Domain parking is a cheap way to secure a domain for future use, redirect traffic, or resell. It includes a simple page and can be renewed annually. Hosting services are required for development and parked domains can be used to redirect traffic. It can also be used to resell domains. Considerations include checking the domain seller’s hosting services and transfer fees. Domain registration costs have decreased, making domain parking an attractive option.
Domain parking is an extremely inexpensive way to secure a domain for later development, redirecting web traffic, or reselling. Domain registrants, or sellers, commonly offer free domain parking with domain registration, as there is virtually no cost involved with domain parking.
A parked domain includes a simple page. If the site is for development, the page will indicate that it is under construction or coming soon. Domain parking can be renewed annually and there is no deadline for when a site needs to be developed. You may find that you don’t have time or you may decide to let the domain expire at the end of the contract, usually one year. In this case, the only lost investment is a few dollars.
If you decide to develop your own domain, you will need to pay for hosting services at that point. The right hosting service will provide enough space for your website and any special scripts or services you need. Once the domain is hosted, it is no longer parked.
If you already have a successful site, another use of domain parking is to secure addresses similar to your main website and redirect traffic there, an inexpensive way to secure your website. For example, wiseGEEK.net redirects traffic to the correct site, wiseGEEK.com. The first domain is parked. The parked domain does not have to reside on the same host server as the main website.
Some people use domain parking for the sole purpose of “reselling” the address, by transferring ownership to a paid buyer. This occurred more in the early days of the internet when big companies had yet to come and were willing to pay a high price for their brand names. Laws were eventually enacted to protect trademarks, but a parked page can still advertise the sale of a domain.
If you are interested in domain parking, there are a few considerations to keep in mind. Most domain registrants offer hosting services, but you may or may not want the domain seller to host the domain once it is no longer parked. Be sure to check that the domain seller does not retain any rights to the domain. The buyer should have the power to control domain registration information and more importantly the ability to transfer the domain to an independent hosting service when and if they wish. Check if there is a fee associated with the domain transfer.
Domain registration once cost more than 60 US dollars (USD) per year, but today it is possible to have a domain for as little as 5.99 USD per year or less. So, domain parking is an attractive proposition.
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