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Reseller Hosting Explained
Reseller Defined
Reseller Defined:
The term Reseller according to the 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
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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 in 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 a 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
An Internet hosting service is a service that runs Internet servers, allowing organizations and individuals to serve content to the Internet. There are various levels of service and various kinds of services offered.
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business reach without the cost of In economics, business is the social science of managing people to organize and maintain collective productivity toward accomplishing particular creative and productive goals, usually to generate revenue.
The etymology of "business" refers to the state of being busy, in the context of the individual as well as the community or society. In other words, to be busy is to be doing commercially viable and profitable work.
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marketing and sales and also 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
Marketing, as suggested by the American Marketing Association, is "an organizational function and a set of processes for creating, communicating and delivering value to customers and for managing customer relationships in ways that benefit the organization and its stakeholders".[1]
Another definition, perhaps simpler and more universal, is this: "Marketing is the ongoing process of moving people closer to making a decision to purchase, use, follow...or conform to someone else's products, services or values. Simply, if it doesn't facilitate a "sale" then it's not marketing.
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domain names, The domain name system (DNS) is a system that stores and associates many types of information with domain names, but, most importantly, it translates domain names (computer hostnames) to IP addresses. It also lists mail exchange servers accepting e-mail for each domain. In providing a worldwide keyword-based redirection service, DNS is an essential component of contemporary Internet use.
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search engines etc.Of course, if you have problems selling these 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 successful depends on many factors.
If you just plan to earn commission by referring people to the hosting company by using the
A search engine or search service is a program designed to help find information stored on a computer system such as the World Wide Web, inside a corporate or proprietary network or a personal computer. The search engine allows one to ask for content meeting specific criteria (typically those containing a given word or phrase) and retrieves a list of references that match those criteria. Search engines use regularly updated indexes to operate quickly and efficiently. Without further qualification, search engine usually refers to a Web search engine, which searches for information on the public
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Internet, then you do not have to put up a lot of money, all you need is an Internet ready The Internet (also known simply as the Net) can be briefly understood as "a network of networks". Specifically, it is the worldwide, publicly accessible network of interconnected computer networks that transmit data by packet switching using the standard Internet Protocol (IP). It consists of millions of smaller domestic, academic, business, and governmental networks, which together carry various information and services, such as electronic mail, online chat, file transfer, and the interlinked Web pages and other documents of the World Wide Web.
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PC and an 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. All that is needed is a decent
A personal computer (PC) is usually a microcomputer whose price, size, and capabilities make it suitable for personal usage. The term was popularized by Apple Computer with the Apple II in the late-1970s and early-1980s, and afterwards by IBM with the IBM PC.
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computer that can manage the accounts of customers and a good Internet connection.It is advisable to start small if you are very new to the concept of web hosting and reselling. Then you can 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 leasing a server as this will be cheaper than buying the server, but here as well you are responsible for all the maintenance and
A computer is a machine for manipulating data according to a list of instructions known as a program.
Computers are extremely versatile. In fact, they are universal information-processing machines. According to the Church–Turing thesis, a computer with a certain minimum threshold capability is in principle capable of performing the tasks of any other computer, from those of a personal digital assistant to a supercomputer, as long as time and memory capacity are not considerations. Therefore, the same computer designs may be adapted for tasks ranging from processing company payrolls...
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running costs 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
Running is by definition the fastest means for an animal to move on foot. It is defined in sporting terms as a gait in which at some point all feet are off the ground at the same time. It is a form of both anaerobic exercise and aerobic exercise.
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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
"Management" (from Old French ménagement "the art of conducting, directing", from Latin manu agere "to lead by the hand") characterises the process of leading and directing all or part of an organisation, often a business, through the deployment and manipulation of resources (human, financial, material, intellectual or intangible). Early twentieth-century management writer Mary Parker Follett defined management as "the art of getting things done through people."
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hardware and Hardware is the general term that is used to describe physical artifacts of a technology.
It can be equipment such as fasteners, keys, locks, hinges, latches, corners, handles, wire, chains, plumbing supplies, tools, utensils, cutlery and machine parts, especially when they are made of metal. In the United States, hardware has been traditionally sold in "hardware stores".
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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 easily achieved.
Downside
Support can sometimes be delayed, as you are dependent on the parent company to handle the technical aspects. 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 clientele with relatively small hosting needs also frequent message boards and outline their desired services.
Having contests is a great idea for bringing awareness and interest about your services.
Online ad campaigns, signatures, and text links are very helpful techniques.
Once you have gotten a bigger
Computer software (or simply software) is the programs and procedures that enable a computer to perform a specific task, as opposed to the physical components of the system (hardware). This includes application software such as a word processor, which enables a user to perform a task, and system software such as an operating system, which enables other software to run properly, by interfacing with hardware and with other software.
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budget then you can go for Budget generally refers to a list of all planned expenses and revenues. A budget is an important concept in microeconomics, which uses a budget line to illustrate the trade-offs between two or more goods. A personal budget is among the most important concepts of personal finance. In a personal or family budget all sources of income (inflows) are identified and expenses (outflows) are planned with the intent of matching outflows to inflows. There are a wide variety of personal budgeting methods and tools that can be employed to help individuals and families with the budgeting process.
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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.
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