Backorder

What it means

A backorder is a standing instruction to a service to attempt registration of a domain the moment it becomes available. Expiring domains pass through a defined sequence of grace and redemption periods before they are released, and a backorder positions you to register at the instant of release rather than watching for it. You are paying for the attempt, not for the name.

Why it is not simply a purchase

Good expiring names are wanted by more than one person, and the service that catches a name resolves competing interest with a private auction among its own customers. A name several people wanted can therefore cost hundreds or thousands of dollars despite a backorder fee of a few dollars, and there is no way to know in advance whether you are the only interested party.

What determines success

Which service you use matters, because drop-catching depends on infrastructure and registrar relationships that vary considerably. Some services catch a high proportion of what they attempt; others rarely succeed on anything contested. Placing backorders with more than one provider improves the odds and multiplies the fees. Beyond that, the owner may simply renew during the redemption period, which ends the process regardless.

Whether it is worth doing

It is worth doing when you have a specific reason to want a specific name and a ceiling you have decided in advance. It is a poor way to acquire inventory speculatively, because the auction dynamic means you pay most for exactly the names other people also identified as valuable. Set the maximum before the auction opens, since these are short, fast and designed to encourage one more bid.