Demand for aftermarket domain names grew substantially in 2007, setting yet a new record-setting benchmark for the market, according to an annual report conducted by Sedo. The continued increase in domain name value was spurred by the necessity for organizations and businesses to secure quality domain names that are no longer available through traditional registrars, as well as the greater ability to generate search engine optimization through targeted domain names.

Sedo, whose leading secondary domain name marketplace has long served as an index for industry performance, topped the $70 million mark in domain sales brokered for the first time in its history, twice the amount in 2006.

The Sedo report also found that advertising revenue generated from domain name parking, or matching pay-per-click advertisements with relevant domain names, also increased substantially on a per site basis as parked sites offered visitors more compelling content. In 2007, Sedo paid out more than $50 million to its community of domain owners using the company’s award winning parking program to monetize their unused domains.

Originally posted on January 23, 2008 @ 7:59 am