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What is domain parking? - techopedia definition

 What is domain parking? 

What does domain parking mean?

Definition - What does domain parking mean?

The practice of reserving a domain name in advance for potential use is known as domain parking. 
Domain parking can be used to defend against cybersquatting or to engage in cybersquatting, a technique that involves acquiring a domain name that is exactly the same as a pre-existing business name and then selling from this domain name to the original name- holder for a profit. 

In domain parking, there is no need to upload content to the website, which usually just displays a page under construction. The domain name acquired using the domain parking process is called a parked domain.

Techopedia explains domain parking

Domain comes in two basic types:

Monetized: This technique is used to generate revenue by displaying advertisements to visitors.

Non-monetized: When a website is getting ready to start, this method is utilized to reserve domain names. The parked domain simply shows a "under construction" or "coming soon" notice during this time.

Domain parking has the following advantages:

It can serve as a stand-in for a genuine website. The domain holder or a domain name holder can choose to redirect incoming traffic from one domain to another registered domain. Thus, the parked domain can be used for this purpose. This process can be done through domain masking or URL forwarding.

Parking can help maintain the backlinks of a terminated website.

The domain owner can sell the parked domains to future trademark owners. If the domain owner recognizes that a brand plans to build a website later, the domain can be parked and then sold to the brand owner at an inflated price.

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