Picture this. You’ve crafted a perfect domain name that is sleek and brandable. As you rush to register it, you’re met with the dreaded message: “This domain is already taken.”
Disappointment! Upon checking who owns it, hoping they'd sell it, you find it is either parked, unused, or worse, held by an investor charging exorbitant amounts.
The harsh reality is that around 628.5 million domains are registered globally, and over 100,000 expire daily. This shows how competitive premium domains are, and every second of wait means another valuable domain goes to someone else.
What if there is a chance to claim a domain when it is released? Domain backorder lets you claim a high-value expired domain before it hits the open market. But how does the process work?
This comprehensive guide walks you through domain backorder, the best platforms, and the key strategies to maximize your success.
What is a domain backorder?
A domain backorder is a service that allows individuals to attempt to acquire a domain name as soon as it becomes available after expiration.
It simply involves bidding on an already-owned domain, hoping the domain owner will not renew it. Though a highly competitive process, backorder gives you a first-mover advantage, raising your chance of acquiring the expired domain.
By using backorder services, you can:
- Keep track of your desired domain with alerts about changes like expiration or availability.
- Automate acquisition attempts, lowering the tedious work of manual tracking
- Increase your success rate as a first-mover
How Does a Domain Backorder Work?
The process is structured and matches the domain expiration life cycle regulated by ICANN. Understanding these stages is vital for successful domain backordering.
- Available: Unregistered domain available for an immediate purchase.
- Active: Owned by an individual or company and validly registered domain, typically 1-10 years
- Expired: If the owner fails to renew the domain by the expiration date, it enters the grace period (0-45 days), during which it can be renewed without extra fees.
- Redemption grace period: The owner can still redeem the domain at a higher fee, sometimes exceeding $100.
- Pending delete: Domain becomes locked, and the original owner cannot recover it. It is then permanently deleted and becomes available for new registration.
How to Backorder a Domain
Domain backorder is pretty much straightforward. Here are the steps to increase your chances of claiming an expired domain the moment it expires.
- Identify your domain: Research and choose your preferred domain name.
- Select a service: Choose a domain backorder platform or domain registrar with reliable tools and success rates. For example, by signing up for Bishopi domain backorder service, you get updates about the monitoring states of your preferred domain name. You are also notified when the domain enters an auction.
- Place a backorder request: To reserve the domain, place your backorder request early enough, as competing requests can lower your chances. Keep in mind that you may pay a backorder fee, which ranges from $10 to $79, depending on the service provider. But with Bishopi backordering service, you place your backorder request at zero fees, making it an attractive service.
- Monitoring domain status: The backorder platform tracks the domain’s lifecycle automatically, right from the expiration date to the final 5-day period before public release.
- Domain acquisition: The registrar monitors the domains and submits acquisition requests immediately after the domain is released. The service is automated to acquire the domain within milliseconds of deletion.
Once you win a domain through backorder:
- It is assigned to your account by the registrar that caught it
- You get an email notification with ownership details
- The domain is automatically registered under your name
It is a standard ICANN policy to lock transferred generic top-level domains (gTLDs) domain for 60 days, during which you cannot move them elsewhere. But, this lock period does not apply to certain country-code TLDs (ccTLDs) and some new gTLDs whose registries may have different rules. Still, some registrars may apply their transfer lock policies beyond ICANN's.
Alternative strategies if your Domain backorder fails
If your backorder fails, you can:
- Monitor for the domain’s resale, as some winning bidders may immediately float it for resale
- Negotiate with the winning investor if they are willing to sell it at a markup.
What happens when multiple users backorder the same domain?
Most backorder services allow for multiple domains, in which case you will be part of an auction when the registrar catches the domain.
The acquisition process changes from a first-come, first-served model to a competitive system through an auction where the highest bidder wins. This can significantly drive the domain price up.
Here’s an illustration of how a competitive bid scenario may turn out.
6 Best Strategies for Domain Backordering
To secure a high-value domain through backorder, you need to be strategic and use the correct tools and timing. Here are the 6 best approaches to increase your chances of securing the domain.
1. Research high-value domains
Domain valuation tools like GoDaddy Domain Appraisal or NameBio let you estimate the domain’s worth. You can also use the Bishopi Domain Backlinks Checker to analyze the domain's backlink metrics. It lets you know the number of links the domain has, its authority, referring domains, and more.
The Domain SEO Analysis tool also gives insights into how the domain will drive site visibility, search rankings, and overall digital presence. Its website authority checker allows you to analyze the domain's strength and authority, empowering your data-driven decisions.
2. Track the expiring domain early
It is smart to track the domain before it expires using services like ExpiredDomains.net, Namejet, or the Bishopi domain monitor. This way, you can identify the domains that enter the grace period to approximate drop timing. Bishopi provides expiration watch alerts to notify you when a domain nears expiration so you can kickstart your domain portfolio with the expired domain.
3. Choose multiple backorder services
Placing your backorder with multiple services raises your chances of securing the domain, as various platforms have different registrars and caching speeds. Ensure you compare their success rates, backorder fees, and bidding processes to optimize your backorder strategy.
4. Be strategic in your timing
Though domains typically enter pending delete status for 5 days before dropping, the exact drop time may vary across registrars. So, you should closely monitor and place your backorder as early as possible, especially for competitive domains.
5. Understand auction dynamics
Recall that a domain goes to auction if multiple users place a backorder on it. So, for you to raise your winning chances:
- Set a max bid in advance and stick to it to avoid overpaying. Most platforms permit setting an automatic bidding ceiling to prevent emotional overspending
- Use bidding strategies like early bidding, incremental backorder, or auction snipping in the last seconds.
- Check competitor bidding history: Review the past bidding behavior of competitors to understand how aggressive they are and adjust your strategy accordingly.
6. Monitor TLD trends
Watch for what’s trending online and use the trends to make wise choices for your domain name. The Bishopi Domain trends let you see the latest industry domains, upcoming, expiring, or expired. Keep close tabs on which TLDs or keywords are being registered or sold the most.
Check out DomainSherpa forums for insights on domain trends, auctions, valuation strategies, and preferred TLDs such as .ai for AI startups or .xyz for tech and Web3 projects.
You can also track the popularity and growth of new TLD domain extensions with statistics and market reports from sites like ICANN and ntldstats.com.
Risks of a Domain Backorder
While domain backorder gives you the leverage to clinch a valuable domain, It comes with several risks. Here’s what you should take note of before placing a backorder:
- There’s no guarantee that you’ll secure the domain, especially if it goes to auction. What’s more, competition from auto drop-catching bots can also shrink your chances.
- Pricing uncertainties as the final domain price can soar if the domain goes to auction. Always evaluate possible costs before you commit to a backorder.
- Some lesser-known backorder services may list domains to which they have no access. The bottom line is to stick to trusted domain backorder platforms and validate a service’s registrar partnership before committing to the backorder.
- Timing issues as expired domains may not always drop on schedule, or some registrars may hold onto them much longer than expected. This uncertainty may water down your timing strategy.
Secure Your Ideal Domain with Smart Domain Backordering
Domain backordering is an excellent approach for domain investors to acquire valuable expired domains, but its success needs the right strategy. Selecting a reputable backorder service, understanding the pricing dynamics, and employing the right strategy can raise your chances.
Ensure you also monitor the market trends to identify high-domain value opportunities before they expire. The Bishopi Domain Trends helps you track upcoming domain names, extensions, low competition, and trendy domains at the right time. This way, you don’t miss a potential domain investing opportunity.
Don’t wait for the perfect domain to slip away. Start tracking domain WHOIS history data, availability, reputation, competition, and expiration with our Domain Monitor today.
Frequently Asked Questions
How does a domain backorder work?
A domain backorder service attempts to automatically register an expiring domain when it becomes available. If many users backorder the same domain, it usually goes to auction, where the highest bidder wins.
How to backorder an expired domain?
Follow these steps:
- Select a reputable backorder service
- Choose your preferred domain
- Place your backorder request and pay the fee
You win if the domain becomes available and you are the sole backorder. Otherwise, it may go to auction.
Can I backorder any domain?
Yes, except for those domains that are not eligible for backorder. Examples are those privately held, under a registry hold, or renewed before expiration. It is good practice to examine the status of a domain before you place your backorder.
How much does a domain backorder cost?
The backorder fee can range from $10-$79 and varies per platform. In the case of an auction, the price can go much higher.
How long does it take to get a backordered domain?
It depends on its expiration and drop cycle. Some drop within weeks, while others may extend to months if they go to auctions before being available for registration.
Originally published at: bishopi.io
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