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Domain Registrar Markup Exposed: Who Charges the Most Over Wholesale (2026)

May 2026 · 6 min read

🔎 The Question Nobody Asks

Every .com domain costs exactly the same at wholesale: $10.44/year (Verisign's $10.26 + ICANN's $0.18). Everything above that is registrar margin. Below, we expose exactly how much each registrar adds — from Spaceship's loss-leader subsidization to Gandi's 268% markup.

The Wholesale Reality

When you register or renew a .com domain, your registrar pays Verisign $10.26 and ICANN $0.18. That's $10.44 in hard costs. The rest — whether it's $0.42 or $27.94 — is the registrar's gross margin on that domain. Some use that margin to fund support, hosting, and marketing. Others simply pocket it.

Starting November 1, 2026, the wholesale increases to $10.97. How each registrar responds to this increase will tell you a lot about their pricing philosophy.

2026 Markup Table

Registrar.com RenewalWholesale CostMarkupMarkup %
Spaceship$9.98$10.44-$0.46-4.4% (loss)
Cloudflare$10.44$10.44$0.000%
Dynadot$10.86$10.44$0.424.0%
Porkbun$11.06$10.44$0.625.9%
Namesilo$11.95$10.44$1.5114.5%
Namecheap$16.98$10.44$6.5462.6%
Hover$18.99$10.44$8.5581.9%
Squarespace$20.00$10.44$9.5691.6%
GoDaddy$21.99$10.44$11.55110.6%
Gandi$38.38$10.44$27.94267.6%

What You're Paying For (And What You're Not)

The $0–$2 markup tier (Cloudflare, Dynadot, Porkbun): These registrars run lean. They make money on volume, add-on services, or other products. Their domain pricing is essentially fair — a small margin for a real service.

The $6–$9 markup tier (Namecheap, Hover): You're paying for brand, support infrastructure, and bundled services. Whether that's worth 60–80% markup depends on how much you value 24/7 chat and one-stop-shop convenience.

The $10+ markup tier (GoDaddy, Squarespace, Gandi): This is where the math stops making sense. GoDaddy's 110% markup funds Super Bowl ads and a massive support center. Gandi's 268% markup funds... we genuinely don't know. Their "No Bullshit" slogan has aged poorly.

The Verisign Angle

Verisign itself operates at an 88% gross margin — meaning the actual cost of running the .com registry infrastructure is roughly $1.25 per domain per year. The $10.44 wholesale price is already a massive margin for Verisign. When GoDaddy adds another $11.55 on top, the total margin stack from infrastructure cost to consumer price is approximately $22 on a service that costs ~$1.25 to operate.

This is why we built SideBySide Domains. The domain registration industry profits from opacity. When you see the actual numbers side by side, the pricing decisions make themselves.

Compare registrar pricing — links are affiliate