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I was going to title this thread “How to Make a Million Dollars with Domain Parking” but I figured that would make a lot of people think it was click bait so I’m taking a different approach HAHA.
The reason I’m taking some time to write this (and more importantly taking up your valuable time reading it) is I get really tired of everyone saying Parking is Dead. Let’s see if you know one of these people:
Before I go any further, I’m not going to tell you the tricks to find the right domain name that makes money and I’m not going to sell you anything nor offer consulting services for the simple selfish reason that it increases competition. This is not a business of “the more, the merrier” – that will clue you in on why you don’t see in the forums how to really do it (unless they want to sell you something). Instead I want to give you my experience with domain parking (since 2007 but more importantly in recent months) and why I think it’s still a viable business today for a select few.
So let’s take away the mystery and talk about it being a serious business. Like any true business start-up, you need capital, and with domain parking today you need lots of it. I’m sure I’ll get a lot of naysayers but one thing that has become extremely difficult is drop catching solely for parking domain monetization. It’s basically dried up – too many players and companies like DC dominating the market. Put another way, you’re basically out of luck finding that domain that’s going to make you hundreds or thousands of dollars through your own drop catching – maybe if you’re lucky you can cover renewal fees, but that’s about it (yes, I know there are exceptions…).
Buying someone else’s portfolio is out for most of us as well. With publishers demanding 30x or more of monthly revenue up front, and the requirement to purchase blocks of domains costing $xxx,xxx, isn’t worth it to me. And the traffic for many of these domains will die before you can break even (or worse, the traffic was faked and you’re screwed).
So that leaves you with the auctions which are far more competitive than years ago. And since domain owners have gotten smarter and registrars have made greater efforts to notify owners of upcoming expirations, what is leftover to go to auction pales in comparison to the traffic rich domains of the past. Those of us who battle in the daily auction houses fight against big conglomerates like HD for bread crumbs in most cases. Just try to find an expired government site anymore. And nothing pisses off a domain investor more than some lazy guy who does zero research and waits until they see a lot of people bidding on a domain so they can jump in at the last minute or someone who trolls the bids to drive up the price just for fun.
So that means the serious domain investor is going to pay more for these domains, and the price goes up every month it seems with longer time to recoup your investment. But in spite of these odds, one can still find domains that can recover your ROI in 12-24 months (or sooner if you’re lucky). That’s where the capital comes in. A serious investor knows that ROIs purchased at the auction house are not going appear for a year or two, if at all. Or to put it another way, if you think you’re going to get a domain at auction and start making a profit in a month, you’re probably wrong (or have a better system than I do!).
So after accepting the truth that your capital investment will be tied up for potentially years with a risk of losing some or all of it, there is the research aspect. If there are over 100,000 domains expiring every day (depending on TLD, gTLD, ccTLD), 7 days a week, 365 days a year, how would anyone know which ones to bid on. As I said before, I’m not going to tell you how but to say that investors in this space spend hours every day doing research in preparation for the next auction. To clue you in, that does not simply mean throwing some filters on expireddomains dot net and going after those (no disrespect to this great free service). If you don’t have access to resources to develop APIs to multiple link traffic source sites, develop some AI techniques, have a full understanding of keyword EPCs, prediction models to forecast the longevity of traffic through analytics, and a myriad of other considerations, your risk of losing capital rises exponentially.
Let’s say you have the capital and willing to risk it, and through trial and error have developed good algorithms to narrow your search and go after the types of domains that have historically yielded results – you’re done right? No, the hard work really begins now! You have to optimize your domains and manage your portfolio. I sometimes spend more time optimizing than all the other tasks. What do I mean by optimization? Some parking companies have contractual relationships to allow the parking provider to request related search terms that G will use. And yes, even that is shifting as G will now take your keywords as a “suggestion” and may use some or all of them depending on the historical traffic that has gone to that site before you bought it (using their massive data warehouses). Why go through all this trouble and just let G auto-optimize? Because in many cases it can take a lot of traffic before they get the terms right, IF they get it right, and your best opportunity to mitigate ROI loss is in first 60 days you park it before traffic drop (unless you have strong backlinks or are lucky enough to have a type-in or typo domain).
I don’t write all of this to turn you off to parking, but to say that gone are the days when anyone with $100 can buy some domains from their drop catching program, change the name servers and make money. But that isn’t to say parking today is not a viable business – just far more sophisticated.
One question often asked is “how much money can I make in parking?”. That’s a loaded question. I think the better question to ask is “what is my target annual profit I want to achieve in this business and when can I get there?”. Profit in parking would be your gross parking revenues less any chargebacks (I rarely have any, but it’s still lowers your revenue), less the cost of the domain, less costs to run the business (your time, subscription costs, IT charges, renewal fees and so on), less the predictive loss ratio of declining traffic, taxes, UDRPs (depends on your risk tolerance), and probably a few other things I can’t think of right now.
I’m not going to give you my annual profit target; I don’t want this to go on my permanent internet record HAHA.
I already know what you’re thinking right now…. “Yeah, talk is cheap – show me the proof”. I hear you. Just to let you know, there are many in this forum that are serious in this business and have no incentive to show any type of stats, myself included. It raises too many suspicions and follow-up questions – how many domains, what kind of domains, what kind of keywords, how long did it take, the numbers are fake, you name it. Who wants to be raked over the coals with all this grief? So contrary to my gut reaction not to show anything like most of the other guys, I would rather put myself out there to show that Parking is real, at least for my situation it is. So I attached a screenshot of stats for the past several months, and no they’re not photoshopped, whether you want to believe it or not – doesn’t matter to me.
https://imagizer.imageshack.com/img924/3965/PK0lIe.png
You’ll notice my traffic and revenues rising every month. So obviously I’m in a growth mode. To answer your next question on how long did it take to get where I am right now, let me give you a little personal history… In the late 2000’s I was making serious revenues with parking, but I got involved in other ventures and didn’t have the time to devote in keeping up with it. So I just let my domain traffic die a slow death for years. Eventually I was tired of running businesses and working 90 hours a week so I went back to the rat race, being respectable and making a salary in a normal job. What I quickly discovered was I had a lot of free time to think about other sources of revenue, and of course parking like the old days seemed like a good place to start. But I kept asking myself, “would it still work today?”.
So April of last year with the pandemic driving more people online and my employer telling us all to work from home, it became an opportune time for me to see if my old methods still worked. For the first couple of months I wasn’t buying many domains, but I quickly saw that with some tweaking and serious commitment of time the process still worked – worked back then and works now. Crazy. They were saying parking was dead back in 2010, maybe earlier and here it is in 2021 and it still works. Weird.
Let me be perfectly frank. I’m not bragging about this – far from it. In fact, depending on which side of the revenue fence you’re on, you might say what I’m achieving is peanuts to what you’re making, but I’m happy with my results so far. Long ways to go to meet my net profit target, but I’m confident I’ll get there.
I’m sure I’ll hear from a lot of people telling me “you’ll never make any real money with parking – selling or leasing is the only way, or developing your website with affiliates or adsense, or zero click direct traffic advertisers, or smart traffic switching”, you name it. And I say to all of that is if it works for you – great! I’m not talking about that – I’m just making a point about domain parking in today’s world, pure and simple. I enjoy it and you’ll never convince me it’s dead.
So let the haters weigh in but at least I got this off my chest…Domain Parking is real folks!
P.S. Please don’t IM/DM/PM me trying to sell your traffic domain, join a JV, try a new monetization service, ask for my methods, more details on my portfolio, etc., etc. I will not respond – no offense.
The reason I’m taking some time to write this (and more importantly taking up your valuable time reading it) is I get really tired of everyone saying Parking is Dead. Let’s see if you know one of these people:
- They never tried it – just like to troll the forums….
- They took 100 names they had lying around desperately trying to sell, and figured they’d try parking and it made $0.05 in two months.
- They have a domain portfolio from 5 years ago without ongoing reinvestment and watched the traffic, EPC, CTR and revenue die over time.
- They believe the registrars are faking the traffic stats at the auctions, the parking companies are keeping all the clicks, reporting falsified data, stealing your money and think it’s all a scam.
- They tried to game the system with fake traffic or 100 other methods (that I won’t get into) and got their accounts and domains banned (from DRID tracking), and now want to seek revenge.
- They have an inherent belief that domain parking is for “bottom feeders” of the domain industry and should be avoided at all costs.
Before I go any further, I’m not going to tell you the tricks to find the right domain name that makes money and I’m not going to sell you anything nor offer consulting services for the simple selfish reason that it increases competition. This is not a business of “the more, the merrier” – that will clue you in on why you don’t see in the forums how to really do it (unless they want to sell you something). Instead I want to give you my experience with domain parking (since 2007 but more importantly in recent months) and why I think it’s still a viable business today for a select few.
So let’s take away the mystery and talk about it being a serious business. Like any true business start-up, you need capital, and with domain parking today you need lots of it. I’m sure I’ll get a lot of naysayers but one thing that has become extremely difficult is drop catching solely for parking domain monetization. It’s basically dried up – too many players and companies like DC dominating the market. Put another way, you’re basically out of luck finding that domain that’s going to make you hundreds or thousands of dollars through your own drop catching – maybe if you’re lucky you can cover renewal fees, but that’s about it (yes, I know there are exceptions…).
Buying someone else’s portfolio is out for most of us as well. With publishers demanding 30x or more of monthly revenue up front, and the requirement to purchase blocks of domains costing $xxx,xxx, isn’t worth it to me. And the traffic for many of these domains will die before you can break even (or worse, the traffic was faked and you’re screwed).
So that leaves you with the auctions which are far more competitive than years ago. And since domain owners have gotten smarter and registrars have made greater efforts to notify owners of upcoming expirations, what is leftover to go to auction pales in comparison to the traffic rich domains of the past. Those of us who battle in the daily auction houses fight against big conglomerates like HD for bread crumbs in most cases. Just try to find an expired government site anymore. And nothing pisses off a domain investor more than some lazy guy who does zero research and waits until they see a lot of people bidding on a domain so they can jump in at the last minute or someone who trolls the bids to drive up the price just for fun.
So that means the serious domain investor is going to pay more for these domains, and the price goes up every month it seems with longer time to recoup your investment. But in spite of these odds, one can still find domains that can recover your ROI in 12-24 months (or sooner if you’re lucky). That’s where the capital comes in. A serious investor knows that ROIs purchased at the auction house are not going appear for a year or two, if at all. Or to put it another way, if you think you’re going to get a domain at auction and start making a profit in a month, you’re probably wrong (or have a better system than I do!).
So after accepting the truth that your capital investment will be tied up for potentially years with a risk of losing some or all of it, there is the research aspect. If there are over 100,000 domains expiring every day (depending on TLD, gTLD, ccTLD), 7 days a week, 365 days a year, how would anyone know which ones to bid on. As I said before, I’m not going to tell you how but to say that investors in this space spend hours every day doing research in preparation for the next auction. To clue you in, that does not simply mean throwing some filters on expireddomains dot net and going after those (no disrespect to this great free service). If you don’t have access to resources to develop APIs to multiple link traffic source sites, develop some AI techniques, have a full understanding of keyword EPCs, prediction models to forecast the longevity of traffic through analytics, and a myriad of other considerations, your risk of losing capital rises exponentially.
Let’s say you have the capital and willing to risk it, and through trial and error have developed good algorithms to narrow your search and go after the types of domains that have historically yielded results – you’re done right? No, the hard work really begins now! You have to optimize your domains and manage your portfolio. I sometimes spend more time optimizing than all the other tasks. What do I mean by optimization? Some parking companies have contractual relationships to allow the parking provider to request related search terms that G will use. And yes, even that is shifting as G will now take your keywords as a “suggestion” and may use some or all of them depending on the historical traffic that has gone to that site before you bought it (using their massive data warehouses). Why go through all this trouble and just let G auto-optimize? Because in many cases it can take a lot of traffic before they get the terms right, IF they get it right, and your best opportunity to mitigate ROI loss is in first 60 days you park it before traffic drop (unless you have strong backlinks or are lucky enough to have a type-in or typo domain).
I don’t write all of this to turn you off to parking, but to say that gone are the days when anyone with $100 can buy some domains from their drop catching program, change the name servers and make money. But that isn’t to say parking today is not a viable business – just far more sophisticated.
One question often asked is “how much money can I make in parking?”. That’s a loaded question. I think the better question to ask is “what is my target annual profit I want to achieve in this business and when can I get there?”. Profit in parking would be your gross parking revenues less any chargebacks (I rarely have any, but it’s still lowers your revenue), less the cost of the domain, less costs to run the business (your time, subscription costs, IT charges, renewal fees and so on), less the predictive loss ratio of declining traffic, taxes, UDRPs (depends on your risk tolerance), and probably a few other things I can’t think of right now.
I’m not going to give you my annual profit target; I don’t want this to go on my permanent internet record HAHA.
I already know what you’re thinking right now…. “Yeah, talk is cheap – show me the proof”. I hear you. Just to let you know, there are many in this forum that are serious in this business and have no incentive to show any type of stats, myself included. It raises too many suspicions and follow-up questions – how many domains, what kind of domains, what kind of keywords, how long did it take, the numbers are fake, you name it. Who wants to be raked over the coals with all this grief? So contrary to my gut reaction not to show anything like most of the other guys, I would rather put myself out there to show that Parking is real, at least for my situation it is. So I attached a screenshot of stats for the past several months, and no they’re not photoshopped, whether you want to believe it or not – doesn’t matter to me.
https://imagizer.imageshack.com/img924/3965/PK0lIe.png
You’ll notice my traffic and revenues rising every month. So obviously I’m in a growth mode. To answer your next question on how long did it take to get where I am right now, let me give you a little personal history… In the late 2000’s I was making serious revenues with parking, but I got involved in other ventures and didn’t have the time to devote in keeping up with it. So I just let my domain traffic die a slow death for years. Eventually I was tired of running businesses and working 90 hours a week so I went back to the rat race, being respectable and making a salary in a normal job. What I quickly discovered was I had a lot of free time to think about other sources of revenue, and of course parking like the old days seemed like a good place to start. But I kept asking myself, “would it still work today?”.
So April of last year with the pandemic driving more people online and my employer telling us all to work from home, it became an opportune time for me to see if my old methods still worked. For the first couple of months I wasn’t buying many domains, but I quickly saw that with some tweaking and serious commitment of time the process still worked – worked back then and works now. Crazy. They were saying parking was dead back in 2010, maybe earlier and here it is in 2021 and it still works. Weird.
Let me be perfectly frank. I’m not bragging about this – far from it. In fact, depending on which side of the revenue fence you’re on, you might say what I’m achieving is peanuts to what you’re making, but I’m happy with my results so far. Long ways to go to meet my net profit target, but I’m confident I’ll get there.
I’m sure I’ll hear from a lot of people telling me “you’ll never make any real money with parking – selling or leasing is the only way, or developing your website with affiliates or adsense, or zero click direct traffic advertisers, or smart traffic switching”, you name it. And I say to all of that is if it works for you – great! I’m not talking about that – I’m just making a point about domain parking in today’s world, pure and simple. I enjoy it and you’ll never convince me it’s dead.
So let the haters weigh in but at least I got this off my chest…Domain Parking is real folks!
P.S. Please don’t IM/DM/PM me trying to sell your traffic domain, join a JV, try a new monetization service, ask for my methods, more details on my portfolio, etc., etc. I will not respond – no offense.
