Before we delve any further, let’s understand what reseller hosting is all about. That, it is one of the hottest businesses to set up, requires very little investment and everything is so highly automated are enough incentives to jump into the bandwagon.
But, take it from me; it is not roses all the way to establishing a reseller hosting business. Like other online businesses, it requires perseverance, commitment and smart work.
Hosting Services Explained
Reseller hosting is about buying web server space in bulk from big time operators who have their own computers and stay connected to the internet backbone 24/7, and distributing them in smaller lots to customers. In other words reseller hosting is about retailing web server space without you not having to bother about maintaining the hardware and software that are so important for hosting.
To say it differently, your job as a reseller is to manage your customers, and your main point of contact is going to be your website. However, remember that nothing actually prevents you from doing off-line selling. You can try your hands at that too. It will lend some credence to your business.
Preparing for the Business
Assuming you already have some basic knowledge about the internet and how hosting works, let us skip to the nitty-gritty of owning and operating a reseller hosting business. The first requisite is a web presence for your company, and I don’t have to tell you why, most of it you must already be aware.
Next in line is establishing a small office with all basic amenities if you plan to take off with a bang, otherwise it can be your home as well; who cares anyway so long as you extend satisfactory services. Computers are an absolute necessity and it is going to be the backbone of your business.
Unless you are technically savvy, consider employing people who can provide chat support for your customers. Finally don’t forget to establish a safe payment system for receiving money from customers.
Tips for Succeeding in your Business
A good infrastructure with committed personnel should normally work well and see your business scaling new heights. However, there are some little tips you may want to try to give your business that extra punch. Here they are, try them.
- Selling everything to everyone is not always practical. Select a niche segment of users. If you are a start-up, target small businesses and individuals who want a web presence. Give them what the big operators cannot, like for example referring a website designer, registering a domain name for free or offering to maintain their website for a small additional fee.
- Select the principal host with care. Cheap doesn’t mean more profits, and more so in the business of hosting. Check if your principal host has the necessity hardware, firewalls, antivirus, and support services in place. As a reseller, you may not be able to provide them yourselves. If you propose building your business as a one-man army, remember that servicing your customers may be extremely difficult.
- Big operators like Go Daddy and Hostgator have exclusive reseller hosting programs. Consider joining one of it. The advantages you get are not really difficult to see. They have 24/7 support, operate chat services, have the latest web server software, and what is more, they upgrade their software and hardware more frequently.
- At your website, provide your prospective customers information that will encourage them to book space through you. Well researched articles on the advantage of having one’s own domain, free lessons on WordPress, Drupal and Joomla can help give your customers the confidence to buy space from you.
- Consider giving access to software that will let customers design their own WYSIWYG (what you see is what you get) online. A little investment on such software can go a long way in attracting customers.You should also guide your customers to find freebies online. You can for example write articles on how to use free to use Content Management Systems (CMS) like WordPress, Joomla or Drupal for managing websites efficiently.
- Bundle your services in a unique way to match industry standards, and keep your prices as low as you can, at least in the beginning. Like your principals, allow small concessions for those who bring in business, like for example an extended period of service or additional web server space.
Ultimately, understand that reseller hosting is a highly competitive line of business. There is enough money and space for more businesses to enter, but they are not without riders. Be prepared to spend the first couple of months promoting your online business and your website itself. With internet peeping into smartphones and smartwatches, noting related to Internet is unconquerable for a common man.