Registration price is the discounted rate charged for registering a domain name in year one. Renewal price is the full rate charged every year after that. For most large registrars, these two prices are deliberately different the low registration price attracts buyers and the higher renewal price extracts profit from those who don’t switch.
The scale of the gap
Real examples from major registrars (approximate, 2026):
| Registrar | .com registration (year 1) | .com renewal | Difference |
|---|---|---|---|
| GoDaddy | £0.99–£4.99 (promo) | £17.99/yr | 4–18× |
| Namecheap | £8.98 | £13.98/yr | 1.6× |
| Porkbun | £9.73 | £10.48/yr | 1.1× |
| Cloudflare Registrar | £8.57 | £8.57/yr | 1× (at-cost) |
| Squarespace Domains | £11.00 | £15.00/yr | 1.4× |
| IONOS | £1.00 (year 1 promo) | £14.99/yr | 15× |
The pattern is clear: registrars with the lowest first-year price typically have the highest renewal price. Registrars with no promotional discount (Porkbun, Cloudflare) charge close to wholesale in both years.
10-year cost comparison
A domain held for 10 years:
| Registrar | Year 1 cost | Years 2–10 cost | Total 10-year cost |
|---|---|---|---|
| GoDaddy (promo) | £0.99 | 9 × £17.99 = £161.91 | £162.90 |
| Namecheap | £8.98 | 9 × £13.98 = £125.82 | £134.80 |
| Porkbun | £9.73 | 9 × £10.48 = £94.32 | £104.05 |
| Cloudflare | £8.57 | 9 × £8.57 = £77.13 | £85.70 |
GoDaddy’s promotional domain costs £77 more than Cloudflare over 10 years. The first year “saves” £7.58; the next 9 years cost an extra £84.78.
Why registrars do this
Domain registrars operate on the principle of switching cost exploitation. Changing registrar requires:
- Unlocking the domain (60-day lock period after registration)
- Requesting an EPP transfer code
- Initiating a transfer (takes 5–7 days for .com, instant for some TLDs)
- Managing the transition period
For most domain owners, the hassle of switching is not worth the £5–10 per domain per year they’d save. Registrars know this. The low registration price is a customer acquisition cost; the high renewal price is profit extraction.
How to avoid the trap
Option 1: Use an honest registrar from the start
Porkbun, Cloudflare Registrar, and Namecheap have lower registration-to-renewal gaps. You pay a fair price in year one and roughly the same every year after.
Option 2: Register cheap, transfer before renewal
Register at GoDaddy’s promotional price, then transfer to Porkbun or Cloudflare within 45 days of the lock period expiring (day 61 onwards). The transfer costs one renewal year at the receiving registrar’s rate significantly less than GoDaddy’s renewal price. This is legitimate and works, but requires remembering to do it.
Option 3: Set calendar reminders
If you’re staying with a higher-priced registrar, set a reminder 60 days before renewal to either transfer or check for renewal discount codes. Many registrars offer discount codes for renewals to retain customers they’re just not advertised by default.
.co.uk renewal note
For .co.uk domains, Nominet (the registry) has historically maintained closer registration/renewal pricing parity because they set resale guidelines. The gap still exists but is typically smaller than .com at most registrars. Check registrar-specific rates before committing.
See also: Registrar vs registry · ICANN · Domain renewal price trap explained