What is the purpose of backordering a domain?

Backordering a domain is a way to intercept and acquire a valuable domain that is being released by its current owner due to non-payment. This process helps to prevent cybersquatters and ordinary users from purchasing the domain.



The backorder service works by bombarding the registrar with domain registration requests before the domain is released. It is better to use backorder solutions rather than attempting to manually purchase the domain, as it can be extremely difficult to acquire a domain without competition.

The most popular backorder services are NameJet, SnapNames, DropCatch, and Pheenix, each with their own cost and auction options. It is important to check if the domain is already in auction or database before attempting to manually purchase it.

Frequently, when a domain is only available through the DropCatch service, it is advisable to place a backorder rather than wait for the domain to be captured by HugeDomains, a partner of DropCatch, who will drastically increase the price. It is recommended to place a bid 15 minutes before the end of a public auction in services such as NameJet or SnapNames.

 It is also advised not to use the DropCatch discount club and instead apply for the full price to avoid the potential issue of DropCatch sending the domain to HugeDomains instead of the person who submitted the application. When a domain is available in all three backorder services, it is best to apply for a backorder with each one to increase the chance of successfully acquiring the domain.

Are domains only held by the registrar, or can they be transferred?
When you refer to "the time", are you asking about the timeframe for placing a backorder?
Would you suggest waiting until the last minute to do so?

Deciding whether to purchase a domain directly from the owner depends on factors such as the price and ensuring a safe purchase process. GoDaddy offers a domain purchase and sale assistance service, where you set the price and they control the transfer of rights and money.
but, when pre-ordering a domain name, keep in mind that there may be an auction with many competitors, driving up the price. Ultimately, the decision should be based on how much the domain is needed and how much the owner is asking for it. It is more beneficial for the owner to sell the domain directly than to receive nothing from the auction after the domain is released.

When a domain is set to expire and is not renewed by the current owner, backordering allows you to put in a request to register that domain as soon as it becomes available. This is essentially your way of saying "I want that domain," and it helps you to cut through the noise of potential competitors who may also be interested in the same domain.

The fundamental benefit of using a backorder service is that it automates the process of monitoring and acquiring domains. Many people underestimate how fast domains can be snapped up as soon as they are released. If you try to manually keep an eye on expiring domains, you run the risk of missing out entirely. Backorder services, like NameJet or SnapNames, allow you to place a request that gets processed immediately once the domain becomes available.

One important thing to consider is that the battle for popular or valuable domain names can get quite fierce. You might find yourself up against several other bidders, and having a backorder in place gives you a better leverage in that scenario. Sometimes, a domain might be listed on multiple backorder services, and this is where strategy comes into play. By placing backorders on different platforms, you maximize your chance of snagging it before someone else does.

However, it's also crucial to be aware of potential pitfalls. If, for instance, you only put a backorder on one service like DropCatch, there's a risk that the domain could end up in the hands of HugeDomains, who often resell it at a much higher price. In that case, your initial efforts could become a costly mistake.

Timing is everything. It's recommended to place a bid as the end of an auction approaches. This way, you can gauge the interest and potentially secure the domain without inflating the price too early. Also, don't be tempted by discount clubs that some services offer. They might seem attractive, but can lead to confusion or your desired domain getting picked up by a third party instead of you.
Backordering a domain is an vital strategy in the domaining world. It maximizes your chances of securing a desired domain while circumventing some of the pitfalls of direct competition and immediate availability issues. Just be strategic with your placements, and consider spreading your bids across multiple services when appropriate for the best results.