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  1. #1

    Reseller Defined

    Reseller Defined

    The term Reseller according to a dictionary means to sell again i.e. To sell a product or service to the public or to an end user, especially as an authorized dealer while making sure that you make a profit on the sale.


    Reseller Hosting

    Reseller hosting is no different either, a reseller buys a Web hosting package from a hosting company and tries to sell it independently. The profit for the reseller lies in either the discount or the commission s/he gets from selling an account.

    For example: The reseller might purchase a package whose features are valued at $100 for $90. So, the reseller stands to make a $10 profit on selling the package to customers. Normally, as the customers increase so does the profit margin for the reseller.
    Or you can get some money by earning commissions from the hosting company, this happens when you refer potential customers to the hosting company, if the customer signs up with the company then you earn a small recurring commission until the customer uses the services.

    Most web hosting companies try to outsource their services to resellers as it helps them to extend their business reach without the cost of marketing and sales and helps them to concentrate on the business side of things.

    What can be resold

    As a reseller you can decide what kinds of services you can sell.
    You can provide shared, dedicated or co-location web hosting or merchant accounts, store fronts etc.

    If you go with hosting then it might be useful to offer some other hosting related services like domain names, Search engines etc.

    Of course, if you have problems selling these sort of value added services in the beginning then you can sell them later.


    The cost and resources involved

    The cost of becoming a reseller and the equipment and people required in order to be a successful depends on a lot of factors.

    If you just plan to earn commission by referring people to the hosting company using by using the internet then you do not have to put up a lot of money, all you need is a internet ready PC and a internet connection.

    For a small start-up not a lot of money and resources are required. You can purchase a good reseller package from a hosting company by paying them some money upfront. A decent computer which can manage the account of customers and a good internet connection are all that is needed.

    It is advisable in fact to start small if you are very new to the concept of web hosting and reselling and then expand as you go on and start getting more and more customers in which case offering domain registration is also a very good way to make profits.

    If you have the money and the experience then you can go as far as buying all the server equipment required. In which case you will also be responsible for all the server maintenance costs.

    The other option could be to leasing a server this will be cheaper then buying the server but here as well you are responsible for all the maintenance and running cost of the server.

    In the above two cases you also need to make sure that you have multiple connections with the hosting company so there are no complications in case a connection goes down.

    Upside
    The best thing about being a reseller is that you do not require a lot of upfront investment.

    There is no need to have a lot of technical knowledge. Account management and Internet skills are all that is required. However, it would be really handy if you have some sales and marketing experience so you can interact with your customers better.

    The hosting company generally provides and maintains all the hardware and software.

    You do not need to hire a lot of IT staff to provide support. Providing basic support and leaving the more technical issues to the parent company support staff can be done.

    Downside

    Support can sometimes be delayed, as you are dependent on the parent company to handle the technical aspects and if there is a delay from their side then you along with your customer are affected.

    Sometimes customers leave you if they find out that you are a reseller and not a real hosting company.

    Tips for marketing yourself

    If you are starting out on a small scale then visiting message boards and posting your services there is a good idea. A lot of potential client with relatively small hosting need also frequent message boards and outline their hosting needs.

    Having contests is a great idea for bringing awareness about your services.

    Online ad campaigns, signatures, text links are very helpful techniques.

    Once you have got a bigger budget then you can go for google ad words or PPC search engines.

    The best strategy is to try out various combinations of these approaches and work out the best one for your needs.
    Cheers,

    Ashish
    ASP WEB HOSTING

  2. #2
    Member WebEdit's Avatar
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    Another good post

    Another good post Ashish! Very informational.

  3. #3

  4. #4
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    Reseller Defined

    Reselling web hosting services is the most popular business among webmasters who have sound knowledge of hosting and server management which helps them to generate good revenue by providing excellent hosting
    services. You can use your reseller hosting as well. Also if you have many websites and want a control panel such sites,but you do not want to use or a dedicated server, then you can use reseller.

  5. #5
    Senior Member
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    In Most Simple words Reseller web hosting is nothing but Reseller business where you sell someone else's hosting and domain Name services for profit. You Can buy Massive Hosting from the original web hosting site, and sell them as a premium one to your clients. This is one of the most popular earning options on the Internet as it covers a worldwide range of customers.

    Fore more details, please visit: http://webhostingsguide.blogspot.in/...-services.html

  6. #6
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    Reselling, or reseller web hosting, is selling web hosting to your customers under your own brand when the web hosting is provided by a larger
    company. This larger company is selling you a large web hosting account which you then break apart to sell as smaller quantities to your clients.

    Example:

    You buy a reseller web hosting package with 1,000 MB disk space and 1,000 MB bandwidth. You then break this into 10 separate accounts with 100 MB disk space and 100 MB bandwidth each and then you sell these smaller packages to your customers. So if you sell each of these packages for $10.00 dollars a month you would be making $100.00 and your only cost is the reseller web hosting package which cost $15.00 a month. So your total profit would be $85.00 a month. To summarize, reseller web hosting is the act of buying a large web hosting plan or dedicated server and then breaking it into smaller parts to resell to your clients.
    Asia Affordable Web Hosting Provider

  7. #7
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    Another good post Ashish! Very informational.
    Last edited by digcoupons; 10-05-2012 at 04:27 AM.

  8. #8
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    hi Ashish good and informational post thanks for shearing......

  9. #9
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    Retailer includes both online and offline retailers. Retailers typically purchase a quantity of a product(s) to resell through a shop or website for a profit.

  10. #10
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    You can use your reseller hosting as well. Also if you have many websites and want a control panel such sites,but you do not want to use or a dedicated server, then you can use reseller.

  11. #11
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    A reseller is a company or individual (merchant) that purchases goods or services with the intention of selling them rather than consuming or using them. This is usually done for profit (but could be resold at a loss).

  12. #12
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    Keep in mind when creating a reseller account that one can easily track your company via IP address - so, if you are not using something to mask your nameservers/IP address, your customers can check and see from where you provide the hosting plans - and, sometimes, go straight to the source!

  13. #13

  14. #14
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    Reseller hosting is a form of web hosting wherein the account owner has the ability to use his or her allotted hard drive space and bandwidth to host websites on behalf of third parties. The reseller purchases the host's services wholesale and then sells them to customers,

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