An article appeared in 2007 that implied domain parking services was on the decline, in favor of Web 2.0 media which, three years ago, was reported to be revolutionizing domain parking pages. The story involved a situation well known to Domainers everywhere: direct navigation. In effect, this concept involved users typing in the URLs of domain names directly into their browsers, thereby by passing search engines. This was really the start of the lucrative PPC industry, first reported in the December 2005 edition of Business 2.0, and later taken up to such effect by Google Adsense and the like.
Social Networking and Publishing Tools
The idea was to combine social networking with publishing tools to develop a platform that enabled domain parking services to become a more dynamic commodity. This would eventually result in those domains involved being able to generate both its own traffic and its own content and eventually becoming an automatic cash machine. The Google Adsense TOS requires Domainers to acquire a particularly large portfolio of domain names before they can deal directly with Google Adsense themselves. In other words, most Domainers must use domain parking services to stay on the right side of the Google Empire. However, when they do so, as much as 80 of revenue obtained from PPC ads is shared between Google and the domain parking service, with the biggest share going to Google.
PPC Revenue Sharing
This sharing of the PPC revenue is forcing a number of Domainers to develop websites before they are ready to do so – often into a forum that can generate sufficient revenue for Google to become interested in them. While this can probably increase Domainers incomes dramatically, the time and effort needed to project this revenue is proportionally high and takes its toll in effort required to maintain this momentum. Eventually, as each domain is developed, Domainers are finding that maintaining them all is more than a full time job – effectively defeating the object of running domain names in the first place. It changes Domainers into Web Developers: there is now insufficient time to pursue new domain names or to keep up to date with the research needed to stay on top of the competition.
Dynamic Software
Eventually those Domainers who broke away from domain parking services returned to the fold. Until Web 2.0 raised its unruly head again, that is. Basically, what this concept is all about is trying to introduce the Web 2.0 software into each domain, enabling web visitors to become regular visitors to that domain. The Web 2.0 software is robust enough to easily duplicate that single domain’s software and, with a single click, spread this software across thousands of other domains so that each contains the powerful Web 2.0 community software enabling casual visitors to return time after time. Furthermore, back end content and back end ads could be sufficiently dynamic to interact with each other.
In the meantime, however, the domain parking services fulfil the requirements of maintaining the registered domain online until such a time as the domain owner needs to either sell it or develop it: the only other alternative is to pay monthly hosting fees and why do that when somebody could actually be paying you for the use of your domain name until you are ready for it?
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