Domain name registrations have grown 11.9% (compound annual growth rate) per year during the period June 2013 to June 2016 compared to 8.7% globally. As of June 2016, registrations in India stood at 4.9 million in India and at 335 million globally. Over half (55%) of domain names registered in India .com domains.
The findings are in a report titled State of the Domain Name Industry in India released by Zinnov. The study found that the Indian states with high penetration of internet users had a higher domain name adoption. Maharashtra, Delhi/NCR and Karnataka were the top 3 states with over 38% of the registered domain names in India while the east of the country was very low.
Around 79% of small to medium businesses in India preferred a .com domain over other top level domains, 46% preferred a .in domain and 25% took both, with .com being preferred mostly because of trust and professional image according to the report. [editor: we’re still trying to work out these numbers] Overall 56% of registered domain names are .com domains and 28% are .in domains with 4% being .net.
The report also found 40% of domain names are used for websites, 25-30% are used for parking and monetisation and 10 to 12% are used for email. The rest were for redirection to social media pages and trade/ecommerce portals, mobile websites or are for sale.
“Technology has continued to be the key transformative factor driving the Indian economy. The rapidly growing Internet user base as well as the ever increasing number of technology enabled SMBs has helped India witness significant growth in domain name adoption over the last few years,” Pari Natarajan, CEO and Co-Founder of Zinnov said. “Increased awareness about the various usages of domain names including websites, professional email, redirects to social media pages and trade portal etc. will further help drive the market.”
“A modern Digital SMB is powered by technology solutions that help drive top line growth, maximize output and derive cost efficiency,” said Praveen Bhadada, Practice Head and Partner – Digital Practice, commenting on the current market landscape. “Having a domain name is a key solution that enables SMBs to create their own professional identity and enhance their digital discoverability. As India continues to witness one of the fastest growth of impact of Internet on GDP, such digital enablement of SMBs will further drive the growth momentum.”
“We congratulate all the market players who are a part of this growth journey in the Indian domain name industry and would encourage them to invest further in building awareness and market creation activities. India boasts of one of the largest SMB base in the world and increasing propulsion of Indian SMBs towards digital adoption presents a huge untapped opportunity,” he added.
The report is available for download from: