Advantages: Domain parking requires a little less work and effort compared to building a fully functional website. You can almost instantly start making money online because you don't have to work on your domain. The only two things you need to do are: (1) register or buy a domain and (2) sign up to the right parking service.
Disadvantages: All parking services strictly prohibit generating traffic to your parked domains. In other words, you can't use online advertising to drive traffic to your pages. It has to come from direct navigation or natural traffic. For example, using backlinks is not allowed by parking companies.
Where to start
The first thing before buying a domain name that you will eventually park is to do a research. This is a very crucial step and will determine your success with domain parking. Why? Simply because you can only make money from pre-existing traffic. So it is in your interest to check if the available domain names you intend to purchase are already getting a considerable amount of natural traffic. The key is to buy domain names that are already getting what's known as type-in traffic
What's type-in traffic?
Type-in traffic is a term referring to visitors landing on a site by typing a keyword or phrase in a web browser address bar, adding .com (or .net, .org, .ca, etc) rather than following a hyperlink, using a bookmark, or search engines. In other words, it's a direct traffic.
For example, if I was interested in video marketing, instead of using Google search engine, I might want to enter “videomarketing.com” in the browser address bar to see if I can find a website of that address and that's about video marketing.
Note: You can use Alexa and Statbrain to check the type-in traffic a domain gets.
One of the tricks you can use to get some extra type-in traffic is to register typo domain names.
What's typo domain names?
Typo domain names are mis-spellings or mis-typings of popular domains. For example, if I was thinking about registering a typo domain name for Youtube, Youtub.com would be ideal for getting thousands of hits per day.
Typo domain name type generators:
webmaster-toolkit.com/domain-typo-generator.shtml
domaintools.com/domain-typo/
seochat.com/seo-tools/domain-typo-generator/
Here is a list of some domain parking services you might want to try
AdSense for Domains
Godaddy
Fabulous
iMonetize
Sendori
Domain parking is great way to make money online. If you want to start parking your undeveloped domains to earn some cash, I wish you the best of luck!
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