GoDaddy, the largest domain registrar in the world, has undergone significant changes in its business approach. The company now focuses on empowering small business owners through technologies that help them build websites, manage their online presence, and engage with customers. In addition to its core domain business, GoDaddy has ventured into artificial intelligence with the launch of GoDaddy Airo, an AI-powered service to help customers automatically create websites, logos, emails, and social media content. CEO Aman Bhutani emphasizes that the company’s primary goal with AI is to ensure value for customers before focusing on monetization.
GoDaddy serves a customer base primarily comprised of small businesses, with 90% having 10 employees or less. These businesses may not have extensive IT departments to adopt new technology, making the adoption of AI tools a crucial test for everyday businesses. Despite initial hesitance from some customers, many quickly realize the value of AI once they try it. Over 1 million GoDaddy customers have explored the AI tools since their launch, with more than half engaging with the features in some way. GoDaddy’s internal use of AI includes automating processes like performance review summaries and utilizing an AI assistant called GABI for customer support agents, managed through a unified API to maintain control.
GoDaddy’s financial performance has seen significant improvement over the past decade, with revenue increasing from $1.13 billion to $4.25 billion. The company’s expansion into higher-margin products and services has contributed to this growth, with a swing from a $132 million operating loss in 2013 to a $547 million operating profit in 2023. However, this growth has brought increased scrutiny, as evidenced by a recent antitrust suit alleging unfair practices related to GoDaddy’s dominance in domains. The company now considers a broad set of competitors, including tech giants like Microsoft, Amazon, and Google, as well as domain-related companies and popular platforms like Stripe, PayPal, TikTok, and Facebook parent Meta.
GoDaddy’s executive team, including CEO Aman Bhutani, is based in the Seattle area at the Carillon Point complex on the Kirkland waterfront, despite the company’s official headquarters being in Tempe, Arizona. The Kirkland office was established a decade ago under former CEO Blake Irving, with over 430 of its 6,000 employees now based in Washington state. The company allows teams to establish remote work policies, reflecting a trend towards hybrid work arrangements. Bhutani, a seasoned tech and business leader who previously served as Expedia president in Seattle, finds remote work to be effective for GoDaddy’s operations, despite team members being located in different regions.
In the face of competition from a diverse set of tech companies, GoDaddy continues to evolve its business strategy to meet the needs of small business owners. By leveraging AI technologies to empower customers in creating and managing their online presence, GoDaddy aims to provide value before focusing on monetization efforts. The company’s move into higher-margin products and services has driven significant financial growth, positioning it as a major player in the tech industry. With a focus on innovation and customer empowerment, GoDaddy remains committed to supporting small businesses on their digital journey.
