Domain parking is one of the laziest ways to make money with domains – you don’t need to pay hosting fees, design a site or create content. This advertising practice is very easy to understand: you point your domain to some parking company, they show some ads and when someone clicks on those ads… you earn money.
It’s similar to Google AdSense (they pay for the clicks your ads get) but it takes less effort (you can register and park 100+ domains in the time it takes to build one or two domains).
There are a lot of domain parking companies like Sedo or NameDrive (Namedrive.com is much better than Sedo in my experience) and they were talking about a big industry with a lot of players involved.
Some guys make fortunes parking… while others make pennies
Domain parking is becoming an increasingly lucrative business, but the problem is that parked domains don’t rank well in search engines. That’s why they get little traffic from search engines and that’s why
there are some guys and companies that make fortunes from parking, others only make pennies.
Now… How do large domainers make money with parking?
They get domains with traffic right from the start. That’s all. They focus only on 3 types of domains:
1) Type-In Domains: Domains that users enter without going to search engines. Example: ringtones.com
2) Typo Domains: Misspelled domains (You can’t imagine the huge traffic that comes from here).
3) Expired Domains with Traffic.
See? Domain parking is a huge industry and if you want to get into the domain business, I suggest you try to learn the basics and secrets before doing nothing.