Long ago, high-quality domain names abounded, but today, users face fierce competition when trying to snag an ideal domain name for their website.

Fortunately, GoDaddy's services and tools can help you secure auction domains and possibly sell them for a profit.

Officially GoDaddy Operating Company LLC, GoDaddy has earned its reputation as perhaps the most trusted domain marketplace.

Once you sign up and create your account, you can start bidding or selling shortly.

Our SpamZilla team shares our best advice for buying and selling domains on GoDaddy Auctions in this article.

Understand the Different Auction Types

Auctions on GoDaddy fall into one of the following categories:

90-day: When someone lists a domain as an "offer/counter offer," the auction runs for 90 days. Whenever someone makes an offer, the seller can accept it, reject it, or make a counteroffer.

Seven-day: A seller can convert a 90-day listing into a shorter auction as long as a buyer has already made an offer, which will function as the starting bid.

Closeout stage: If no one places a bid during the seven days, the seller lists the domain at a “buy it now” price of $11 and decreases it by a dollar each day until someone buys the domain.

Expiring domain: GoDaddy sometimes sells domains with quality links right before their registrations expire and become available to the general public again. These auctions last for 10 days.

GoDaddy Domain Auctions: Tips for Buyers

1. Use the Advanced Search Tools

Unlike a Sedo domain auction, GoDaddy provides a handful of helpful filters that can help you find the best domain name for your site.

For example, you can narrow your results by top-level domain (TLD), price, or keywords related to your niche.

In addition, you can look for trending domains under “most active,” listings set to expire under “ending soon,” and buy-it-now listings under “fixed price.”

2. Evaluate Prices

Before you bid on a domain, look at other sales to determine whether you could get better deals for your money.

You don’t want to pay more than you need to.

3. Don't Wait for the Auction to End

Although you can sometimes contact the seller with an offer after the auction ends, it’s quite a gamble.

If you find the absolute perfect domain name for you and your business, don’t wait for the auction to end—place your bid.

4. Bid Wisely

In the context of bidding, the early bird doesn’t always get the worm.

In fact, placing an attractive bid too soon can start a bidding war with other users and jack up the price.

Another note: Don’t keep refreshing the page, or the traffic will attract more competition.

When it comes to how much you should bid, random numbers tend to win more than rounded ones.

For instance, you may win the auction with $101, compared to someone else who bids $100.

GoDaddy Auctions: Tips for Sellers

1. Keep Your Focus Narrow

If you want to buy a domain to flip it, look for domains with keywords or TLDs related to your areas of expertise.

You’ll have an easier time enhancing the SEO.

2. Sell Names with Real Value

Work with domain names that you’d genuinely want to use.

Ask yourself questions about what people in your industry need from their website domain and determine whether the name you have your eye on meets those needs.

Note that short, brandable domains can do wonders for marketing websites.  You can even review the eBay domain name auctions to see what people are buying.

3. Appraise Your Domains

If you need help setting an appropriate price for a domain, you can use GoDaddy’s free Domain Name Value & Appraisal services based on real market data to determine what you might set as the starting bid.

You should also keep in mind that GoDaddy charges sellers a 15% commission for small sales and even more for larger ones.

Plus, purchases over $5,000 go through Escrow services, so you’ll likely incur additional fees.

4. Specifically Target Potential Buyers

You can always cast a wide net and hope for the best, but the most successful sales occur when you actively seek out others in your industry who can benefit from the domain. It’s always a good idea to start with people you know.

Another effective method? Look for a business that has a site with the same name but with a less popular TLD; the company may want to upgrade from .info to .com, for example.

When reaching out to these businesses, you don’t want to turn them off with a spammy-sounding email.

Keep your pitch short and sweet for the best chance at starting a conversation that hopefully leads to a sale.

Create a SpamZilla account to find domain names to buy and sell on GoDaddy Auctions today! Feel free to contact our support team with any questions you may have.