announced that the show was also
dropping its invitation-only policy in favor of an
open door approach.
Attendance
at the Domain Roundtable conference that ended in Washington,
D.C. earlier this week was light (reportedly
in the 175 range), limiting the revenue that Thought
Convergence derived from staging the event,
but do you think they cut any corners to offset
that? To the contrary - ask anyone who was there -
they dialed up the volume to 11! The
venues were spectacular (both the hotel and club
chosen for the closing night party), the food and
drink was off the hook and the quality of
attendees was top notch. That's how you have to
treat people if you want to stay in the game and
clearly TC has no intention of going away. As a
result, you, the conference attendee, wins. |
Rick
Latona - collecting his 2008
Domainer of the Year Award at
T.R.A.F.F.I.C. New York last fall.
Howard
Neu
Rick
Schwartz |
I
think that the industry at large could also win big from
this. Getting the good news about domain names out in
more places around the globe can only be good for
business and it is a two way street. Investors
in the host countries will have a chance to learn about
the high value of quality domains and American investors
who travel abroad will learn, just as Latona did, about
new opportunities they would never have discovered
otherwise (Amsterdam convinced me of that).
|
|
Speaking
of Latona - here is someone else who looks like
a major winner in all of this to me. He is
building a very impressive domain industry
conglomerate with a web development company (AEIOU.com),
auctions, direct sales (through his popular
newsletter), financing units (DigiLoan.com
and DigiPawn.com),
forums (ccTLDs.com)
and now conferences through a multi-faceted
long-term licensing deal with T.R.A.F.F.I.C. He and Schwartz are the two
best marketers and negotiators in the industry
and Neu
is the perfect even keeled complement to his two
Type A partners. There
is some speculation that Latona and Schwartz
could end up butting heads because they are both
strongly opinionated and have had success doing
things their own way. What if they can't agree
on the best way to get from point A to point B?
Friction between personalities is always
possible but these two |
are
consummate businessmen and I would be very
surprised to see them take their eye off the
ball. If they do, Neu will be there to
mediate and keep things on track. It is a powerful
combination and I expect great things to
come out of it. |
The
biggest problem I see for all of the promoters is that
there is a limited pool of sponsors, the unsung
heroes who carry so much of the financial load
involved in producing a conference. Even though we are
in one of the best sectors you could possibly be in
right now, most of the major sponsors have seen revenue
dip and they are handling their expenditures
accordingly. With the expansion of shows next year
taking place exclusively outside the U.S., will they
take on the higher cost of sending exhibit booths and
teams of people to so many events in other countries?
Their response (or T.R.A.F.F.I.C.'s ability to find new
local sponsors in the territories they visit) will have
a big impact on the financial success the shows have. After
Amsterdam, I don't think a shortage of attendees is
going to be a big problem. If you read the comments from
domainers outside the U.S. on the blogs operated by Schwartz,
Latona
and industry veteran Michael
Berkens, you can see the widespread excitement
among non U.S. domainers that they are going to
have shows in their own backyard.
|
|
The
part of the game that will be really interesting
to watch now is the dates the various
shows fall on. That is going to be very
important. Despite offering a great show in
an exciting new town for the show circuit -
Washington, D.C. - Roundtable lost some
attendees simply because they were sixth in a
string of six shows (and followed T.R.A.F.F.I.C.
Amsterdam by just one week). It is going to be
hard to find breathing room on a 2010 calendar
packed with (at least) ten major shows
and several smaller ones. As
the year's first show, Oversee's
DOMAINfest Global has blossomed in their late
January slot. There is a good chance
T.R.A.F.F.I.C. will try to erase that |
advantage
by moving their 2010 Las Vegas kickoff in
front of DOMAINfest. That could trigger quite a chess
match as the year plays out.
As
Amsterdam showed, even when a conference is
outside the U.S., it pulls away some of the
sponsors and attendees that might otherwise have
gone to an event in America. So all of the shows
(except Domainer Mardi Gras whose event is tied
to the dates of the annual Mardi Gras
celebration in New Orleans) will likely
be looking to see what the others are doing and
what available dates will give them the best
chance to succeed. It could result in finalized
show dates being announced later than usual -
but that could be counter productive. If
you don't give people time to plan you could
lose more attendees than you would by going toe
to toe against a competing show in an adjacent
time slot.
Watching
it all play out should be quite a spectacle -
2010 is shaping up to be the domain industry's
version of The Olympics. Let the games
begin! |
|