The simple truth about parked domains

Yesterday, Jay Westerdal, owner of DomainTools wrote a great blog post on those “mysterious domain names with ads.” I’m sure most DotSauce readers are familiar with domain parking; the practice of registering keyword domains and placing Pay-Per-Click advertisements for a passive income stream.

Jay recalls the process of educating his friend on domain registration and parking. He answers his questions on which domains will work and a brief explanation on which names to pick. However, he emphasizes that “it takes a level of determination to find a good domain and a commitment to learning about domains.” Truer words could not have been spoken.

He touches briefly on how domains can also be a smart investment to hold on to.

I have domains in my portfolio that do not make any money at all…. If I sold land in downtown Seattle for $500. Would you buy some? “Well of course”, he said staring at me like an idiot. Well that is exactly what I have done, I have bought land in downtown Seattle in 1889. I expect land/domain to increase in value. Two words strung together that possibly mean something is tomorrows gold. A few years ago we had 5 million .COMs now we have 65 million.

If you are struggling to explain to friends, family or investors about the domain name industry and it’s profit potential, send them to this DomainTools blog post. They are sure to get excited and want to join us!