Reseller hosting has gained a great deal of popularity over the past few years, and for good reason. While many are taking advantage of all that a reseller account can potentially offer, many are still just learning about how reseller accounts work, and just how they can be of benefit to entrepreneurs, and multiple website owners as well. We’re going to go over a few basic questions and shed a bit of light on the subject. So let’s get to it!
What exactly is Reseller Hosting?
Reseller hosting is a type of web hosting in which the account holder has the option to use his or her designated hard drive space and bandwidth to host websites on behalf of third parties. The reseller purchases the host’s services at wholesale pricing and then resells those services to customers. The reseller may rent a dedicated server from a hosting company, or resell shared hosting services. In the latter case, the reseller is simply given permission to sell an allotted amount of disk space and bandwidth to his own customers without renting a server from the web hosting company he obtained a reseller account from.
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What are the benefits of Reseller Hosting?
In most reseller hosting packages, a control panel such as WHM/cPanel is included, which can truly be a godsend for those who are interested in taking full control over their account. From the WHM dashboard you can create multiple hosting packages, setting specific bandwidth, disk space, emails, and other attributes to each individual package. This would obviously come in handy if you are planning to resell hosting. This can also be of great use to those who own multiple websites and want to allot separate quantities of these attributes to each one.
Reseller hosting is also a convenient option for web hosting entrepreneurs looking to start a company. Being that most reseller hosting plans allow resellers to create their own service plans and choose their own pricing structures, it offers the flexibility necessary to start such a company. On top of that, resellers are generally able to establish their own branding using customized name servers and control panels.
Snapshot of the WHM Control Panel
I’m not very technical when it comes to hosting.
Can i run my own reseller hosting company?
Absolutely! Reseller hosting does not require extensive knowledge of the technical side of hosting. Generally, the data center operator (the host) is responsible for maintaining network infrastructure and hardware. The reseller is basically responsible for interacting with his/her own customer base. Any hardware, software and connectivity problems are generally handled by the server provider from whom the reseller plan was initially purchased (the host). This means that as a reseller, your main point of responsibility falls upon creating, allotting and managing the hosting packages you create.
How profitable can running a reseller hosting company be?
Running your own hosting company has unlimited potential. As with any startup, you generally get out what you put into it. In other words, if you are willing to put in the time, dedication and effort needed, your own hosting company could potentially become a multimillion dollar business. Even the highly acclaimed HostGator uses servers provided by The Planet to serve their 2 million plus customers.
Keep in mind that in order to run a profitable reseller company, one should understand the importance of running an extensive amount of advertising in order to gain new customers. Though the monthly fees with major hosts are only a few dollars a month, it’s a low profit margin business. Resellers that aspire to be successful must dedicate robust advertising budgets in order to compete with the vast sea of established competitors. However, web hosting is one of the largest online industries. Every website does need hosting, after all.
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