.qvc New gTLD Application

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New gTLD Application Submitted to ICANN by: QVC, Inc.

String: qvc

Originally Posted: 13 June 2012

Application ID: 1-877-83686

 

Applicant Information

 

  1. Full legal name

QVC, Inc.

 

  1. Address of the principal place of business

1200 Wilson Drive

Sudio Park, Mail Code 207

West Chester Pennsylvania 19380

US

 

  1. Phone number

+1 484 701 1000

 

  1. Fax number

+1 484 701 1021

 

  1. If applicable, website or URL

http:⁄⁄www.qvc.com

 

Primary Contact

 

6(a). Name

Mr. Michael Adams

 

6(b). Title

Mayer Brown LLP

 

6(c). Address

 

6(d). Phone Number

+1 312 701 8713

 

6(e). Fax Number

+1 312 706 9139

 

6(f). Email Address

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

 

Secondary Contact

 

7(a). Name

Mr. Sean Dwyer

 

7(b). Title

Assistant General Counsel

 

7(c). Address

 

7(d). Phone Number

+1 484 701 6286

 

7(e). Fax Number

+1 484 701 1021

 

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

Corporation

 

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

Delaware, United States of America

 

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.

Liberty QVC Holding, LLC

 

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

Not applicable

 

Applicant Background

 

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

Liberty QVC Holding, LLC Sole Shareholder

 

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

Dan OʹConnell Treasurer

Larry Hayes Secretary

Mike George President

 

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

Liberty QVC Holding, LLC 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.

qvc

 

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.

Based on extensive experience in operating a robust e-commerce platform, including operation of the www.QVC.com domain name, Applicant is not aware of any rendering, operational, or end-user issues or problems that would impact the applied-for .QVC string.  To date, Applicant has not experienced any significant or abnormal rendering, operational, or end-user issues with the www.QVC.com domain name.  Like the characters in the applied-for .QVC string, the characters in Applicant’s www.QVC.com domain name are from the ISO basic Latin alphabet.  In light of the current resolution and rendering success of an identical “QVC” string, Applicant does not anticipate any rendering or resolution issues with the .QVC string.  

 

Furthermore, Applicant has consulted with its selected backend provider, Neustar, Inc. (ʺNeustarʺ) which has successfully launched a number of new gTLDs over the last decade.  Like Applicant, Neustar does not foresee any rendering or operational problems concerning the .QVC string.  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.

 

Finally, in the unlikely event that any rendering or operational issues occur, Applicant will work with Neustar to take all steps necessary to resolve those issues.

 

  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.

18(a) Mission⁄Purpose

 

QVC is one of the largest multimedia retailers in the world.  Broadcasting live 24 hours a day, 364 days a year, QVC markets and sells a wide variety of consumer products in the U.S. and several foreign countries primarily through live televised shopping programs and via the Internet through its U.S. and international websites.  Due to its global operations, QVC is recognized worldwide for the quality of the products and services offered in connection with the QVC trademark.  In 2011, QVC’s net revenue totaled approximately $8.3 billion, which resulted in net income of more than $1.1 billion.   

 

QVC programming is divided into segments that are televised live with a host who presents the merchandise, sometimes with the assistance of a guest who is knowledgeable about the merchandise, and conveys product information to QVC’s viewers.  Broadcasting around the globe, QVC’s shopping program reaches millions of consumers each day.  In the United States, QVC’s shopping program is telecast live 24 hours a day to approximately 100 million homes.  Outside of the United States, QVC’s shopping network reaches approximately 24 million households in the United Kingdom and the Republic of Ireland; approximately 40 million households throughout Germany and Austria; approximately 26 million households in Japan; and approximately 20 million households in Italy.  Moreover, QVC’s global reach continues to grow.  For example, QVC recently announced plans to expand into China.   

 

QVC’s websites offer a complement to televised shopping by allowing consumers to purchase a wide assortment of goods that were previously offered on the QVC television programs, as well as other items that are available from QVC only via its websites.  QVC.com ranked above the standard of excellence in Internet retailer customer satisfaction according to the Forsee 2011 Holiday E-Retail Satisfaction Index.  In the seven year history of the index, QVC.com has consistently ranked as a top 5 Internet retailer in terms of customer service, which is a leading indicator of increased consumer spending, loyalty, and positive word-of-mouth recommendations.  For the fourth year in a row, QVC secured a top ten spot in the NRF Foundation⁄American Express Customers’ Choice survey.  The survey gauges consumer attitudes toward retailers’ customer service, promotes best practices in customer service and recognizes retailers providing excellent customer service.  In April 2011, as well as the July 2011 Consumer Reports Magazine and the Consumer Reports Buying Guide 2011, Consumer Reports readers named QVC sixth Best Website for Computer Retailers.

 

For the year ended December 31, 2011, approximately 37% of QVC’s U.S. revenue and approximately 31% of QVC’s total revenue was generated from sales of merchandise ordered through its various websites and mobile applications.  QVC expects that Internet sales will continue to grow in the coming years.  Recognizing the vast potential of the .QVC gTLD as a trusted namespace and its ability to enhance QVC’s brand and its already robust e-commerce platform, QVC has decided to file this application and bring the .QVC gTLD to market.  To this end, the intended mission and purpose of the .QVC gTLD is to serve as a trusted and intuitive namespace for consumers to view QVC products, services, and information, interact with peers regarding QVC offerings, and purchase authentic QVC products and services at trusted and secure sites.  

 

QVC is still analyzing potential options for the type of second-level domain names that it will use within the .QVC gTLD in order to best develop a namespace that will foster an intuitive, trusted, safe and marketable environment for Internet users and consumers that will provide them with authoritative content and up-to-date brand information.  To achieve this goal of a secure and trusted environment, QVC will operate the .QVC gTLD as a closed single-registrant registry to ensure that all second-level domain names in the gTLD will be controlled by QVC and its affiliates.  

 

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

18(b) Benefits

 

18(b).1 Consumer Benefits and User Experience

 

The intended mission and purpose of the .QVC gTLD is (1) to serve as a trusted and intuitive namespace for consumers and Internet users seeking to review information relating to, and purchase authentic products and services from, QVC and its affiliates; and (2) to provide enhanced e-commerce security by operating a closed single-registrant registry.  

 

The .QVC gTLD will also benefit from the fame of the QVC brand that has developed through years of prestigious use in the marketplace.  Indeed, unlike most generic gTLDs that ICANN has approved over the last decade, QVC and its parent companies are established international companies with the ability to leverage their existing network of businesses and customers in the retail space to increase the profile of the .QVC gTLD.  While most registries have primarily depended on ICANN-accredited registrars to market and promote their gTLDs and fund their operations, QVC provides the ability to leverage its large market share, strong reputation, and existing relationships with various consumers and businesses in the retail industry.

 

QVC believes that the proposed .QVC gTLD has the potential to offer at least the following benefits to Internet users and consumers:

 

1) Establish a trusted source of information and an online marketplace for the millions of consumers that purchase QVC’s authentic goods and services on the Internet;

 

2) Protect consumers by providing enhanced security for e-commerce transactions as a result of QVC’s operation and control of .QVC as a closed single-registrant registry;

 

3) Provide consumers with short and memorable domain names that will facilitate their identification of critical information and products online;

 

4) Minimize the social costs and harm to Internet users by ensuring fewer incidents of phishing and malware often associated with typographical errors existing in the top-level domain name space;

 

5) Minimize the social costs and harm to consumers by giving them access to authoritative information and authentic products via a trusted and reputable namespace in .QVC.

 

6) Minimize the harm to third-party rights holders within the .QVC space, if any, by implementing all of ICANN’s consensus policies and other Rights Protection Mechanisms (RPMs).

 

18(b).2  Consumer Protection Mechanisms

 

By operating a closed single-registrant registry, QVC will be able to ensure that it or its affiliates are the sole source of product information within the .QVC space.  In addition, as the registry operator, QVC will be able to protect consumers by providing enhanced security for online transactions.  Moreover, based on QVC’s commitment to (and established track record in) providing a safe ecosystem for consumers and Internet users through its existing e-commerce efforts, QVC intends to provide best-in-class consumer protection mechanisms that will evolve over time (such as its Security Policy attached to this application in response to Question 30).  While these are the initial policies that QVC will adopt for the operation of the .QVC gTLD, it recognizes that protecting the safety of consumers in the .QVC namespace will require diligence and a continued evolution of the policies, and QVC is committed to continuously monitoring and adapting its policies to create the highest level of consumer and user safety within the namespace.

 

While some of ICANN’s new gTLDs have previously been the subject of claims regarding increased spam and phishing activities, .QVC from its launch will be a closed single-registrant registry and a trusted source of QVC’s authentic goods and services for consumers.  QVC looks to follow its established and proven business practices—such as the Security Policy attached to this application in response to Question 30—and to work with government agencies to create a marketplace with safeguards designed to minimize fraud and other illegal activity.

 

18(b).3 User Data

 

Because every second-level domain name will be registered by QVC or its affiliates, no third-party user data will be associated with the .QVC gTLD, and QVC will have a vested interest in ensuring that accurate and current domain name information is readily available in connection with each .QVC second-level domain name.  Notwithstanding the above, as one of the largest multimedia retailers in the world with operations in many legal jurisdictions and on the Internet, QVC will employ a variety of physical, electronic, contractual, and managerial safeguards, which will be no less restrictive than the precautions currently taken on QVC’s websites.   

 

To further protect its own data, QVC intends to incorporate contractual language in its registrar agreements modeled after language in the template Registry Agreement which has been successfully utilized by existing ICANN gTLD registry operators.  In addition, QVC shall take reasonable steps to protect its data from loss, misuse, unauthorized disclosure, alteration or destruction.  QVC shall not use or authorize the use of its data in any way that is incompatible with the notice provided to registrants, ICANN policies, or applicable law.

 

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

18(c) Operating Rules

 

18(c).1 Rules to Eliminate⁄Minimize Social Costs

 

Over the past decade, ICANN has approved numerous new gTLDs, which have historically been classified as either generic (.info, .biz, .name) or sponsored (.asia, .coop, .travel, .jobs, etc.) gTLDs.  It is anticipated that in this new gTLD application round, many large international corporations will take the opportunity to register generic strings as top-level domains.  This is a new approach to the operation of a gTLD, and the business plan relies on three important distinctions between it and the gTLDs that were approved in the 2001 and 2004 rounds of expansion.

 

First, there are now approximately ten small gTLDs that have fewer than 300,000 registrations and that offer clear models of successful operation; second, at least three experienced technical backend suppliers (i.e., SRS⁄DNS services) are in place; and third, with many new gTLDs, well-understood registry operations will be fully supported by an established and financially sound business operating a gTLD in addition to and as an extension of its primary business.

 

Against this backdrop, the .QVC gTLD minimizes the risk and uncertainty of prior gTLDs by drawing upon more than a decade of gTLD industry development and by relying upon the established online track record of QVC.

 

QVC believes that the safeguards set forth in the Applicant Guidebook and the RPMs referenced in Section 18(b) are primary drivers to minimize potential negative social costs.

 

Moreover, QVC intends to operate a closed single-registrant registry, which will ensure that only QVC or its affiliates are entrusted to register second-level domain names.  This operating rule to prevent all third-party registrations will help to establish this trusted online environment for consumers to access authoritative online content directly from QVC or its affiliates, and by default, will minimize social costs.  This verified ecosystem will also provide consumers with a single, trusted source of QVC’s goods, services, and information with a substantially lower risk of fraud and malicious third-party conduct.

 

18(c).2 Other Steps to Minimize Negative Consequences

 

QVC believes that the proposed operation of the closed single-registrant .QVC gTLD as set forth in this application has minimal known negative consequences or cost implications to consumers.  To the contrary, the proposed operation of this registry will likely lead to direct and quantifiable benefits for consumers.

 

Due to the closed single-registrant nature of the .QVC gTLD, there will be no cybersquatting or other malicious behavior in the TLD since registration will be limited to QVC and its affiliates.  Following the core business ethics QVC has established over more than 25 years of operations, including a robust intellectual property protection program, it will be able to provide real value to consumers and minimize any potential negative consequences and costs.

 

Similarly, as the operator of a closed single-registrant registry, QVC does not anticipate multiple applicants for the same second-level domain name.  However, if such instances should arise in the future, QVC believes that a phased equitable allocation approach modeled after those that ICANN has previously approved in connection with numerous ICANN Registry Service Evaluation Process (“RSEP”) requests would be the most prudent path forward (e.g., RFP, auction, and then first-come, first-served).

 

Finally, QVC does not envision any advantageous pricing, introductory discounts or bulk registration discounts for second-level domains because these marketing⁄commercial initiatives are not applicable to the mission and purpose of the closed single-registrant .QVC gTLD.