Domain Tasting

Sounds like some sort of snack or something, doesn’t it? In fact, what it really refers to is when a company will register a domain name, but not truly want the name; at least not when they initially register it. Instead, they are sort of “testing the waters” on the name. Once they have it registered, they will do a market analysis to see if the name can truly work for their company. The Internet Corporation for Assigned Names and Numbers (ICANN) allows people and companies to register a domain name, and then they have what is known as the AGP (the Add Grace Period), a five-day time period within which they can change their mind about keeping the name. If it turns out that the name does not work for them, they can cancel it, and they do not owe any money.

Now, if this happens on a small scale, it is not a problem. However, some firms will register hundreds (if not thousands) of domain names, and then end up only making use of a handful of them; those that they deem as being viable domain names that hold good potential for making money. The ICANN has received numerous complaints about this practice over the last several years, and some changes to the system have been proposed.  According to the Domain Name Industry Brief (DNIB), as of the end of the second quarter of 2024, there were approximately 362.4 million domain names registered across all top-level domains (TLDs) Yet, the total number that had initially been registered over that month was around thirty-five million! And, this was not an isolated incident.  

This represents a decline of 0.1 million compared to the previous quarter and an increase of less than 1% from a year ago.

There’s also another practice that’s very similar to domain tasting, known as domain kiting. In this case, a firm will register a domain name and then delete it during the five-day grace period, and then register it again right away; thus they get another five-day grace period. By continuously doing this, a person or company can effectively get a domain name, and yet never paying for it. Domain kiting is illegal, and can result in real trouble for any firm attempting to do it.

In terms of the domain tasting, no official decision has been made by the governing board of the ICANN, but they continue to debate a solution. It remains to be seen as to what they may – or will – do.