What is a Parked Domain? And How to buy a Parked Domain?

Posted on May 16th, 2022

A domain name is a valuable asset for a website or brand in this digital world. Choosing the best domain name is the first step of developing a website. The quality of a domain name will participate in a significant part of our website’s success. In simple words, the domain name will be your online identity, and we have to choose a domain that represents our brand and its values as much as possible. Having a perfect domain name is a simple process these days. But, as we discussed, the domain name is a practical criterion for a brand or a website. It’s hard to have a perfect domain name because once a domain is taken or bought, it’s gone, and now we have to choose or find another domain name. The quality domains are always in demand, and they go fast as eyes blink sometimes. 

Once a perfect domain name is gone, we can still buy it from the domain holder. We can contact them and negotiate the price if you’re willing to pay more. It’s an idea if any other person has already purchased your domain name. But what if you’re lucky enough to find a perfect domain and it’s available. So, it’s a great idea to purchase a domain name as soon as possible. It doesn’t matter whether you’re going to use that domain. Or you don’t have a website to connect to it. This scenario can be a perfect example for explaining a parked domain. Parked Domains are essential and valuable concepts for both Web developers and newbies. This article will provide detailed information about the parked domain and related topics like the importance of parked domains and how to purchase parked domains. 

What is a Parked Domain?

The packed domain is a registered domain that is not connected to any online services like websites or email hosting services. In simple words, a parked domain is the domain that is currently not in use or reserved for future use. We can easily buy domain names with the help of hosting providers and domain name service providers like Namecheap, Bluehost, Siteground, etc. the next step for a website is to connect it with any hosting space or hosting servers. Hosting servers is a virtual space where the website lives. If you have a domain name purchased but not hosted on any servers or hosting account, it means it’s a parked domain. 

A domain name or address is usually pointed at a website’s home page or webpage. For example, the “interserver.net” this address will redirect the user to the home page of the interserver.net domain. But the parked domain usually redirects to the basic parked domain page, this domain, or ads page. It’s even possible that it doesn’t have any content to display. But, we can still use the parked domains as alias domains. We can easily redirect the visitors to a specific primary domain or web page.

Reasons: Why are Domains Parked?

There are several reasons to have a domain parked by businesses and individuals. So, let’s discuss some of the important reasons to have a domain name but not use it. 

Domain Name Reservation: protect a valuable domain name

Most known reason for parking a domain is to protect a domain name. As we discussed earlier, domain names are the most valuable website asset. It’s an online identity for your business or individual. Once you decide to have a perfect domain name for your business, it’s the worst thing to find that the required domain is already dried. After the domain is gone, you can hope to have the necessary domain by spending hundreds of dollars.

Many people buy the domain as soon as possible or start a new business to resolve the perfect domain issue. They generally buy that domain just before implementing an idea or a website. It is the best solution to having an ideal domain reserved for future use. So, you can hold the domain until your website or business is started or ready to launch.

Multiple Web Address: redirect the visitors to the primary domain

As we discussed, a parked domain can be used as a secondary domain. It’s a great marketing technique. Many business owners or companies choose to register several domain names and link them to a single website. Using parks domains as a secondary domain is to redirect users to the primary domains. The parked domain uses the same IP address and will give the same results as a primary domain. To link more than two domains or different domains can be done from the hosting account as a multiple add-on domains concept. We can provide various ways to connect your business with the parked domain. Here is an example of a primary domain that can register some secondary domains for extra visitors and traffic.

interserver.net – the primary domain 

Options to have secondary domain names or alias names for primary domains.

  • interserver.com
  • interserver.org
  • interserver.co

Protection for Cybersquatting: Protection for your business domain name

Cybersquatting is a genuine issue of parking domains. In the process of cybersquatting, the domains which are currently used as a primary or secondary domains are parched by other individuals. So, they can sell them back to the company for a high price. It will directly affect brand credibility, and Cybersquatter can do anything with the domain until you repurchase it at the required fee. This affects your brand and website tremendously. For example, your users or visitors will be unable to find the website or web content as the domain name is not in our hands. The audience and traffic of the domain are out of control, and it will ultimately affect your brand values and bottom line. In this case, domain parking can be a problem resolver. 

Domain Parking can be a process that protects your brand name and values. We must register all the trademarks and variants of domains available for your business name. After registering all the primary and secondary or alias domains, you can use them according to your use. You can put the main domain as primary and all the other domains as secondary. Domain Parking will protect your domains to prevent cybersquatting.

Income Generation: Sell a domain

Another important reason to park a domain is to create a passive income. Many businesses or individuals make money from buying the domains at a low price and then selling them off in the future with a profit or high cost. It simply means you parked a perfect domain, and you hope that someone will be willing to pay high rates in the future for some specific domains. This technique is called domain flipping. But before you sell or after you register the domain. You can use them till the domain is sold out. 

Many people use these domains to display advertisements and redirect visitors to specific pages and websites. So, whenever a user clicks on the page or an ad. You will generate some income. 

Buy a Parked Domain

Here is some more information about parked domains, like how we can buy a domain that is already parked. Sometimes, you want a domain name that is the perfect domain name, but some individual holds it. You can check your required domains through your preferred domain registration tools. You can also check their domain names if you see some generic messages or ads. It means some owner parks the domain. So, let’s understand how we can buy a parked domain and take care of points.

Step 1: Identify the owner

It’s too easy to find domain information these days. There are enough tools available that provide information about the domain, like the registered name and address. You can go and check the required domain information on the WHOIS website, which is very famous and acquire a vast database. They also provide personal contact details like Email and contact number. You can also find some technical information like DNS servers.

Step 2: Start to contact

Start with a quick and straightforward email, if it’s available. And you can make a call if you have the person’s contact details. We have to start the negotiation process, which means you need to express your interest in a specific domain. Gently ask for the domain if it’s available for sale. 

Step 3: Understand the flow and Domain holder

Start your first contact, and don’t be panicked or desperate about the parked domain. As we all know, the first impression is the last. In simple words, you need to explain or mention that this domain is one of the best options you’re interested in. Instead, this is the only domain you have. This technique will inspire the domain holder to negotiate the price, but once the domain holder understands that you need this domain at any cost. He might be asking for more price or not interested in entertaining you. You can give an offer that might encourage domain holders to negotiate. Once the domain holder knows that you can pay a considerable amount for the domain, he will never think of keeping that domain.

Step 4: Negotiate the price

The second last step is the bargaining process which can be challenging. So, before you start the negotiation process, you have to prepare for it. Firstly, you have to research the perfect price for the domain. Once you are ready and collect all the information, you will have the actual value of the domain. This technical, domain and owner information will give you the courage to start the bargaining process. You can also catch the information related to domain history and similar domains. In some cases, you can also see the actual value provided by the owner for the parked domain. Then ask for the perfect offer but do not pay an extra amount.

Step 5: Use the escrow service to buy the domain

And lastly, after you both agreed to the negotiated price and agreement. We’re in the domain purchase phase. And in this step, we have some critical points to remember. First, we should never pay directly to the domain owner. In other words, the domain holder is a stranger to us, and it’s easy to take advantage of you instead of the domain. The preferable step is to use an escrow service to complete the payment without negative points. These escrow services help you hold the expense until both parties are satisfied with the deal. They will work like a mediator who takes care of both parties and the deal. 

Once you have the domain, you can connect it with any hosting account and attach a website with the address. 

Conclusion

We discuss the Parked Domain in detail in this article. We also discuss all the reasons why people park a domain. There are many reasons, but we discuss only essential points related to the parked domain to make this article short and straightforward. Then we also discuss the steps to buy a parked domain from the domain owner. Purchasing a parked domain is not easy. You have to be prepared and do all the research as we discuss. It will be helpful to have a domain at the best price without spending a considerable amount.

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