What is Reseller Hosting?

March 3, 2014 by Audrei Zencowski
What is Reseller Hosting?
Understanding what reseller hosting is can help you figure out which type of hosting is best for you. This type of hosting has a different purpose than shared, VPS or dedicated hosting. A reseller of hosting is far different than just somebody trying to create their own website or blog.




The Definition of Reseller Hosting


Reseller hosting is defined at a type of web hosting with an account owner that can sell hard drive space and bandwidth to third parties for a profit. Basically, as a reseller of hosting, you have an allotted amount of hard drive space and bandwidth, which you can split and sell to others.

Resellers of hosting may rent a dedicated server or they may use a different type of reseller package for their business. Typically, the space is divided into clusters and the account owner will keep one or two of the clusters for their own hosting. The rest, they will sell to others in the form of shared, VPS or dedicated hosting.

Why Should You Consider a Reseller Hosting Account?

Sometimes reseller hosting is the right choice and other times, it's unnecessary. One of the biggest advantages of using reseller hosting is the ability to offset our own hosting costs. If you purchase a reseller package and use a portion for your own websites and blogs, you can sell the rest to pay for the total cost. This would give you free hosting for your own projects.

Of course, the main reason somebody would decide to purchase reseller hosting is to make a profit. This is the easiest way to start your own hosting company without the high overhead of buying and housing your own servers. Most hosting companies that offer reseller hosting will allow you to upgrade as you sell your space, which makes your business very scalable.

Benefits of Becoming a Reseller of Hosting

Becoming a reseller of hosting comes with many benefits including:

• You become the one in control of the hosting and the features implemented on each package
• Gives you the ability to package hosting with other products, such as web design or SEO
• Provides the opportunity to make a recurring income
• Builds trust and loyalty with your clients
• Start with a small investment, often just a little bit more than paying for your own shared hosting package
• Can be branded to your own company name
• And Much More!

Reseller hosting comes with many benefits and you will be the one in control of how the hosting is used. With the ability to make a profit or at least offset your own hosting costs, you can build your business with this type of hosting.

Most Common Ways to Use Reseller Hosting to Compliment your Business

Owning a reseller hosting account gives you many options for turning a profit. Some of the most common ways businesses utilize reseller hosting packages include:

• As a compliment to another service, such as web design
• As an ongoing revenue stream for website flipper and developers
• As a way to start a hosting company with lower overhead

Many web designers and developers will include a certain amount of hosting free of charge in their packages. Once the free hosting expires, customers have the option to continue for a monthly fee or move the website to a new hosting account. Most will choose to continue for a monthly fee, if the hosting is good.

How Much can You Make with Reseller Hosting?

The amount of money you can make as a reseller of hosting is endless. Some have made six figure incomes and others just use it as a way to increase their bottom line.

Many web designers and developers make larger sums of cash from the design and ale of websites, but use reseller hosting to build an ongoing income. Using this example, if a web designer brought in two new customers per month and they all used the web designer's hosting, they would have 24 new customers paying for hosting every month after one year.

The possibilities are endless when it comes to the income you can make from reseller hosting. If you provide a service that could benefit from a reseller hosting package or you want to start your own hosting company, this type of hosting is for you.

About the author

Audrei Zencowski is a full time Blogger for www.dailyhosting.net, and loves Web Hosting related Products. In her spare time she travels around the USA by motorcycle.

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