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Reseller Hosting Explained
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 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 business reach without the cost of 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 domain names, 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 Internet, then you do not have to put up a lot of money, all you need is an Internet ready 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 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 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 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 hardware and 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 budget then you can go for 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. Ashish Jain
MORE RESOURCES:  Yahoo! News Search Results for URL Yahoo! News Search Results for URL • Twitter Gets Its Own URL Shortener To Stop Scams; Good Marketers Need Not Fea... Twitter has just announced that to protect people from scams, links in direct messages and sent via email will be shortened using its own URL shortener. It?s a welcome move. Still, I was curious about any impacts this might have for good marketers who are not trying to scam people. • Migrating to a New Domain and URL Structure ? My Learnings (Search Engine Jou... Recently the company I worked for made a big decision to rebrand and with it came the dreaded domain name change. We are also having a new website being built so another SEO favourite URL's. This article will share my leanings from my sleepless nights and epic amount of research into making sure it didn?t go? Check out the SEO Tools guide at Search Engine Journal . Migrating to a New Domain and ... • Universal Resources Limited (ASX:URL) Updates On Land Purchase And Outokumpu ... Universal Resources Limited (ASX:URL) Updates On Land Purchase And Outokumpu Copper Project • Twitter URL Shortener To Combat Phishing Scams (Coated) If you?ve used the 140 character social networking site, Twitter, for any length of time, you?ve probably been inundated with direct messages pushing everything from online pharmacies to the best porn sites and everything in between. Many of these spam messages are also laced with website addresses that result in Twitter users falling victim to a [...] • ?Chuck Norris' search is viral worthy, but only once! (Everett Herald) Here's a fun diversion to celebrate the birthday of an American icon. Now, I don't mean the field in your browser that allows you to directly search Google without going there, I mean type www.google.com into the url field of your browser. • Twitter to route all tweet links through security check (Geek.com) The popularity of the Twitter service has not only made it a destination for millions of users every day, but also of those attempting to carry out phishing scams. The problem until now was short URL links were being clicked in tweets without any knowledge of where they led. Inevitably this meant lots of users were [...] • American Idol Interview: Tyler Grady (Reality TV Magazine) Tyler was that singer this year that stood out on American Idol because he was so different from all the rest. Many viewers were shocked when he did not make it through the first week of American Idol when America got to vote on their favorites. What do you think? Should he have made it [...] SHARETHIS.addEntry({ title: "American Idol Interview: Tyler Grady", url: "http ... • American Idol Interview: Joe Munoz (Reality TV Magazine) Joe Munoz was probably not the most shocking exit of the American Idol this season because he unfortunately was one of the competitors who did not get a lot of back story and did not have a real sob story for the viewers to grab onto. He was still very likable though and was more [...] SHARETHIS.addEntry({ title: "American Idol Interview: Joe Munoz", url: "http://realitytvmagazine ... • American Idol Interview: Ashley Rodriguez (Reality TV Magazine) After Ashley Rodriguez?s boot from American Idol a couple of weeks ago she talked to reporters and answered all of her fans burning questions. There were many people who were upset about American Idol getting cut from the top 24 of AI. Were you one of them? Question: A quick question for you: Looking back, what [...] SHARETHIS.addEntry({ title: "American Idol Interview: Ashley Rodriguez", url ... • American Idol Interview: Janell Wheeler (Reality TV Magazine) Recently we were able to be part of an interview with Janell Wheeler who was voted off of American Idol a couple of weeks ago. The very down to earth star from this seasons American Idol top 24 showed both her innocence and her bluntness during her interview. She also talked about her hopes for [...] SHARETHIS.addEntry({ title: "American Idol Interview: Janell Wheeler", url: "http ... |
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