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Domain parking has become commonplace for domain owners. There was once a time when owning a domain name was so costly that only the brave would do it. Now, it’s so cheap that people keep on buying domains without prior plans on what they would like to do with them.
Domain Parking Helps Monetize The Mess
This is where parking comes in. You point your unused domain’s name-servers to a parking provider (like NameDrive), who would then show commercial links on them, giving a cut of profits generated to you. Parking has become so common that it’s not working the way people want it to.
If you parked say a 100 domains, you would find that only a few actually pull in money, and even fewer pull in something worth counting. That’s the reason domain parking has become a business, with big players making money with an army of strategies they have perfected over the years, to surpass those who don’t yet have the mastery.
Domain Parking Does More Than That
Mostly, you would want to park those domains which you have planned on developing later. But major players buy domain with the sole intent of parking.
Parking a domain can result in indexing of your domain name, if not already done so. Some parking companies advertise your domain in many known and unknown ways. But it depends on the quality of your domains. Most of the traffic to your domain are the ones you’re already getting. Parking only provides as a (rather ineffective) means to monetize it.
Parking companies also allow you to put your domains for sale. If you’re not planning on using it, then selling it for a profit would be the right thing to do.
Making Sure That Parking Brings You Money
It’s very difficult to pin-point single domain names that would bring profitable traffic. It’s sometimes cheaper and easier to buy domains in bulk, see which bring in money, and discard/sell those which don’t.
Testing is something that cannot be avoided. A domain which you think might be useless would prove to be a winner and vice versa. So, primarily, you’d want to acquire domains already getting traffic, from forums where people are willing to sell them. Visit domain websites like Sedo and SnapNames, and see what they have to offer. You will need to research and work hard to find winners, but it pays off in the end.