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Business of Domain Flipping

April 23, 2006 · Print This Article

A business that not many of my friends know about or even heard of is the business of buying and selling domain names. You can get a domain name very cheaply but cheaper isn’t always better. You should get a name at a reputable online business. Just because someone is selling you one for $1.50 doesn’t mean it’s a great deal in the long run.

How people make a business of domains is to buy it cheaply and sell it for a profit, just like real estate. Some on the lower end of the game will park it and let it make money on it’s own. You make money when people click on the links just like Google’s Adsense.

You may have seen these websites which are actually just parked domains and not even realize it. Here is one called Online Dvd Rentalz. It isn’t being used for any websites as of yet and it’s parked for more than ad revenue. It is being parked to bring up the value of the domain itself. The stats of this domain is:

Incoming Google Links: 31
Incoming Yahoo Links: 66
Incoming MSN Links: 14
Incoming Alexa Links: 0
DMOZ Listed: No
Archive.org Listed: No
PageRank: 4/10
Alexa Rank: Unranked

Without having a website this domain alone has a Google pagerank of 4 and many incoming links. By keeping it, sending visitors and growing the popularity of the name, the owner can then sell it for much more than they paid for it. Some names go for thousands.

One popular website that deals with this is called Sedo. It is a place to buy, sell and park domain names and you can see what domains people are selling, how much they want for them and all the info such as links and page rank if any. Some sell names they just bought yesterday in hopes that it’s a name that fits a persons needs and they will want it and be willing to pay a little bit extra for it.

Then there are the domains that come with hundreds of incoming links and page ranks of 6 and even 8. As well as hundreds and even thousands of visitors daily. For instance this domain called uyduizle. Most people wouldn’t want it because the name is strange hard to spell and a little long. Many now want it though because it comes with over 90,000 visitors, more than 150,000 page views and more than 1200 incoming links. It is now valuable and the owner is looking at a pay day of at least $8,000.

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