Reseller Hosting is a simple and profit-making business if you get certain basics right. However, like any other business, it requires a strategic plan, preparation, and attention to certain aspects before you start the reselling business. In this article, we will talk about some important aspects that you must consider before starting your own Reseller Hosting business.
But first, a quick look at the basics.
What is Reseller Hosting?
Reseller Hosting, in simple words, is buying a hosting package from a web hosting provider and reselling it into smaller units to customers and other sub-resellers. You can host several clients without having to go through the trouble of running and managing your own web server. Further, you can create custom plans on the infrastructure provided by the parent hosting company and sell to clients under your own brand name.
Through Reseller Hosting packages, you get access to a control panel (cPanel) and WHM (or Web Host Manager). This allows you to manage and customize your own hosting packages which you can offer to your clients. However, before you start reselling web hosting, keep the following aspects in mind.
Things to consider before you start your own Reseller Hosting Business
- Define and Set Business Goals – What is your target market? Do you know the hosting requirements of this market? What are your sales targets and traffic goals? How do you intend to grow your client base? Answers to questions like these are important before you start Reselling Web Hosting.
- Budgeting – How much do you want to spend to purchase the Reseller Hosting plan, market your custom plans, and acquire clients? Create a budget. Assess your cost heads and determine how much you would want to spend. You can budget monthly, quarterly, or annually.
- Selling Price – based on your target market and several other factors, you need to assess how much you will charge for the hosting services. The trick is in neither charging too high or too low. High charges tend to keep the majority of clients away and those who buy have high expectations. On the other hand, pricing your plans too low might eat into your profits. Try to find that sweet spot and keep throwing in offers and discounts.
- KYHC (Know your Hosting Company) – Think of the hosting company as your business partner. It should be able to offer you 24x7x365 support, reliable services, and flexibility, as well as, scalability if your business grows fast. Research the hosting company well before purchasing a Reseller Hosting plan.
- Linux or Windows – Usually, Reseller Hosting plans are available on two platforms – Linux and Windows. Each has its own pros and cons. Assess which platform will best suit your target market’s requirements.
Reselling web hosting services can be a good business if you plan well and approach it strategically. People are always looking out for innovative and customized hosting solutions for their websites. Identify a need and create plans that fulfill those needs. We hope that the article helps you to get started with your new business.