More profit at lower cost

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Following numerous complaints from Ru-Center clients, Federation Council member Anton Belyakov asked the Federal Antimonopoly Service to check the company's activities. The official explained that the cost of domain renewal services had increased fourfold or more. He also told journalists that Ru-Center had done this using its dominant position in the market.

Market experts do not consider Ru-Center a monopolist. In their opinion, in list of belgium cell phone numbers recent years, enough domain registrars of different sizes have appeared in Ru-Net, which compete with Ru-Center.

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Andrey Vorobyov
Director of the Coordination Center for domains .RU/.РФ
"Today we have 35 accredited registrars, each of them has an independent pricing policy, determined by an individual business model. As for the monopoly, in my opinion, it is absent in our domain market: there is enough space on the market for everyone, it is not for nothing that several new companies enter this very complex and high-tech business every year. None of the large registrars are trying to offer domains at dumping prices that would be inaccessible to small companies. On the contrary, low prices can often be found among small registrars, which in this way gain the necessary client base."

The company allowed itself to raise prices for smaller partners not because of its dominant position in the market, but because it understood that it would ultimately receive more profit with minimal costs.

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Anton Terekhov
Commercial Director of Ru-Center
<p>"Many Ru-Center partners have been using a tariff for several years, where they received 90 rubles for registering/renewing a .ru domain. These tariffs have not been revised for years, despite inflation, rising retail prices, etc. It is important to understand that the cost of "purchase" services for the registrar is determined by the CC (Internet Coordination Center) and is 82.6 rubles with VAT. That is, with a tariff of 90 rubles, the margin on one domain is 7.4 rubles. That is, a partner who has historically received a tariff of 90 rubles and has 1000 domains brings Ru-Center approximately 7,400 rubles (seven thousand four hundred rubles) per year.</p>
<p>My personal advice to all partners accustomed to extremely favorable conditions is to think several steps ahead and understand that the problems described above with the low marginality of affiliate programs are typical not only for Ru-Center, but also for other registrars. "<p>