Back to our regularly scheduled programming… Over the weekend several news channels reported on how Google has decided to take a stand against domain kiting. Domain kiting is the technique used by domain name speculators to “test the waters” without having to pay for a domain. You can do this because there’s a 5-day grace period when you buy a domain that lets you back out of the transaction and get your money back… The basic idea is very simple: register a domain, immediately display some ads on it, and then wait to see if you get any traffic in the first 5 days. Then either keep or cancel the domain name. (If you’re in it strictly for the money, you don’t even bother keeping the domain name… you just keep the earnings for those 5 days and move on to another domain, or else drop and re-register the same domain…)
It may not sound like you can make much money, but if you’re testing thousands of domains it can definitely add up. (For more information on the domain name business, I recommend you read Domains Into Dollars, it’s the best one I’ve found.)
Anyhow, AdSense is a favorite program for domain kiting. It’s so easy to implement, and Google even has a specific program (AdSense for Domains) designed for domain parking. Now, however, they’ve decided that domain kiting is bad and so they’re changing AdSense to not serve ads to any domain that has been registered for only 5 days or less. Note that this doesn’t affect domain parking per se, it just means that you have to wait 5 days before you can start using AdSense for domain parking. At that point you own the domain and you can’t get a refund on the registration fee. So it shows (in theory) that you’re serious about doing something with the domain.
Pundits who think this will destroy domain kiting are wrong, of course. Domain kiters will simply move to other advertising programs. And there will be plenty of script kiddies who will jump into the fray and offer new scripts to fill in the void.
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Eric Giguere is the author of several printed books and knows a thing or two about content monetization. Subscribe to his AdSense blog today and never miss any of his insightful comments. And the not-so-insightful ones, for that matter.