The primary reason that domain name value appraisal is such a complex practice is that it’s not objective. An expert evaluator relies on a wealth of practical experience every time they assess a domain. Few people have this expertise, which can make selling a domain a complex process, but if you want to sell quickly and easily, then a domain auction may be perfect for you.

Domain Auction Basics

If you’ve ever participated in an auction or used eBay, then you already understand the basics. You post a domain name and a time and date when the auction ends. In the meantime, any parties that are interested in purchasing the domain are free to bid. Once the set time for the domain auction elapses, the one who placed the highest bid secures the domain name.

Domain auction sellers typically include investors and companies that no longer need an old domain. Investors who poach expiring domains will often turn to domain auctions, as well. Buyers are generally investors who are interested in the possibility of reselling at a profit in the future. Since domain auction operates on a limited-time basis, it’s unlikely for someone seeking a specific domain to find it on domain auction.

Depending on the precise settings the owner is using to arrange the bid, there can be various exceptions to these rules. For instance, a domain auction might continue past the normal end time. Additionally, it’s possible for a domain auction to end with none of the bidders walking away with the domain name. It’s important to choose a domain auction site with the features to support the style of domain auction that you intend to run.

How Domain Auction Sites Work?

The text in the image says, how domain auction sites work and the background of the image shows Gavel

Domain auctions at physical auction houses occasionally happen, but they’re by no means the norm. Online auction sites are the primary resource that people looking to sell in an auction turn to. They work by connecting sellers to a community of buyers and providing a platform for the sale to take place.

Many of the best websites will evaluate the value of your domain on their own, which will provide useful insight to guide your sale. In exchange for facilitating an easy, straightforward sale, they charge a commission based on the value of the winning bid.

However, domain auction sites usually do not have the means to execute the sale on their own.

When you use a domain auction site, you’ve simply come to an agreement on a sale price for the domain. You’ll need to contact an attorney or utilize an escrow service to ensure the sale itself goes smoothly. Since your success is in the interest of the auctioneers, they’ll often provide direction to organizations or individuals who can help. Additionally, bidder verification can help ensure you’re only dealing with serious customers who aren’t acting dishonestly. It ultimately hinges on finding a good website to work with.

The Mark Of Good Domain Auction Sites

A good domain auction site will do all that it can to offer security and a good value to sellers. There are numerous ways to do this, and the following features are among the most important.

Complementary Or Affordable Evaluation

Since the auctioneers collect a higher commission when you secure a higher sale, they should help you optimize your auction. One simple way for them to help you and themselves is by evaluating the worth of your domain at domain auction. While the exact value of your domain isn’t so important in an auction, a rough estimate is important. It helps you develop expectations and set the parameters for a profitable sale.

Reserve Feature

Every auction site allows the seller to set a minimum bid, but this has its drawbacks. A bid that starts from $1 will draw more interest and bids, and this competition is good for you. However, going without a minimum bid leaves you vulnerable to selling your domain at a grossly low value. A reserve feature allows you to have the best of both choices. It allows you to set a hidden value which is your minimum acceptable bid. Then the domain auction proceeds as if it started without a minimum value, but if the bidding doesn’t reach your minimum then no one wins.

Bidder Verification

Domain names are often incredibly valuable financial assets. Some of the more reliable, respected auction sites will use bidder verification before allowing buyers to make high-value bids. This helps prevent you from wasting time and money due to dishonest actors interfering with your bid.

Reference To Escrow Service

Buyers and sellers both benefit from turning to a reputable escrow service to execute the sale. It isn’t too hard to find such a service, and Escrow.com itself offers domain name services. However, an auction site providing references to a few different options is a good sign and welcome assistance. Having several choices at your fingertips helps you find the one best suited to your needs and streamline the process.

Anti-Auction Sniping Measures

Anyone who’s used eBay for any measure of time will have fond and less-than-fond memories of auction sniping. This is the act of waiting until the very last second to place a bid in hopes of winning at an artificially low price.

In a physical domain auction, this can’t happen because prospective buyers can challenge any new offer. Auction sniping is disastrous for sellers, so good domain auction sites will add extra time in response to last-minute bids. This simple addition almost guarantees that you’ll get a higher, more accurate sale price.

How To Auction A Domain Name?

How to auction domain name in domain auction sites

Running a successful domain auction is remarkably simple. Once you’ve gained a rough or exact estimate of value, you’ll be able to choose between a minimum bid or reserve. Then you’ll begin the domain auction and wait for the bidding to start.

Assess Domain Name Value

An adequate, free evaluation is typical among auction sites. However, you can generally understand domain name value through the concept of brandability. Essentially, this is how easy it is to build a brand around a given domain. Three and four-letter domains are extremely valuable, as are one-word and two-word domains. A generic name, such as generic.com, can command a good value.

You can compare the bendability of your domain to similarly brandable ones that have sold recently to understand what it can sell for.

Decide Minimum Bid Or Reserve

In general, setting a reserve is going to be a better choice than using a minimum bid. Ultimately, the practical difference between the two is small enough that choosing a minimum bid out of preference is fine. If you have no preference, choose a reserve price.

Now that you’re ready to launch the auction, it’s simply a matter of choosing the right auction site.

VPN.com Premium Domain Brokers

Domain names are one of our expertise here at VPN.com. If you want to understand more about the industry, you may read more on our website. Instead to a domain auction, you may also consider selling your domain name through our brokerage. We can assist you in determining the optimal course of action moving forward. Contact us if you require first-rate domain name expertise.

Africa Domains

Country

Domain Extension
Language
Capital

Algeria

.dz
Arabic
Algiers
Angola
.co.ao
Portuguese
Luanda
Antarctica
.aq
Russian, English
N/A
Benin
.bj
French
Porto-Novo
Botswana
.bw
English
Gaborone
Burkina
.bf
French
Ouagadougou
Burundi
.bi
French, English, Kirundi
Gitega
Cameroon
.cm
French, English
Yaoundé
Cape Verde
.cv
Portuguese, Creole
Praia
Central African Republic
.cf
Sango, French
Bangui
Chad
.td
French, Arabic
N'Djamena
Cote D'Ivoire
.ci
French
Yamoussoukro
Dem. Congo
.cd
French
Kinshasa
Djibouti
.dj
Arabic, French
Djibouti
Egypt
.com.eg, .eg
Arabic
Cairo
Equatorial Guinea
.gq
Spanish, French, Portuguese
Malabo
Gabon
.ga
French
Libreville
Ghana
.com.gh
English
Accra
Guinea
.com.gn
French
Conakry
Guinea-Bissau
.gw
Portuguese
Bissau
Kenya
.ke
Swahili, English
Nairobi
Lesotho
.co.ls, .ls
Southern Sotho, English
Maseru
Liberia
.com.lr
English
Monrovia
Libya
.ly
Arabic
Tripoli
Madagascar
.mg
Malagasy, French
Antananarivo
Malawi
.mw
English
Lilongwe
Mali
.ml
French
Bamako
Mauritania
.mr
Arabic
Nouakchott
Mauritius
.mu
Mauritian Creole
Port Louis
Mayotte
.yt
French
Mamoudzou
Morocco
.co.ma, .ma
Arabic
Rabat
Mozambique
.co.mz
Portuguese
Maputo
Namibia
.na
English
Windhoek
Niger
.ne
French
Niamey
Nigeria
.ng
English
Abuja
Congo
.cg
French
Brazzaville
Reunion Island
.re
Reunion French Creole
Saint-Denis
Rwanda
.rw
Kinyarwanda, English, French
Kigali
Sao Tome
.st
Portuguese
São Tomé
Senegal
.sn
French
Dakar
Seychelles
.sc
English, Seselwa, French
Victoria
Sierra Leone
.sl
English
Freetown
Somalia
.so
Somali
Mogadishu
South Africa
.co.za
Zulu, Xhosa, Afrikaans, English
Cape Town
St. Helena
.sh
English
Jamestown
Sudan
.sd
Arabic, English
Khartoum
Tanzania
.co.tz
Swahili, English
Dodoma
The Gambia
.gm
English
Banjul
Togo
.tg
French
Lomé
Tunisia
.com.tn, .tn
Arabic
Tunis
Uganda
.com.ug, .ug
Swahili, English
Kampala
Zambia
.com.zm
English
Lusaka
Zimbabwe
.co.zw
Shona, Ndebele, English
Harare
South Sudan
.com.ss
English
Juba

Asia Domains

Country

Domain
Language
Capital

Afghanistan

.af
Pashto, Dari
Kabul
Armenia
.am
Armenian
Yerevan
Azerbaijan
.az
Azerbaijani
Baku
Bangladesh
.com.bd
Bengali
Dhaka
Bhutan
.bt
Dzongkha
Thimphu
British Indian Ocean Territory
.io
English
Camp Justice
Brunei
.com.bn
Malay
Bandar Seri Begawan
Cambodia
.com.kh
Khmer
Phnom Penh
China
.cn, .com.cn
Mandarin
Beijing
Christmas Island
.cx
English
Flying Fish Cove
Georgia
.com.ge, .ge
Georgian
Tbilisi
Guam
.com.gu
Chamorro, English
Hagåtña
Hong Kong
.com.hk, .hk
Cantonese, Mandarin, English
City of Victoria
India
.co.in, .in
Hindi, English
New Delhi
Indonesia
.co.id, .id
Indonesian
Jakarta
Japan
.jp
Japanese
Tokyo
Kazakhstan
.kz
Kazakh, Russian
Nur-Sultan
Kyrgyzstan
.kg
Kyrgyz, Russian
Bishkek
Laos
.la
Lao
Vientiane
Macao
.mo
Cantonese, Portuguese
Macao
Malaysia
.com.my, .my
Malay
Kuala Lumpur
Maldives
.mv
Dhivehi
Malé
Mongolia
.mn
Mongolian
Ulaanbaatar
Myanmar
.com.mm
Burmese
Naypyitaw
Nepal
.com.np
Nepali
Kathmandu
Niue
.nu
Niue, English
Alofi
Pakistan
.pk
Urdu, English
Islamabad
Palestine
.com.ps, .ps
Arabic
Ramallah, East Jerusalem
Philippines
.ph
Filipino, English
Manila
Singapore
.com.sg, .sg
Malay, Tamil, English, Mandarin
Pulau Ujong
South Korea
.com.kr, .kr
Korean
Seoul
Sri Lanka
.lk
Sinhala, Tamil
Sri Jayawardenepura Kotte
Taiwan
.com.tw, .tw
Mandarin
Taipei
Tajikistan
.com.tj, .tj
Tajiki
Dushanbe
Thailand
.co.th
Thai
Bangkok
Timor Leste
.tl
Portuguese, Tetun
Dili
Turkmenistan
.tm
Turkmen
Ashgabat
Uzbekistan
.uz
Uzbek
Tashkent
Vietnam
.com.vn
Vietnamese
Hanoi

Caribbean Domains

Country

Domain Extension
Language
Capital

Anguilla

.ai
English
The Valley
Antigua
.ag
English
Saint John's
Aruba
.aw
Dutch, Papiamento
Oranjestad
Bahamas
.bs
English
Nassau
Barbados
.bb
English
Bridgetown
British Virgin Islands
.vg
English
Road Town
Cayman Islands
.com.ky, .ky
English
George Town
Curacao
.com.cw, .cw
Dutch, English, Papiamento
Willemstad
Dominica
.dm
English
Roseau
Dominican Republic
.do
Spanish
Santo Domingo
Grenada
.gd
English
Saint George's
Guadeloupe
.gp
French
Basse-Terre
Haiti
.ht
Haitian Creole, French
Port-au-Prince
Jamaica
.com.jm
English
Kingston
Martinique
.mq
French
Fort-de-France
Montserrat
.ms
English
Plymouth, Brades
Puerto Rico
.com.pr, .pr
Spanish, English
San Juan
Saint Lucia
.lc
English
Castries
Sint Maarten
.sx
Dutch, English
Philipsburg
St. Kitts and Nevis
.kn
English
Basseterre, Charlestown
St. Vincent and the Grenadines
.com.vc, .vc
English
Kingstown
Trinidad and Tobago
.tt
English
Port of Spain
Turks and Caicos
.tc
English
Cockburn Town
U.S. Virgin Islands
.com.vi, .vi
English
Charlotte Amalie

Central America Domains

Country

Domain
Language
Capital

Belize

.bz
English
Belmopan
Costa Rica
.cr
Spanish
San José
El Salvador