How To Sell a Domain Name Step-by-Step

How to Sell a Domain Name Easily – Maybe you bought a domain name for your website but don’t have time to maintain it, so the domain is sitting idle. Perhaps your current domain name is no longer relevant and you’d like to change it.

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In any case, learning how to sell a domain name will enable you to make money online from these unused assets or even launch a new business.

It is estimated that nearly 125 million domains will be registered in the United States alone by 2025. Furthermore, premium domain names have been selling for a high price. Last year, for example, marketing.com was sold for $2.5 million.

7 Steps On How To Sell A Domain Name

Following best practices is essential in such a competitive and valuable market. This article will walk you through the process of selling a domain name and offer helpful tips and tricks to make it profitable.

1. Park the Domain Name

Domain parking entails registering a domain name but not connecting it to any online services. You can reserve a domain for future use and reduce the risk of cybersquatting by parking it.

Surprisingly, some domain parking services allow you to generate revenue by displaying advertisements on domain landing pages. People who want to start a business selling domains should think about this practice.

2. Appraise the Value of Your Domain Name

Check the market value of a domain name before pricing it and making money online. After all, people are more likely to buy a domain if it has the potential to generate revenue in the future.

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Here are some approaches to consider in order to arrive at an accurate estimated value for your domain.

Check the Domain Name’s Quality

Several factors contribute to the value of a domain when evaluating it, such as:

Traffic. People are frequently drawn to pre-existing traffic domains because they have a better chance of ranking well in search engines. Examine the most effective traffic-generating strategies for increasing the market value of your domain.
Keywords. Keyword-rich domains are more valuable because they can boost a website’s SEO and click-through rates. To determine the popularity of your domain’s keyword, use Google Trends and Google Ads Keyword Planner.
top-level domain (TLD) (TLD). Domains with solid extensions, such as.com or.net, frequently command higher market prices due to their greater reputation and credibility.
Length. Shorter domains are more appealing because they are easier to remember and more concise. Some of the most expensive domain names ever sold, such as floor.com, which sold for more than $3.1 million, contain only five to eight words.

Analyze Similar Domain Sales

Domain appraisal tools are the most convenient way to learn about the worth of your domain. In general, these tools determine the worth of a domain by relying on SEO-related metrics such as backlinks and domain authority.

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Because price estimates differ, we recommend utilizing multiple tools to obtain a more accurate assessment. Domainindex.com and Domain Value Checker are popular free domain appraisal tools that also allow you to compare similar domains.

If you have no prior experience selling domain names, you should first educate yourself on the domain name market. Here are some popular resources search sites:

NameBio provides searchable databases of previous domain name sales. Look for a domain with similar features or keywords to yours; this can help you determine the sales potential of your domain.
NamePros. A website for domain sellers and buyers. You can connect with experts here and discuss the best strategy for selling a domain name.
ShortNames. Current information on the sale and auction of short domain names across various marketplaces. It also has advanced search filters that allow you to track different short domain categories.

Keep in mind, however, that these resources and tools only serve as a general indicator. Other factors, such as trends and demographics, must also be considered.

3. Decide on a Pricing Strategy

It’s time to decide on a pricing strategy after researching what your domain might sell for. There are typically two methods to choose from:

The cost is fixed. The seller sets a specific price for the domain in this pricing strategy, and an interested buyer can purchase the domain immediately without negotiating.
Price is negotiable. This strategy is more effective when selling domains with an uncertain value. A potential buyer will make you an offer. Then you can begin bargaining until you reach your desired price.

Consider this in terms of application. Assume you have a fixed price of $3,000 for your domain. Buyers who want to purchase the domain cannot negotiate a lower price.

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Flexible pricing, on the other hand, allows buyers to bargain. They may even pay more than $3,000 depending on the demand and the negotiation process.

In general, when selling a premium domain name, it’s best to use fixed prices for lower-priced domains and flexible prices for higher-priced domains.

4. Decide Where to Sell the Domain Name

Finding the right marketplace is one of the most important aspects of selling a domain name. Here are some ways to sell your domain name.

Privately sell the domain name

The first option is to sell domain names directly to customers. Creating a landing page for the domain is one of the best ways to inform buyers about the domain sale when making a direct sale.

Include a “domain for sale” message, as well as a domain portfolio, an inquiry form, and contact information so potential buyers can contact you.

To make it easier to create and maintain your landing page, we recommend using a website builder like Zyro. There are several landing page templates available, and you do not need coding skills to use them. Zyro has a visual editor, so you can design the page by dragging and dropping elements.

Sell on Domain Name Marketplaces

Registering your domain on a popular domain selling platform is another way to find buyers. Afternic and Efty are two of the best online domain marketplaces.

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These sites provide useful features such as integrated escrow services and a user-friendly interface, as well as significant web traffic, which increases the exposure of your domain.

To list a domain for sale, simply enter a price in the preferred site’s domain manager. Domain sellers on Afternic can set a fixed price or hold an auction. However, Efty requires sellers to set fixed prices.

Plans with Efty start at $12 per month for up to 50 domain listings. Afternic does not charge a subscription fee, but it does charge a 20% sales commission.

Sell on Online Auction Sites

Selling your domain at an auction site is an excellent way to generate interest in your domain. A domain seller creates a listing and sets a starting price, just like in an online auction. The highest bidder then wins and becomes the new domain owner.

If the reserve price is not met, popular auction sites such as Sedo allow sellers to counter-negotiate or lower the price during the auction period. In exchange, they will charge a 15% fee based on the sale price of the domain.

Flippa is yet another platform worth investigating. While it is best known for selling websites, it also hosts domain name auctions for a commission fee of 5 to 10%.

When using auction sites, we recommend increasing the domain’s price by 5 to 15% over its current value. This allows you to keep your profit margin regardless of any fees or commissions charged by the site.

Sell through Domain Name Brokers

A professional broker may help you sell your domain name for the best price when selling a highly sought-after domain. For example, MediaOptions and Grit Brokerage are well-known domain name brokers with solid reputations.

Most domain name brokers work on a commission-only basis, which means they are compensated based on the final sales price. Check the terms and conditions, as well as whether there are any upfront fees, before entering into a contract with a domain broker.

5. Optimize the Domain Listing

Potential buyers can be drawn in by a well-optimized domain listing. Here are some strategies for increasing the value of your domain listing:

Promote the best features of the domain. To increase the price of a domain, highlight its key benefits. Share current traffic statistics, how much ad revenue it generates each month, and whether you sell the corresponding social media handles.
Make banner ads. Create a simple banner with minimal text – the domain price and a call to action – that links to the selling site or the landing page for your domain.
Please update your WHOIS information. A WHOIS record contains information about domain ownership, such as the owner’s name and contact information. Buyers will be able to reach out and offer to purchase the domain using a WHOIS lookup tool.
Use social media to promote the domain. Create social media pages for your domains, join domain selling groups, and connect with other sellers. Post useful content on a regular basis and participate in discussions on those pages to increase engagement.

6. Protect Your Domain Name with an Escrow Service

An escrow is a reputable company that acts as a neutral third party. It connects the buyer and seller and ensures that the transaction terms are agreed upon by both parties.

In other words, the buyer will not receive the domain name until he or she has paid the agreed-upon amount into an escrow account. Similarly, the seller will be paid once the buyer confirms receipt of the domain.

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If you sell the domain on marketplaces or auction sites like Sedo or Afternic, you’ll almost certainly get a free escrow service. When making a direct sale, you may need to purchase an escrow service separately.

7. Transfer the Domain Name

After receiving the payment, transfer the domain to the new owner. However, before beginning the transfer process, make certain that it meets the requirements.

More than 60 days must have passed since the domain was registered or transferred. Furthermore, transferring a domain name to a new registrar is not possible if the registrant’s name, organization, or email address has changed within the last 60 days.

The process then differs depending on how and where it is registered. Transferring a domain from another registrar to Hostinger is simple. Simply enter the domain name and the EEP status code from your current provider, and then confirm the transfer. The procedure usually takes 4 to 7 days.

Ensure that the buyer can easily contact you and that you can answer any questions they may have throughout the transfer process. This will help you establish a reputation as a trustworthy domain seller.

Tips for Profitably Selling Domain Names

Here are some pointers to help you decide whether to buy or sell a domain name for profit:

Determine the domain’s niche. Understand the niche of a domain name before selling it. Industry-specific domains are generally easier to sell because they cater to specific audiences.
Select an effective selling platform. Buyers are more likely to purchase your domain if it is listed on a well-known platform with good ratings and reliable resources. Do your research and look for user reviews on platforms like Trustpilot before deciding on a marketplace.
Make use of psychological pricing. To entice buyers, use a psychological pricing strategy. For example, instead of $400, price it at $399.

Conclusion

Domain names are valuable assets for both individuals and businesses. They serve not only as website addresses, but also as important branding elements.

As a result, buying and selling domains has become a popular way to make money online.

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You can make money by listing parked or unused domains on marketplaces and auction sites, as well as by creating your own landing pages.

However, regardless of the platform, understanding the domain market and adhering to best practices are required.

Here’s a quick rundown of how to sell a domain name effectively:

Domain parking
Understand its worth.
Choose the best pricing strategy.
Select a platform for selling your domain.
Promote the best features of the domain.
To ensure a secure transaction, use an escrow service.
Maintain responsiveness and engagement throughout the transfer process.

We hope that this article will assist you in starting a new business or generating revenue from your domain names.

7 Steps On How To Sell A Domain Name