Looking back at the number of registrations in 2024, the overall steady growth is slowing down

According to the latest domain name industry briefing,the number of domain name registrations in 2024 was basically the same as the previous year. As of the end of the fourth quarter, the number of registered domain names was 362.3 million, a decrease of 100,000 from the third quarter, and a year-on-year increase of less than 1%. This shows that after experiencing the demand growth brought about by the COVID-19 epidemic, the industry growth has fallen into a certain degree of stagnation.

I. Top-level domain name (TLD) registration trend

(I).com and .net

VeriSign pointed out that the number of registrations for top-level domain names such as .com and .net has continued to decline since the beginning of 2023, and this trend will continue into 2024, causing it to adjust its relevant forecasts.

(II) Overall trend

ICANN expects the growth rate of traditional top-level domain names to be close to zero in fiscal year 2025, and the growth rate of new top-level domain names to be only 1%, further reflecting the lack of growth momentum in the industry.

II. Changes in the market competition pattern

(I) Competition among registrars

Despite stagnant industry growth, some small registrars such as Namecheap are still taking market share from large competitors, reflecting the intensity of competition.

(II) Demand for specific TLDs and driving factors

Some TLDs (especially new TLDs) have high demand, but they are mostly driven by cheap registrations, and owners may not renew them, which indicates that there are certain problems with the demand structure.

III. Analysis of the reasons for industry stagnation

(I) The impact of the epidemic has subsided

During the epidemic, enterprises and organizations accelerated their online business layout and overdrew some domain name registration needs in advance. As the impact of the epidemic weakened, the urgency of online business decreased, and the growth momentum of registration demand weakened.

(II) Saturation of website demand

Most major entities that need or want websites already have websites, and overall demand has begun to weaken. Registrars have increased registration fees to compensate for the decline in business, which has also affected market demand to a certain extent.

IV. Future prospects

Despite the current stagnation in industry growth, the new round of top-level domain names that will be open for application in early 2026 is expected to inject new impetus into the industry. On the one hand, new top-level domains may attract new registrants, especially emerging industries and innovative enterprises, who are eager to use unique domain names to shape their brand image and expand their market boundaries. On the other hand, this will prompt registrars to optimize services and innovate marketing models to seize the initiative in the competition. However, new top-level domains also face challenges, such as cultivating user acceptance and market regulation management. The domain name industry needs to respond actively to seize opportunities and achieve sustainable development.