Learn how to navigate a site auction site


Learn how to navigate a site auction site

Worthwhile domains will be an amazing investment for buyers and sellers. Domain auction sites allow sellers and buyers to trade web addresses. This is comparable to the true estate market in a way. Nevertheless, it’s important to know what a site is value and the way to recognize a good domain auction.

What’s a site auction?

Anyone acquainted with eBay and Sotheby’s knows what’s involved in an auction. Prospective buyers submit bids for items and the best bidder receives the coveted object. Domain auctions show that it will not be only material goods that will be auctioned. Domains have proven to be surprisingly worthwhile for traders. Statistics from domain registrars show that the most respected registered domains can go for tens of millions of dollars at auctions. Most domains are auctioned off for significantly less money.

Domain auctions are a lucrative business field. A site auction can also be worthwhile to sell unused or expired domains for a profit. Owners and investors put domains up on the market on domain auction sites.


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The fundamentals of domain auction explained

The fundamentals of domain auction often start with these questions:

  • Which domains sell well?
  • How is a site’s value determined?
  • Where can a site be sold?

In the event you know the answers to those questions, you’re already ahead.

Which domains are good for auction?

The worth depends mainly on supply and demand. Nevertheless, it will not be guaranteed that a worthwhile domain will sell. Some sellers will actually sit on worthwhile domains for years, while low-cost domains can sell quickly. It will be important to know the next sales criteria to know what a site costs:

Brandable domain name

Sites like Wikipedia, eBay or Amazon wouldn’t be as successful without their unforgettable names. Domain value depends heavily on originality, keywords and catchiness. Some sites sell pre-generated company names and domains. A well-marketed domain name will be very worthwhile.

Short domain name

Less is more. Short domains stick in people’s minds, they usually are easier be market. Just take a look at successful corporations and their domains. Nike (nike.com), adidas (adidas.com), Google (google.com), BMW (bmw.com). Although a site name may contain as much as 63 characters, short and snappy names are way more popular.

Top-level domain

A site can’t be auctioned successfully without essential domain types corresponding to TLDs. Generic top-level domains like .com, .net or .io domains are crucial as they’re more popular and subsequently more trustworthy. Country specific domains corresponding to .de, .fr, or .co.uk also offer sales benefits.

Domains with keyword

Keywords are search terms which correspond to the interests and needs of end users. Domains which have a minimum of one keyword within the name have an increased probability of finding potential buyers at auctions. Subsequently, people who find themselves buying a keyword domain at auction must be sure that the domain matches their company or activity. Investors who trade domains also needs to listen to popular keywords within the domain name. Domain selection for search engine optimisation plays a crucial role for newcomers if the domain name represents the business or search intentions.

Radio test

Domains which pass the radio test are easily understood names. The radio test checks whether people understand how a site is spelled just by hearing it. Potential customers won’t find a site in the event that they don’t remember it.

Older backlink domains

Older domains have secure places within the Google rating and index, which is a bonus on your search engine optimisation. It’s even higher if there continues to be a serious backlink profile. This involves backlinks, which link to the domain from other web sites and generate worthwhile traffic.

Correct domain name

Domains which are similar to well-known domains apart from minor typos will be very worthwhile. Consider “gogle.com” or “amazn.com”. Some corporations wish to pay a bit and buy incorrect domains. So, you possibly can make loads of money by registering domains with small errors. Nevertheless, you must be certain that that serious domains have correct spellings.


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How do you identify the worth of a site?

We recommend checking out the domain value if you wish to earn money with domains. These are values are averages and estimates, but they use comparison, estimations and valuation services to find out a great benchmark.

  • Comparison: An summary of past domain sales may also help estimate a worth. Information services corresponding to domainnamewire.com analyze domain transactions and report on sales. The market trends amongst domain providers also help determine values.
  • Appraisal and valuation: It is strongly recommended to perform an appraisal and valuation before going to auction. There are free valuation services available for this purpose. Nevertheless, valuations only provide guideline values.
  • Willingness to purchase: Thedomain’s true value will depend upon what interested parties are willing to pay. Subsequently, an auction is one of the best method to determine a worth. A minimum bid will be set on a site auction site to make sure the domains sells on the minimum value.

Where can I purchase or sell a site?

In the event you wish to buy a site or sell one, domain auction sites are where you will discover the traders. These are virtual auction houses where you list, park and auction domains. The biggest marketplaces are:

  • Sedo
  • Flippa
  • GoDaddy Domain Auction
  • Afternic
  • Epic
  • Mabya

How does a site auction site work?

A site auction site provides the platform to place domains up for auction. There are hundreds of potential buyers on large domain auction sites like Sedo. Simply create an account with the auction site to list your domain on the market. Depending on the auction site, you might have the alternative between fast purchases or auctions inside a set time. Minimum bids will be set to avoid losses. The auction site will often charge a commission fee on sales.

We’ll use Sedo for example to clarify how a site auction site is used.

Step 1: Create an account on sedo.com.

Step 2: Put the domain up sale. It may be listed without spending a dime. You should utilize the “Buy it now” option for no bidding or you possibly can start an auction. Sedo also offers the paid option “Premium Listing” for more traffic. There may be a $59 fee for a direct auction (as of August 2022).

Step 3: A 15 to twenty percent commission fee is charged on sales. The owner to buyer transfer follows, which incorporates an escrow service. That is accomplished with an auth-code generated by the registrar, which you receive out of your provider and domain provider. This illustrates the difference between buying and registering a site. A site itself can’t be bought, reasonably the domain holder’s use rights have to be acquired.


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What are the choices for a site auction?

You could have three selling options when auctioning a site on Sedo:

  • Direct Auction: A direct auction doesn’t have opening bids or bidding phases. The auction begins after you select the beginning time and the minimum bid. Direct auctions happen for as much as ten domains at a time.
  • Auction with sale guarantee: The sale guarantee ensures that the primary bid is identical because the minimum bid. This attracts interested parties and it ensures a profitable sale. Bids are also advertised in search results and on the Sedo homepage.
  • GreatDomains and theme auctions: GreatDomains auctions happen twice monthly for particularly worthwhile domains. As much as five domains will be offered at auction. Theme auctions are held for certain domains corresponding to keyword domains or short domains.

There may be also an option called “Buy it now OR best bid”. This lists a site with two selling options. Prospective buyers should purchase the domain immediately at the worth listed or start a negotiation with a bid. Sellers have the choice to simply accept or decline the bid.

Learn how to recognize serious domain auction sites

It will be important to take into consideration the seriousness of auction sites. Only skilled sites guarantee security and reliable processing. Listen to the next criteria:

  • Valuation: Reputable domain auction sites offer a valuation for one of the best possible sale price.
  • Verified Bidders: Some auction sites only accept registered and verified participants.
  • Minimum bids: The “minimum bid” option needs to be offered by every reputable auction site.
  • Reserve function: Ideally, a secret value will be set because the minimum bid. The vendor doesn’t must sell if nobody places the key minimum bid.
  • Escrow service: An escrow service needs to be included to securely transfer sold domains.

What’s the difference between Direct Auction, Buy It Now and Domain Parking?

The choices direct auction, buy it now and domain parking differ cater to a seller’s different needs:

  • Direct auction: If you wish to get high prices for high-value domains, use direct auction with minimum bid and negotiation options.
  • Buy it now: If you wish to sell domains with a hard and fast sale price, go for buy it now with no auction. There may be no negotiation possible here.
  • Domain Parking: If you wish to keep unused domains or use them profitably, use domain parking. You’ll be able to keep domains without linking them to web or email services. Domain parking on Sedo permits you to place similar advertisements on parked domains without spending a dime and proceed to generate revenue. Domain parking is right until a site is sold.

Learn more about domain parking in our feature article.


Selling domains and buying high-quality domains at a site auction will be a great source of income. Reputable auction sites like Sedo have helpful features corresponding to fast sale, domain parking or an auction with minimum bid.


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