Reseller Hosting Computer Software Web Tips Guide
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Reseller Hosting For Your Best Clients
By Calista Joyner
Reseller hosting is a special kind of web server hosting. It
allows the person who owns the reseller account to assign the
server resources, which are part of their hosting package, to
third parties.
This means the third party gets their hosting from the reseller,
rather than directly from the company that owns and operates the
web servers. The reseller buys the web hosting services at a wholesale
price, then turns around and resells the disc space and bandwidth
to his customers for a profit.
Resellers of web hosting plans are simply entrepreneurs who are
acting as middlemen. They offer the hosting services that they
have leased from another web host’s server rather than purchasing
and maintaining their own equipment.
Resellers Can Provide Customers A Wide Range Of Hosting Services
Most of the time, the quality of services that are offered by
resellers is so good that the consumer is not aware that they
are dealing with resellers who do not own their own web servers.
Because they can pick and choose from many dedicated hosting services,
the resellers are in a position to provide their customers with
the best of web server hosting plans.
There are many reseller hosting businesses that are quite successful
and profitable, and anyone who understands the margins and the
numbers can turn some profit in this way.
Resellers Act As A Middleman
The basis of the profit comes from the fact that a reseller can
purchase, for example, approximately 1,000 MB of hard drive space
from their web server hosting provider for about $25 a month.
They can then repackage that allotment of resources into smaller
packages for numerous customers.
It is typical to be able to sell a web hosting plan that provides
people with about 25 MB of space for a price of about $5 per month.
The reseller then has the ability to create 40 hosting packages,
and the monthly income could be about $200.
While this is not a huge amount, it is basically turning a $25
per month investment into $200, and this process can be repeated
to support as many customers as the reseller is able to find.
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New Hosting Companies Usually Start As A Reseller
Often, when a new hosting company is first starting out, there
isn’t enough capital to provide the necessary round-the-clock
server maintenance, in addition to trying to market and grow their
new web server hosting venture.
In this case, a new hosting company can start out as a reseller
of hosting services and operate that way indefinitely, or until
they have enough customers and revenue to justify the capital
expenditures to purchase their own dedicated web servers, and
hire the support staff to manage and troubleshoot the equipment.
Custom Web Hosting Packages For A Target Market
In almost all cases, when a reseller hosting arrangement is established
with the web server hosting company, the reseller is able to set
up custom web hosting packages to appeal to a target market.
They are also able to put their company name and logo throughout
the reseller site so that it is the reseller’s "brand"
that the customer becomes familiar with and recognize easily.
About the Author:
Calista Joyner has written a number of articles on computers and
software including
Audio Books Online,
Adware Spyware Download,
Computer Spyware,
Computer Hardware Software.
Keep a lookout for more of his articles on this website.
Did You Know This About Dedicated Servers?
Why dedicate a server?
In the hosting market, it is not uncommon for
a service provider to rent server space to dozens, if not more, accounts
on the same server. Depending on usage and number of requests, some accounts
may suffer as the server reaches its limits.
Service providers also determine the hardware and software configuration
of the machine. If you have requirements for some piece of software
they have not installed, you may be out of luck. Dedicating a
server puts you in control. From the hardware to the software,
you choose the components that your server will employ.
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