The Enduring Power of the Website

Today’s Episode of Decoder

Aman Bhutani, CEO of GoDaddy

Live Onstage at an Event Hosted by AlixPartners in Palo Alto, California

GoDaddy is one of those companies that feels tied to an earlier era. In this case, the company had a hugely controversial reputation in the web 1.0 days, when it built a huge business selling domain names and ran a bunch of pretty sexist ads — but all of that is long in the past. The company still runs a huge domain name business, but Aman has been CEO since 2019, and he’s been building out what he calls adjacencies — basically, helping the very small businesses that run websites on GoDaddy grow their operations.

What is the Point of a Website in 2024?

I started out by asking Aman the question I’ve asked so many other guests on Decoder in the past year: What is the point of a website in 2024? Who needs one, and how do they benefit from paying GoDaddy to host it for them?

Conveying Legitimacy

You’ll hear Aman say that a website can convey legitimacy — that his customers feel pride in having their own domains, something they own and control for themselves, to build a direct relationship with their customers, instead of relying entirely on other platforms to do it for them.

AI and Web Design

You’ll also hear us talk about AI a lot because, at this point, it’s everywhere. GoDaddy launched a service earlier this year called Airo, which allows site owners to generate everything from logos to full site designs with just a few prompts.

Customer Retention

We have an 85 percent published retention rate. We really think about customer churn, not product churn. In our customer base, you actually see people who tried a business, they got a domain name, but it didn’t work out after nine months or 12 months, and they need a new idea. But they still have to put food on the table or they have the drive to do something. They’re going to do something else. Are they doing it with GoDaddy? We want to keep that engagement with them.

The Care Organization

I think a lot of businesses are not structured to provide a high level of care. It’s sort of treated as a cost center. In our case, the care organization is a true competitive differentiator. We call what they do “guidance.” Yes, our care guides have some targets, but they don’t have a script. They don’t get told, “Ask the customer X, Y, or Z.” The goal is to first understand what the customer wants and solve their problem. Then, we have sales motions because we can end up spending a lot of time serving a person.

The Dreamweaver Barbershop Lady

I talked to her three times on the phone. She said, “This is really nice to talk to the CEO of a public company.” I said, “You’re one of my biggest customers. The ARPU is $167, I’m asking you to pay $275.” I said, “You’re a big customer. You get to talk to the CEO.” She loved it. She talked to some of the tech folks.

Conclusion

In this episode of Decoder, we explored the role of websites in 2024, the importance of customer retention, and the impact of AI on web design. Aman Bhutani, CEO of GoDaddy, shared his insights on how the company is adapting to the changing landscape and providing value to its customers.

FAQs

Q: What is the point of a website in 2024?
A: A website can convey legitimacy and provide a direct relationship with customers.

Q: How does GoDaddy approach customer retention?
A: We have an 85 percent published retention rate and focus on providing a high level of care to our customers.

Q: What is the Airo service?
A: Airo is a service that allows site owners to generate everything from logos to full site designs with just a few prompts.

Q: How does GoDaddy’s care organization work?
A: Our care organization is a true competitive differentiator, providing personalized guidance to our customers.