Hi Patrick

At 01:03 AM 3/23/02 +1100, you wrote:
>In other words, I'd ask Peter whether he thinks there is any likelihood that
>people (ie registrants) will buy direct from the registrar if they know who it
>is?

To a large extent this depends on the registrar/reseller relationship.

At the present time Melbourne IT have too small a margin between  (their) 
retail price and the wholesale price for a retailer to survive off - no 
matter how many they sell.

[Aside - normal wholesale to retail margins in Australia are in excess of 
50% of retail price ... Melbourne IT allow 20%. They can only do this 
because they have a monopoly. We, like many others retail above their 
(retail) price. Non commercially experience readers may find this margin 
discussion difficult to believe but - as Patrick knows - I have more than 
30 years business experience following a post-graduate business degree so I 
like to think I'm qualified to comment. Given the monopolistic 
circumstances we currently have in Australia I'm certain that clients - if 
recommended to examine the strength of the registrar would purchase from 
Melbourne IT].

The question as to whether clients would bypass the reseller in favour of 
the registrar AFTER deregulation really depends on the arrangements between 
the reseller and registrar. In our case I can assure everyone that we (as 
registrar) would consider it commercial suicide to let that happen and can 
categorically state that when A1 Registrar Pty Ltd becomes accredited no 
end user will be able to purchase from us directly unless they are also a 
reseller of our products.

This is exactly like buying a 'fridge from a shop - even if you know who 
the wholesaler is they will not deal directly with you.

Personally I have some suggestions as to how to deal with this part of the 
code of practice but (as a committee member) I would prefer to listen to 
the thoughts of others and - if practical - bring them to the attention of 
the committee.

Peter Dean
Chairman - The Instra Group
Director - auDA
My views are my own and do not necessarily reflect those of the above 
mentioned organisations.