8 Things to Know About Reseller Hosting
Reseller hosting can be a highly profitable initiative, especially considering you don’t have to buy a ton of resources. The parent host makes the investment in infrastructure and human capital.
With reseller hosting, you can grow your business with multiple revenue streams. It is a fantastic way to position yourself as an end-to-end service provider in the online hosting space. Here are eight things many providers wish they had known before getting started!
1. You can start with minimal investment, but profit won’t come quickly
The upfront investment is minimal where this type of hosting is concerned. In addition to this benefit, you can set your own prices and offer numerous services to customers, such as disk space, databases, email accounts, bandwidth, or add-on domains.
Among the other pluses of buying reseller hosting are the low entry barriers, the opportunity to scale your own brand, and the fact that reseller hosting is relatively economical. The last one is a benefit for potential customers, but profit won’t come fast. With starter packages ranging from $10 to $20, you’ll need to rely on a large number of customers to turn a profit.
2. You have room to grow
If your website has numerous pages and gets a lot of traffic, or you have multiple sites, reseller hosting will provide a lot of space and features. For example, you can run different parts from different servers and URLs without buying extra hosting plans.
Reseller hosting plans tend to come with powerful control panels, allowing for more effective site management. The best reseller hosting companies offer intuitive dashboards like cPanel and unlimited SSL certificates.
3. It lets you develop a brand
Reseller hosting lets you develop your own brand and identity even though you’re selling another web hosting provider’s resources. In essence, this means that customers don’t have to know you’re buying hosting from someone else.
You can turn an extra profit from reseller hosting by selling domain names, VPS hosting, dedicated IP addresses, SSL certificates, and other add-ons.
4. You depend on your parent host
Your business’s success depends on the quality the original web hosting provider offers. If they have a lot of technical problems or their server goes down regularly, the impact on your business will be understandably adverse.
Despite this dependence, you bear the responsibility of answering questions from clients. Failing to address inquiries will affect your operations negatively.
5. It’s not as flexible as you think
If you are stuck with a bad parent host, it should be an easy fix – you just change providers, right? It’s not that simple, though. You’ll have to move all your client data, which can be highly challenging. You require a dedicated or virtual private server as the bare minimum, which will increase your expenses. What’s more, you’ll need to go through your web hosting provider for most services because your access to the server is limited as a provider of reseller hosting.
6. It’s a great way to branch out – for certain professionals
Web developers, marketing professionals, and SEO experts will find reseller hosting a great way to branch out. If you are already developing websites for customers, you’ll find reseller hosting an ideal complement to your main activity.
SEO and marketing professionals can improve their customers’ websites’ content and rankings, as well as ensure they have all their meta tags and keywords covered at the backend.
7. You can bundle services or sell them as add-ons
Providers of reseller hosting can sell services as add-ons or bundle them up. The most popular add-ons include malware scanning, email accounts, SSL certificates, and content delivery networks. It’s straightforward and lucrative to resell VPS hosting.
8. Nobody has to know you’re a reseller
Last but not least, you don’t have to disclose that you’re reselling hosting. You can choose white-label branding, which will let you bundle and sell services under your company’s name, even if the parent host manages everything. Your customers won’t be able to compare prices with your parent hosting company.