How to Make Money with Domain Parking

You’re planning to build a website and already found the perfect name for your brand. So, you buy domain names that represent the said brand. It turns out the project needs to be delayed, leaving you with several unused domain names.

Consider making a passive income with domain parking instead of keeping those domains vacant. Doing so will help cover the domain registration fees until it’s time to connect them to a server or sell them at a higher price.

Keep reading to understand how domain parking works. We will also provide the best practices to make money with this activity.

What is Domain Parking?

Domain parking is the practice of buying a domain name without linking it to a website or an email service. Instead, the unused domain is parked in a domain parking host. 

Many domain registrars and hosting providers offer a free domain parking service if you buy a domain or a hosting plan from them. Alternatively, park your domains with domain parking providers like ParkingCrew or Bodis.

Why Invest in Domain Parking

Parking an unused domain is an excellent way to reserve its ownership without purchasing web or email hosting. The domain registration fee is the only cost you need to pay, saving you money until it’s time to use or sell it.

This practice also gives you control over the parked page’s content when visitors access the said domain. Otherwise, it will be blank or present the default “This webpage is not available” error message.

Depending on the web host or registrar, the domain parking service may have additional security measures and integration with ad networks. You can turn the page into advertising space and make passive income with it. 

Another way to utilize a parked domain is to redirect visitors to another domain of your choice. Securing domains similar to your brand name and redirecting their traffic to the main site is an excellent way to boost search engine optimization (SEO).

From a legal standpoint, domain parking can help you combat cybersquatting. The risk of having someone else profiting from domains similar to your trademark is exceptionally high if it’s popular in the market. 

Phishing and malware distribution are other effects of cybersquatting on your domain and brand. This illegal activity can harm your brand’s reputation, causing financial losses in the long run. 

How to Make Money with Domain Parking

Since not all parked domains can generate revenue, it’s essential to know which ones to invest in. Here are some tips for choosing and parking domains for passive income.

1. Choose Brand New Domain Names

Many investors buy new domains with a future investment value and keep them until they find the right buyer. Domains that sell for good prices are of high quality ‒ they’re spelled correctly, contain trending keywords, and are easy to remember.

Parking new domains during the vacant period will help cover up the registration fee. Plus, having the domains accessible on the web allows them to generate organic traffic, increasing their value.

Keep in mind that premium domains tend to be pricey due to the depleted domain name market. Calculating a domain’s return on investment (ROI) will provide better insights into its profitability, helping you make a better financial decision.

2. Park Multiple Domain Names

While managing one domain is easier, most domain hosting providers prohibit users from promoting parked domains. For this reason, parking multiple domains will create more streams of revenue.

Some domain parking providers allow you to set keywords for niche targeted advertising. If you have access to this feature, make sure to pick keywords that align with your domain’s niche. 

For example, if your domain contains the word “flower,” match it with the keywords “plant” and “garden.” Doing so will prompt the domain parking page to display ads related to the botany niche.

3. Pick Misspelled Domain Names

If you don’t have the budget to secure premium domains, try purchasing the misspelled ones. Buying the plural form of domains with trending keywords will also work, as you’ll be counting on people visiting your parked page by accident.

For example, buy either “platn.com” or “plants.com” as the misspelled version of “plant.com.”

That said, make sure to avoid domains similar to registered trademarks. Otherwise, you’ll be penalized for trademark infringement.

4. Avoid Blacklisted Names

A domain might get blacklisted by Domain Name System Blacklists if it sent spam or malicious emails in the past. The lists are shared between email and web hosting providers as well as internet service providers (ISP), allowing them to block traffic and messages sent from blacklisted domains.

For this reason, blacklisted domains have almost zero value of investment due to their inability to get traffic.

Make sure to check whether a domain is on a blacklist before purchasing it from an auction. You can verify a domain’s health status using a domain health checker like Spamhaus or MX Toolbox.

5. Choose Search Engine Friendly Domain Names

Driving organic traffic to parked domains requires good SEO practices. Most search engines no longer see domain names as a ranking factor. However, the algorithms will still penalize over-optimized domains that look spammy, decreasing their chances of ranking.

Therefore, opting for SEO-friendly domains will help to drive organic traffic to your parked page.

Here are some tips for picking an SEO-friendly domain name:

• Avoid keyword stuffing ‒ using too many keywords you want to rank for will earn you a Google penalty.
• Keep it short and straightforward ‒ make sure the name is easy to spell and read.
• Avoid hyphens and numbers ‒ they’ll harm the domain’s memorability and make it look spammy.
• Use your brand name ‒ this is particularly important if you’re planning to use the domain for your business.

6. Consider Expired Domain Names

Some expired domains have a better investment value than brand new domains. They generated traffic and backlinks in the past, meaning that they already have SEO value prior to their sale.

Plenty of registrars and domain actions sell expired domains that have passed their pending delete period. Some of the most popular places to check include Sedo and Dynadot.com.

When looking for expired domains, use a WHOIS Lookup tool and a backlink checker to verify a domain’s health, history, and backlink profile. Make sure your chosen domains don’t have odd records that may indicate theft.

Conclusion

Generating revenue from domain parking isn’t a quick process. It can take months and even years to make significant income from this side business idea.

However, with the right domain and optimization practices, it can become a profitable business in no time. If you secure premium domains, you can make even more money by selling them at a higher price.

We hope this article answers everything you want to know about domain parking. Good luck.