.CALVINKLEIN New gTLD Application

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New gTLD Application Submitted to ICANN by: PVH gTLD Holdings LLC

String: CALVINKLEIN

Originally Posted: 13 June 2012

Application ID: 1-998-12980

 

Applicant Information

 

  1. Full legal name

PVH gTLD Holdings LLC

 

  1. Address of the principal place of business

200 Madison Avenue

18th Floor

New York New York 10016

US

 

  1. Phone number

+ 1 212 381 3500

 

  1. Fax number

+1 212 381 3950

 

  1. If applicable, website or URL

http:⁄⁄www.pvh.com

 

Primary Contact

 

6(a). Name

Philip Lodico

 

6(b). Title

Managing Partner

 

6(c). Address

 

6(d). Phone Number

+1 202 223 9252

 

6(e). Fax Number

 

6(f). Email Address

This email address is being protected from spambots. You need JavaScript enabled to view it.

 

Secondary Contact

 

7(a). Name

Brian Best

 

7(b). Title

Senior Web Developer

 

7(c). Address

 

7(d). Phone Number

+1 718 221 5983

 

7(e). Fax Number

 

7(f). Email Address

This email address is being protected from spambots. You need JavaScript enabled to view it.

 

Proof of Legal Establishment

 

8(a). Legal form of the Applicant

Limited liability company

 

8(b). State the specific national or other jursidiction that defines the type of entity identified in 8(a).

Delaware

 

8(c). Attach evidence of the applicant's establishment.

Attachments are not displayed on this form.

 

9(a). If applying company is publicly traded, provide the exchange and symbol.

 

9(b). If the applying entity is a subsidiary, provide the parent company.

PVH Corp. is the parent company of PVH Retail Stores, Inc., which wholly owns PVH gTLD Holdings LLC

 

9(c). If the applying entity is a joint venture, list all joint venture partners.

 

Applicant Background

 

11(a). Name(s) and position(s) of all directors

Emanuel Chirico Director

Mark D. Fischer Director

Michael A. Shaffer Director

 

11(b). Name(s) and position(s) of all officers and partners

Emanuel Chirico President

Mark D. Fischer Senior Vice President and Secretary

Michael A. Shaffer Executive Vice President

 

11(c). Name(s) and position(s) of all shareholders holding at least 15% of shares

PVH Retail Stores, Inc. Not Applicable

 

11(d). For an applying entity that does not have directors, officers, partners, or shareholders: Name(s) and position(s) of all individuals having legal or executive responsibility

 

Applied-for gTLD string

 

  1. Provide the applied-for gTLD string. If an IDN, provide the U-label.

CALVINKLEIN

 

14(a). If an IDN, provide the A-label (beginning with "xn--").

 

14(b). If an IDN, provide the meaning or restatement of the string in English, that is, a description of the literal meaning of the string in the opinion of the applicant.

 

14(c). If an IDN, provide the language of the label (in English).

 

14(c). If an IDN, provide the language of the label (as referenced by ISO-639-1).

 

14(d). If an IDN, provide the script of the label (in English).

 

14(d). If an IDN, provide the script of the label (as referenced by ISO 15924).

 

14(e). If an IDN, list all code points contained in the U-label according to Unicode form.

 

15(a). If an IDN, Attach IDN Tables for the proposed registry.

Attachments are not displayed on this form.

 

15(b). Describe the process used for development of the IDN tables submitted, including consultations and sources used.

 

15(c). List any variant strings to the applied-for gTLD string according to the relevant IDN tables.

 

  1. Describe the applicant's efforts to ensure that there are no known operational or rendering problems concerning the applied-for gTLD string. If such issues are known, describe steps that will be taken to mitigate these issues in software and other applications.

PVH gTLD Holdings LLC (“PVH gTLD Holdings”) foresees no known rendering issues in connection with the proposed .CALVINKLEIN gTLD for which it is applying. This answer is based upon consultation with PVH gTLD Holdings’ selected back-end provider, Neustar, which has successfully launched a number of new gTLDs over the last decade. In reaching this determination, Neustar analyzed the following data:

 

-ICANN’s Security Stability Advisory Committee (SSAC) entitled Alternative TLD Name Systems and Roots: Conflict, Control and Consequences (SAC009);

-IAB - RFC3696 “Application Techniques for Checking and Transformation of Names”

-Known software issues which Neustar has encountered during the last decade launching new gTLDs;

-Character type and length;

-ICANN supplemental notes to Question 16; and

-ICANN’s presentation during its Costa Rica regional meeting on TLD Universal Acceptance.

 

  1. (OPTIONAL) Provide a representation of the label according to the International Phonetic Alphabet (http://www.langsci.ucl.ac.uk/ipa/).

 

Mission/Purpose

 

18(a). Describe the mission/purpose of your proposed gTLD.

Mission and Purpose of .CALVINKLEIN

 

Calvin Klein, Inc. (“Calvin Klein”) is a leading fashion design and marketing studio, serving the needs of global consumers with stores in multiple countries. Calvin Klein products are available for purchase online in the United States. Calvin Klein’s online content is viewable in the .COM gTLD and also in the .DE, .EU, .NL, and .TV ccTLDs. In order to apply for the .CALVINKLEIN gTLD, PVH Retail Stores, Inc. (“PVH Retail Stores”), a sister company to Calvin Klein, has created a wholly owned subsidiary, PVH gTLD Holdings LLC (“PVH gTLD Holdings”) as the entity to file this application and bring the .CALVINKLEIN gTLD to market. Both PVH Retail Stores and Calvin Klein are wholly owned subsidiaries of PVH Corp.

 

Calvin Klein designs and markets womenʹs and menʹs designer collection apparel and a range of other products that are manufactured and marketed through an extensive network of licensing agreements and other arrangements worldwide. Brands include Calvin Klein Collection, ck Calvin Klein, Calvin Klein, Calvin Klein Jeans, and Calvin Klein Underwear. Worldwide retail sales of products sold under the Calvin Klein brands were approximately $6.7 billion in 2010. In 2010, over $300 million was spent globally in connection with the advertisement, marketing, and promotion of the Calvin Klein brands and products sold.

 

Calvin Klein will be analyzing and evaluating other .BRAND gTLD applications as well as general market adoption to determine short- and long-term potential best-in-class use case options to most effectively serve and enhance Calvin Klein’s online strategy.

 

The intended future mission and purpose of the .CALVINKLEIN gTLD is to serve as a trusted and intuitive namespace provided by PVH gTLD Holdings for Calvin Klein and its consumers. However, PVH gTLD Holdings is primarily filing this application on behalf of Calvin Klein in ICANN’s first round for precautionary reasons given the uncertainty regarding when ICANN will be opening a second round. Therefore, although PVH gTLD Holdings is committed to moving forward with the .CALVINKLEIN gTLD application, to date there has not been enough time, and currently there is not enough market information available, to fully analyze and evaluate all potential use case options.

 

Although ICANN has not specifically recognized a .BRAND gTLD specification in the current version of the Applicant Guidebook, it is widely anticipated within the brand-owner community that this will become a specialty subset of gTLDs. The .CALVINKLEIN gTLD is planned as a .BRAND gTLD, with the goal of protecting Calvin Klein’s online presence and identity; expanding its marketing and promotion efforts; providing a secure channel for online products and services; and offering a platform through which to consolidate many of the intellectual property activities of Calvin Klein.

 

PVH gTLD Holdings intends to initially limit registration and use of domain names within the .CALVINKLEIN gTLD to Calvin Klein and its qualified subsidiaries and affiliates. This initial limited use will allow PVH gTLD Holdings to establish its operations and achieve full sustainability. This limited distribution coupled with the other requirements set forth in Specification 9 of the template Registry Agreement is intended to exempt PVH gTLD Holdings from its annual Code of Conduct Compliance requirements.

 

After Stage 3 (see below), PVH gTLD Holdings and Calvin Klein will evaluate whether opportunities exist to carry out the business strategy for the gTLD through expansion that continues the registry’s sustainable operations through fee-based registrations to parties other than Calvin Klein and its qualified subsidiaries and affiliates.

 

PVH gTLD Holdings currently plans a four-stage rollout for the .CALVINKLEIN gTLD:

 

Stage 1: The initial stage of implementation of the gTLD will involve Calvin Klein registering a limited number of .CALVINKLEIN second-level domain names.

 

This initial use will provide Calvin Klein’s IT and security personnel the time to run a number of tests to ensure seamless and secure access using the .CALVINKLEIN gTLD domain names, interoperability with various software and Web-based applications, and unbroken and secure use of all names. This initial allocation will also allow the appropriate PVH Corp and Calvin Klein staff to coordinate with the internal and external staff responsible for the delegation and setup phases of the .CALVINKLEIN gTLD to ensure a proper transition from delegation to full operation.

 

Stage 2: Once all testing has been successfully completed, PVH gTLD Holdings will begin allocating domain names in the .CALVINKLEIN gTLD to Calvin Klein and its qualified subsidiaries and affiliates for more widespread internal corporate use. During this same period of time, Calvin Klein will begin evaluating strategies to potentially migrate traffic away from its current patchwork network of second-level domain names, which are registered in a variety of TLDs, to the .CALVINKLEIN gTLD.

 

It is in Stage 2 that Calvin Klein will evaluate expanding the operations of the .CALVINKLEIN gTLD to permit registration by other registrants such as select licensees and⁄or strategic partners. Should an assessment of its expansion strategy lead to a decision to extend registration rights to other parties, this expansion is currently planned to take place during Stage 3. However, any expansion would be conditioned upon a review of Specification 9 (Registry Code of Conduct) set forth in the template Registry Agreement to ensure compliance with PVH gTLD Holdings’ business model.

 

Stage 3: The third stage is planned to implement the permanent migration of Internet traffic away from the TLDs in which Calvin Klein’s domain names are currently registered, and toward the .CALVINKLEIN gTLD, if that is the conclusion of the evaluation as described in Stage 2. It is in this stage that PVH gTLD Holdings may also implement Calvin Klein’s decision to extend registration rights to select licensees and⁄or strategic partners, depending upon compliance with Specification 9 as noted above. The dates of such expansion are subject to change depending upon business, strategic, and industry factors at the time.

 

After consideration of the following factors: analysis of Calvin Klein’s existing domain name portfolio; internal analysis of marketing initiatives; and the fact that Calvin Klein will have full control over the number of registrations in the .CALVINKLEIN gTLD namespace, PVH gTLD Holdings is confident that the number of domain name registrations will be less than 10,000 in the first five years of operation.

 

Stage 4: Based on its experience with any expansion implemented in Stage 3, PVH gTLD Holdings and Calvin Klein will assess whether the business plan and expansion strategy should be augmented by extending registration rights to a broader class of licensees, including potential customers of Calvin Klein. It is anticipated by Calvin Klein that changes to the domain name industry, and particularly the impact of .BRAND gTLDs, will take at least five years to be realized and assessed. Any decision to expand the gTLDs beyond corporate, qualified subsidiary and affiliate, and licensee use will take into account this experience as well as the technical analysis of potential expansion.

 

The potential use of the .CALVINKLEIN gTLD by Calvin Klein or PVH Corp’s other business segments will also be driven by Calvin Klein’s future business strategies as identified in the annual report and investor filings of PVH Corp, see http:⁄⁄pvh.com⁄investor_relations.aspx.

 

Utilizing current projections based upon Calvin Klein’s existing businesses, future business plans, current domain name portfolio, and other strategic factors, Calvin Klein estimates second-level domain name registrations to be in line with the projections set forth in the response to Question 46 of this application.

 

18(b). How do you expect that your proposed gTLD will benefit registrants, Internet users, and others?

18.2 How do you expect that your proposed gTLD will benefit registrants, Internet users, and others?

 

Calvin Klein believes that the proposed .CALVINKLEIN gTLD has the potential to offer the following benefits to Internet users and consumers:

 

-Establish a trusted source of information and online marketplace for the millions of consumers who purchase goods through Calvin Klein’s online retail stores; for investors and third parties seeking information; and for the general Internet user population;

 

-Provide Calvin Klein and its qualified subsidiaries and affiliates with short and memorable Internet addresses; provide increased navigation to products, services, advertising campaigns, public interest content, etc.;

 

-Minimize the cost and need for defensive registrations because domain names will only initially be allocated by PVH gTLD Holdings to Calvin Klein and its qualified subsidiaries and affiliates for internal company use; and

 

-Develop a potential platform for the secure access to, purchase of, and distribution of Calvin Klein products and information to consumers, in order to minimize the potential for counterfeit or infringing goods.

 

Also, through the adoption of new gTLDs by the wider Internet user community, consumers may benefit from lower incidents of phishing and malware often associated with mistypes of domain names in the .COM space that are owned by cybersquatters, since they will be navigating to domain names in the .CALVINKLEIN gTLD.

 

18.2.1 What is the goal of your proposed gTLD in terms of areas of specialty, service levels, or reputation?

 

The primary mission and purpose of the .CALVINKLEIN gTLD is to provide a trusted and intuitive online marketplace to deliver Calvin Klein retail content and information on the Calvin Klein business and focus. As Calvin Klein continues to expand, it is the company’s desire to pursue and develop opportunities to market and distribute its online content to consumers, in the U.S. and internationally, on various platforms, including the Internet and mobile devices, among others. Given that customers increasingly request access to Calvin Klein brands through a variety of channels, which include domain names, Calvin Klein believes that the .CALVINKLEIN gTLD has the potential to provide an innovative, virtual avenue to Calvin Klein online content that will deepen and broaden its relationship with consumers.

 

Most importantly, Calvin Klein will be able to provide access to its online content in a namespace devoid of piracy, cybersquatting, and other malicious activities. Providing consumers with a trusted experience is paramount to Calvin Klein and the .CALVINKLEIN gTLD will be used to further that goal.

 

While companies such as Calvin Klein fight a never-ending battle to protect valuable intellectual property from piracy on the Internet, the .CALVINKLEIN gTLD would offer consumers a safe and intuitive means of accessing authorized content from Calvin Klein and its qualified subsidiaries and affiliates.

 

18.2.2 What do you anticipate your proposed gTLD will add to the current space, in terms of competition, differentiation, or innovation?

 

As a branded gTLD, the primary driving factors of the .CALVINKLEIN gTLD are differentiation and innovation. The number of domain names registered will not measure the success of the gTLD, but rather success will be judged by the levels of consumer recognition and trust that are placed in the .CALVINKLEIN gTLD. Using this benchmark, Calvin Klein will strive to build consumer recognition and trust through the usage of the .CALVINKLEIN gTLD that rise to the levels of those found in the .EDU and .GOV gTLDs.

 

As noted above, Calvin Klein is a leading global brand company that leverages numerous distribution channels and emerging technologies to deliver its online content and consumer goods to its customers internationally. The .CALVINKLEIN gTLD has the potential to augment this online strategy, if the potential benefits that ICANN has projected become a reality.

 

18.2.3 What goals does your proposed gTLD have in terms of user experience?

 

Calvin Klein believes that the .CALVINKLEIN gTLD will provide a single, trusted ecosystem experience for the millions of consumers worldwide who purchase the company’s retail goods, as well as those who seek information that Calvin Klein provides, such as investors and members of the press. In addition to providing consumers with short, memorable, and intuitive domain names, consumers will know that all domains and content are owned and controlled by Calvin Klein, thus protecting users from potential infringing, counterfeit, and other harmful content that consumers are plagued with in .COM and other open gTLDs.

 

The initial use of the .CALVINKLEIN gTLD will involve a limited number of second-level domain names. This initial use will provide Calvin Klein the ability to ensure seamless and secure access to the Calvin Klein websites and interoperability with various software and Web-⁄mobile-based applications. Once appropriate security and stability issues have been satisfactorily addressed, PVH gTLD Holdings will likely begin allocating domain names for internal corporate use at Calvin Klein and may redirect .CALVINKLEIN domain names to pre-existing content. This phased rollout will likely take place over a multi-year period, subject to change depending upon a range of external factors.

 

At the same time, Calvin Klein will evaluate potential strategies to migrate traffic away from the current network of second-level domains registered in various TLDs, to the .CALVINKLEIN gTLD, which offers the potential to provide customers with a single, trusted online source for Calvin Klein brand products and services.

 

After consideration of the following factors: analysis of Calvin Klein’s existing domain name portfolio; internal analysis of marketing initiatives; and the fact that Calvin Klein will have full control over the number of registrations in the .CALVINKLEIN gTLD namespace, Calvin Klein reasonably assumes that the number of domain name registrations will be less than 10,000 in the first five years of operation.

 

18.2.4 Provide a complete description of the applicant’s intended registration policies in support of the goals listed above.

 

Calvin Klein currently intends for the .CALVINKLEIN gTLD to be used exclusively by Calvin Klein and its qualified subsidiaries and affiliates. Because of this condition, and because the Calvin Klein mark is a valuable brand, the protection of which is paramount to Calvin Klein, PVH gTLD Holdings intends to address registration and use requirements in the qualified subsidiary and affiliate agreements that exist between those qualified subsidiaries⁄affiliates and Calvin Klein, rather than in a domain name registration agreement.

 

Notwithstanding these concerns, PVH gTLD Holdings will incorporate all required ICANN consensus policies and other legal⁄policy requirements imposed on new gTLD applicants into the terms and conditions of the domain name registration agreements that each qualified subsidiary and affiliate of Calvin Klein will execute.

 

18.2.5 Will your proposed gTLD impose any measures for protecting the privacy or confidential information of registrants or users? If so, please describe any such measures.

 

As a global brand company, Calvin Klein respects the privacy of its customers and other consumers. The company employs a variety of physical, electronic, contractual, and managerial safeguards to protect personal and confidential information in its stores and on its websites. PVH gTLD Holdings will take similar precautions to protect registrant and user data associated with the .CALVINKLEIN gTLD. Furthermore, given that every domain name will initially be registered to Calvin Klein or its qualified subsidiaries and affiliates, Calvin Klein has a vested interest to ensure that accurate and current domain name information is readily available in connection with each .CALVINKLEIN domain name.

 

PVH gTLD Holdings will ensure that the operation of the .CALVINKLEIN gTLD will be consistent with PVH Corpʹs Statement of Privacy Principles, see http:⁄⁄www.pvh.com⁄privacy_policy.aspx.

 

In addition, PVH gTLD Holdings intends to incorporate contractual language in its Registry-Registrar Agreement (RRA) modeled after language that has been included in the template Registry Agreement and that has been successfully utilized by existing ICANN gTLD Registry Operators.

 

The template Registry Agreement states “Registry Operator shall (i) notify each ICANN-accredited registrar that is a party to the registry-registrar agreement for the TLD of the purposes for which data about any identified or identifiable natural person (“Personal Data”) submitted to Registry Operator by such registrar is collected and used under this Agreement or otherwise and the intended recipients (or categories of recipients) of such Personal Data, and (ii) require such registrar to obtain the consent of each registrant in the TLD for such collection and use of Personal Data. Registry Operator shall take reasonable steps to protect Personal Data collected from such registrar from loss, misuse, unauthorized disclosure, alteration or destruction. Registry Operator shall not use or authorize the use of Personal Data in a way that is incompatible with the notice provided to registrars.ʺ

 

18.2.6 Describe whether and in what ways outreach and communications will help to achieve your projected benefits.

 

As noted above, PVH gTLD Holdings’ driving factor in securing the .CALVINKLEIN gTLD in ICANN’s first round is precautionary in nature, and while Calvin Klein sees the potential for this gTLD to be able to play a large role in the company’s future online strategic initiatives, there are a number of unanswered questions concerning consumer recognition, the adoption of new gTLDs, and the response from search engines in the marketplace that will influence the usage of the gTLD and communication about that usage.

 

Notwithstanding this, Calvin Klein plans to start using .CALVINKLEIN domains initially as redirects to existing .COM domains. As the aforementioned questions are answered over time, Calvin Klein may decide to initiate a targeted, pilot rollout using select gTLD domains as primary addresses and, after careful analysis and study of this rollout, Calvin Klein may plan to engage in a broader initiative should the results be satisfactory and in accordance with the company’s overall strategic goals, both in the online space and in its retail store operations. The actual usage of .CALVINKLEIN domain names will dictate what public communications and consumer outreach is done to encourage navigation to .CALVINKLEIN domain names. This may include, but is not limited to, advertising, media outreach, in-store communications, email campaigns, etc.

 

18(c). What operating rules will you adopt to eliminate or minimize social costs?

18.3 What operating rules will you adopt to eliminate or minimize social costs (e.g., time or financial resource costs, as well as various types of consumer vulnerabilities)?

 

PVH gTLD Holdings’ proposed operating rules to initially limit registration to Calvin Klein and its qualified subsidiaries and affiliates will provide a trusted online environment for consumers to access Calvin Klein’s online content, and by default will minimize social costs. This verified ecosystem provides consumers with a single, trusted source for Calvin Klein retail goods with a substantially lower risk of fraud and⁄or scams. PVH gTLD Holdings does not anticipate consumer vulnerabilities. Therefore, one example of how costs are mitigated is that there is no need for other trademark and brand owners to defensively register second-level domains in the .CALVINKLEIN gTLD. In total, Calvin Klein’s expectation is that the usage of the .CALVINKLEIN gTLD will eliminate many of the vulnerabilities that Calvin Klein consumers face in the Internet today.

 

18.3.1 What other steps will you take to minimize negative consequences⁄costs imposed upon consumers?

 

PVH gTLD Holdings believes that the proposed operation of the .CALVINKLEIN gTLD as set forth in this application has no known negative consequences or cost implications to consumers. On the contrary, the proposed operation of this registry will likely lead to direct and quantifiable benefits to consumers.

 

18.3.2 How will multiple applications for a particular domain name be resolved, for example, by auction or on a first-come⁄first-serve basis?

 

PVH gTLD Holdings does not envision multiple applicants for the same domain name, as domain names will initially only be allocated to Calvin Klein and its qualified subsidiaries and affiliates, at least for the first three years of operation. PVH gTLD Holdings may expand upon the registration depending on evaluations so as to include Calvin Klein partners as potential registrants in the future.

 

18.3.3 Explain any cost benefits for registrants you intend to implement (e.g., advantageous pricing, introductory discounts, bulk registration discounts).

 

PVH gTLD Holdings does not envision any advantageous pricing, introductory discounts, or bulk registration discounts because these marketing⁄commercial initiatives are inconsistent with the mission and purpose of the .CALVINKLEIN gTLD as a trusted online source identifier. Moreover, it is the current intention of PVH gTLD Holdings to provide domain name registrations to Calvin Klein and its qualified subsidiaries and affiliates at no cost, though the company reserves the right to reevaluate this decision and may alter it in the future.

 

18.3.4 Note that the Registry Agreement requires that registrars be offered the option to obtain initial domain name registrations for periods of one to ten years at the discretion of the registrar, but no greater than ten years. Additionally, the Registry Agreement requires advance written notice of price increases. Do you intend to make contractual commitments to registrants regarding the magnitude of price escalation? If so, please describe your plans.

 

PVH gTLD Holdings is committed to providing the domain name registration periods set forth in the Registry Agreement. However, as noted above, as a branded gTLD, the registration and use of .CALVINKLEIN domain names are conditioned upon a separate relationship with Calvin Klein. Therefore, providing contractual commitments in a domain name registrant agreement regarding the magnitude of price escalations does not seem relevant or appropriate. Additionally, as noted above, the current business model envisions PVH gTLD Holdings initially providing domain name registrations to Calvin Klein and its qualified subsidiaries and affiliates at no cost.

 

PVH gTLD Holdings acknowledges that the current template Registry Agreement requires that the Registry Operator “shall offer registrars the option to obtain registration periods for one to ten years at the discretion of the registrar.” However, Calvin Klein and its qualified subsidiaries and affiliates, as the sole registrants within the .CALVINKLEIN gTLD will only be registering domain names on an annual basis. This is done to better account for costs on an annual basis as well as to provide for more concise financial statements in Question 46, i.e., no multi-year registration or deferred revenue.