Backorder a domain name is very useful to do. This way you are almost sure you will get the domain you want. You can use it when you want a domain that is expiring soon. But, if the domain is worth some money, you have a big change someone else is watching to. I did a backorder on godaddy a few days ago and it was not successful. This is what happened:
I backordered a domain that was expiring from a internet company. It had a pagerank of 6. This was the main reason for me to backorder the domain. A domain with pagerank 6 can be sold for way more than the registration fee (or in this case: the backorder fee).
The backorder I purchased was $ 19. This is not cheap and it was my first backorder ever. I thought I would end up with the domain name, but I was wrong. The thing was: TDNAM (The Domain Name After Market) was catching the domain for me and putted my $19 as a start bid on it. Than everybody else could bid and so my starting offer was lost.
Now I am not getting the money back from godaddy. I can backorder another domain and hope I am winning it on the starting bid. The only domain I can get now is a worthless domain that no one else wants to have. Lesson learned 
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April 16th, 2007 at 4:53 pm
April 16th, 2007 at 5:02 pm
That’s the only thing I don’t like about GoDaddy…You can’t get refunded for a backorder that’s not successful.
April 16th, 2007 at 8:01 pm
I’ve got one on backorder as well. Hopefully you have better luck than I’ve had.
Gregg: I think you can transfer “failed” backorders…let’s call them “expired” backorders to new domains. Can’t you?
April 16th, 2007 at 9:15 pm
Yeah, I can backorder a new one.. but thats not what I wanted
April 17th, 2007 at 2:47 am
You can’t get a refund on a backorder? What sort of crock is that?
April 17th, 2007 at 7:33 am
Yeah, I mailed them, but I dont get it back
April 17th, 2007 at 4:44 pm
Ifr you can transfer the backorder, at least the $19 isn’t gone forever.
April 17th, 2007 at 6:56 pm
it’s a “big boys” game unfortunally, nomar
But sometimes there is very good deals, but they are rare.
April 18th, 2007 at 7:47 am
Derrich, I’m not sure…
That’s why I haven’t tried backodering with Godaddy yet aha
April 19th, 2007 at 12:50 am
I think there are better ways to sell domains for profit over the registration fee. You could build a site and give it a decent page rank as quickly as possible then sell it.
April 20th, 2007 at 7:39 pm
I’d be willing to sell hmtk.com… for the right price!
April 27th, 2007 at 11:29 am
At least you can make a new order
June 15th, 2007 at 3:16 pm
This is part of GoDaddy’s scam. Their “backorder” service is nothing of the kind. Your backorder is there way of identifying valuable domains as well as a way to generate $19 revenue right off the bat from unsuspecting customers.
They use your backorder as a way to identify potentially valuable domains. Then they pass the domain name into their own auction site, tdnam, with the hope of generating interest in the domain among the public so as to spark a bidding war and earn lucrative commissions for themselves.
GoDaddy’s backorder service appears to me to be a fraud and highly unethical.