What is a Reseller Hosting?
All web hosting providers have extra physical server space that they aren’t using. Whenever they rent the server space out to third parties, they are operating on a reseller structure. This alternative revenue stream is actually a driver for many of these hosting providers and allows them to save on costs and get the most use out of their servers.
Resellers act as separate hosting providers, and for a monthly, quarterly, or yearly fee the hosting provider will create a virtual private server (VPS) and make it available to the reseller. They will sometimes also let resellers use dedicated server spaces as well.
In other words, reselling is when a company uses the assets of a parent web hosting company and sells it as their own. Most web hosting companies have reseller packages available. Since this industry generates tremendous profits, resellers get a small piece of that without having to invest much upfront capital.
Who is Reseller Hosting For?
There are usually three different types of individuals that will choose to become web hosting resellers. Each of the three types will fill a separate niche and needs a different kind of business plan to make reselling work for them.
1. Web Designers
When we refer to web designers here, we mostly mean freelancers or people that provide web design services to clients without the backing of an agency. Since freelancers are paid by the project in most cases, finding a source of a steady income is their ultimate goal. By becoming a web hosting reseller, they have a new way to start bringing in money for their business on a regular basis.
Many freelance web designers will choose to become web hosting resellers because it compliments their existing services well. While they’re already building a website for a client, they can offer to host the site for the same client. This saves the client the trouble of finding a different web hosting provider.
Freelance web designers will also choose to offer hosting services as an added bonus to reel in new customers. By providing free web hosting in addition to their design services they can attract more clients and keep them coming back time and time again.
2. Entrepreneurs
If you’ve been thinking about starting a small business or want to make some easy money online, you might want to consider becoming a web hosting reseller. The benefit of choosing this type of business is that there are little upfront costs needed and the most reputable hosting companies will provide you with resources as you get your business off the ground.
3. Web Design Agencies
Finally, just like freelancers, web design agencies can make good money reselling web hosting services as a complimentary service to their existing web design services. It can help them bring in more money each month and can simplify the process of managing their customers’ websites. Also, clients have come to expect web hosting services from their web design agency, so if you don’t already offer this service, now would be a good time to start.
How to Find the Best Reseller Hosting?
Website owners choose to become web hosting resellers for a number of reasons. For some people, wanting to become a web hosting reseller means choosing an easy way to start making money online. All they need to do is sign up with one of the best web hosting reseller companies and then they can begin selling hosting packages to people across the Internet. Other people might choose to become hosting resellers because it is a complimentary service they can sell to their clients in addition to their primary services.
Whatever the case may be, when you decide that you want to become a web hosting reseller, you need to make sure that you’re working with the best reseller hosting providers. Let's discuss some of the benefits along with the potential drawbacks of becoming a hosting reseller before you make up your mind.
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