Make Money Online with Domain Name in Three Ways - Part 2

In part 1, we have discussed about the first way which is by flipping domain names for quick profit. Now, this article will share with you the rest of the two methods you can use to profit with domain names.

Parking

Maybe, you don’t like domain flipping because it involves Internet selling. You are wondering if there is any other way to make money online with domain names. Yes, there is. You can park your domain names into the domain parking websites and earn a share of advertising revenue.

The parking service websites will generally set up a page on your domain name. You get the chance to select a template and the niche of your advertising. They will place relevant ads on your page and you will earn a share of the ads revenue generated through your page. The advertising models are either cost-per-click (CPC) or cost per thousand (CPM). If the ads appear on your page are CPC, then you will earn money for each ad click. If CPM, you will earn based on each thousand of page views.

Some well known parking services are Namedrive.Com, Parked.com and Whypark.com. Each of these parking websites has their own rules of website parking. Make sure you read and understand the rules before signing up for a parking service.

Developing

Now that you know both flipping and parking domain names can make you money. Let’s discuss the third choice of using domain names to make money online, which is site developing. Site development will require a lot more investment, effort and time; and of course the return will be high.

You will buy a domain name, keep the domain name and then build a website on it. You are going to grow the website and make your domain valuable so that you can sell it for a great price and reap in lucrative profit.

Here are the things that can increase the value of your site and domain:
  • Google PageRank – Most websites in the index of Google gained a Google PageRank (PR). It can be PR1 to PR10. The higher the PR, the better the value of your domain name.

  • Existing Traffic – If you have put hard effort in marketing your site and achieved some success, your site would have gained high amount of traffic / visitors constantly. People just like this kind of website because once they take over; they will immediately start enjoying traffic and earn revenue without put in effort. So, it is easy to sell a high traffic site for a good price.

  • Site Revenue – Another interesting factor that buyers want to look for. Buyers are eying on sites that generate consistent revenue every month.

  • Inbound Links – Inbound links also help. The more your site gaining inbound links, the more they will help in appraising the value.


For the site design and look, they don’t play a very important role. A website with standard design will do. If you are a web designer, you can build the site by yourself using software. For those who don’t know how to build website, don’t worry, there are good website builders like Xsitepro you can use to create website. There is no HTML code you need to add in, just be familiar with the software, follow instructions, click your mouse and you can put up a brand new website.

As you will need to make your site sellable, you will probably have to work a lot in marketing and promotion to build up your PR, traffic, site revenue and inbound links.

While marketing and promotion can build up your traffic and PR, content writing shouldn’t be ignored. The content must be unique and offer value to the visitors. This is to keep you visitors coming back to your site often.

Make Money with Domain names Part-I

In the real estate industry, there are three common ways of making money with housing: flip it, rent it out, or live in it while waiting the value builds up and sell it in future for great profit

For domain name, you can make money exactly the same three ways as applied in the real estate industry.

Flipping

These days, it is hard to make money by flipping real estate. But flipping domain names is in different case. Flipping domain names works pretty simple. Just like reselling business. You purchase inventory then resell it to the market for profit. The domain names are your inventory or product. You will be buying domain names and sell them out quickly for profit. You don't intend to keep those domain names to develop a website on them, nor will you part it on a domain parking site.

You can buy a lot of domain names from prices $7 to $15 and sell them as quick as possible. These domain names generally have very little or no traffic at all. Thus, they aren't a valuable piece of cyber real estate that will net you thousands of dollars of profit. But, if you have bought some good names, you probably can find buyers willing to pay you $20 to $100 for a domain name.

One of the good places for selling your domain names is eBay.com. By running auctions, you gain the advantage of pressuring the buyers to fight over your domains which will drive up your prices.

All the domain names sale auctions are listed under Web Domains & Services – a sub-category of Computers & Networking category in eBay.com.

One type of domain names that often sell well in eBay.com is those four letter acronyms domain names. They don’t have to make sense, as long as they are good to pronounced, people will place their bid to buy. To know what other types of domain names are attracting buyers, you need to do research.

Browse the auction pages to find those domain name auctions that attract bids, take a look the domain names, how the sellers set up their auction and write their sale description. This can give you hints and ideas of what domain names you should sell in eBay.

Another marketplace helpful to your domain flipping business is Sedo.com. You not only can buy your inventory (domain names) there, but also resell your inventory for profit in the same place. Sedo allows you to list your domain names for sales. There are two options to choose when listing domain names in Sedo.com which are “Fixed Price” pricing option and “make offer” option. Using the “fixed price” option means you are setting a price that you want to sell. But this option isn’t recommended because most buyers prefer to negotiate when buying domains. So, it is best to use the “make offer” option. Let the buyers make an offer to you and state the price they are willing to pay will increase your chance of making a sale.

Sedo wouldn’t charge you for listing your domain names for sales, but you need to pay at least 10% commission if a sale is resulted. The minimum commission you must pay is $50 if you sold a dot com, dot net, dot info and dot org domain name in Sedo. So, you would want to use Sedo only when you have high potential domain names to sell.

Some other trusted marketplaces for selling domain names are snapnames.com and tdnam.com and etc.