What does it take to be a hosting reseller?

[debayo]

I can see that there are different ways of being a hosting reseller. However I get this impression that a reseller just has to be more marketing-oriented rather than technical oriented. Is this correct? If it is, then I might qualify to be a hosting reseller ^_^

 

[James-A]

Starting a Reseller Hosting is quite simple. All you need to do is find a reliable hosting provider. The hosting provider will offer Backend support to your customers, so you do not have to be technically sound.

 

[XeHSean]

Starting up a hosting company nowadays is very easy, especially because many hosts offer tons of free value-added that cut your costs tremendously

 

[handsonhosting]

Sean hit the nail on the head. You MUST be able to offer the Value Added options. You have to be creative enough to mark up your pricing and offer features that the other companies do not offer - otherwise people just directly to the source.

For many people, being an affiliate of companies that offer recurring comission is more beneficial. This way you send the customer directly to the hosting company and you get a percentage while the customer is their client.

Being a reseller yourself means that you must be available to your customers. You'll need to invest in a pager and be on call 24x7 while things fail and you fix them and answer your customers questions as needed.

I'm a big fan of affiliate type setups. Too many resellers startup, offer rock bottom prices and then don't have enough to cover expenses and time needed to operate the business.

 

[James-A]

I second you Conor! It is better to start with an Affiliate marketing rather than a hosting company. No doubt, if you can handle the services, start a hosting business. You must have patience and perfect in customer service to grow in this industry.

 

[debayo]

Thanks for the inputs guys. I'm*more inclined to go for recurring commissions. I don't have the fire in the belly to be on top of technical stuff, much less to be available 24/7. A friend of mine has that fire in him and I admire him. But we're all unique, right?

 

[ldcdc]

I don't have the fire in the belly to be on top of technical stuff, much less to be available 24/7.

There is such a thing as reseller hosting with end user support. It leaves you in charge of billing and sales though.

 

[handsonhosting]

That's a great option too Dan. I haven't seen too many places offering that kind of setup, but if it's done right and not too confusing for the customer to distinguish between where to enter a ticket and where to enter billing info, it could be a good option.

Unless you're talking about the reseller still having to open a ticket with the hosting company on behalf of their client. In those cases it still leaves the middle man needing to be fast with getting the support replies to the user.

 

[SenseiSteve]

I'm a big fan of affiliate type setups. Too many resellers startup, offer rock bottom prices and then don't have enough to cover expenses and time needed to operate the business.

I've seen somewhere that brick and mortar start ups need one years operating expenses in reserve. While that's not always true for web hosting providers, those that survive and grow have those expenses covered - without dipping into first year gross profits.

 

[ldcdc]

Unless you're talking about the reseller still having to open a ticket with the hosting company on behalf of their client. In those cases it still leaves the middle man needing to be fast with getting the support replies to the user.

Nope, I'm not talking about that kind of setup, I'm talking about a support interface where the customer won't know they're dealing with the upstream provider. You're right that there aren't all the many providers offering this, but I know a couple of them. Innohosting, ezpzhosting, and I think rshosting, turnkeyinternet too.

 

[handsonhosting]

Nice - thanks for the list Dan. Hopefully someone can put that to use.

 

[expertwebhost]

Starting up a reseller service is very easy with whmphp or zamfoo based master/alpha reseller offers. But, you should get it from reliable source otherwise you'll end in disaster.

 

[MikeDVB]

There is such a thing as reseller hosting with end user support. It leaves you in charge of billing and sales though.

It exists, but I personally wouldn't recommend it. If you can't at the least provide a basic level of support to your customers, why bother?

 

[debayo]

There is such a thing as reseller hosting with end user support. It leaves you in charge of billing and sales though.

I think I would love this kind of set-up It gives me control of the business side while I have the main seller to take care of the technical stuff. After all, he has all the equipment and expertise in his control.

 

[ecapsnet]

Hi, It's quite simple, search and find the best reseller service provider and integrate with your own application, payment gateway, hosting panel, invoice and billing software and promote your business.

Devashish Biswas

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[zomex]

I can see that there are different ways of being a hosting reseller. However I get this impression that a reseller just has to be more marketing-oriented rather than technical oriented. Is this correct? If it is, then I might qualify to be a hosting reseller ^_^

I would agree with your views. Although the marketing and selling isn't to be underestimated. Using a reseller account will allow you to ensure your business model is working without the need to worry about server management etc. Once you've grown a bit you can always purchase a server of your own.

Jack

 

[debayo]

Thanks for affirming Jack. Indeed, it's one thing to be technically savvy. It's another to be marketing savvy. Some people do both and I admire them. For the rest of us, two or more people would simply have to work together to address both needs of the business.

 

[othellotech]

I can see that there are different ways of being a hosting reseller

Reseller hosting really only works if you're using it as part of a value-add service, not simply dividing up the space and selling it on.

If you're focussing on marketing and client acquisition, then join a hosting affiliate program, you drive in the sales, they handle everything else.

 

[ldcdc]

It exists, but I personally wouldn't recommend it. If you can't at the least provide a basic level of support to your customers, why bother?

My post came out wrong. Having end user support should be a way to have someone there when you're sleeping, or really busy with other things, or taking a vacation. It should be at the same time a great way to learn how support should be provided, assuming that the reseller has access to all tickets.

The reseller should be very much involved in interacting with its customers, even if only with the goal of being aware of their needs. Isolating yourself from your customers only increases the chances of failure.

 

[CentralHosts]

To be a reseller it is very easy and not much capital needed. You need to have a website that lists the different products you have and know what you are selling. There is nothing worse than dealing with a reseller that knows nothing about the products.