(1) Registering an Internet domain name in order to redirect a visitor to another site. For example, the website computerglossary.com is a parked domain that directs users to computerlanguage.com, the company's main site.
(2) Registering an Internet domain name for the sole purpose of deriving revenue from ads placed on the home page. Domain parking is done on a small scale by individuals (handful of names) and on a large scale (thousands of names) by domain parking publishers. See
link site.
Domain Parking Ad Servers
There are several companies that specialize in serving ads to owners of parked domains. They serve ads that are relevant to the domain name being used and may also offer templates for parked domain owners to use to create their home pages.
Any unregistered name that sounds plausible can be chosen for a parked domain, because ads are available for almost every product and service on the planet. The parked domain owners (the "domainers") may also do domain name tasting to determine the effectiveness of the name (see
domain tasting). See
cybersquatting and
type-in traffic.