Is Reselling Profitable?

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Hi,

If you're going to do reselling yes it's profitable depending on how hard you work to get clients.

Tips is that is great to focus in providing great support with your client as they are your asset.

Also don't forget to have other services as source of income like web design, email marketing, etc... there's a lot of opportunities as you go along the way. Just pick the right ones.

Also btw most clients look for the bundle ones like the all in one package -> they have website, domain, email, hosting, support etc... those packages works well for us :)

Thanks.
 
Being a reseller can be highly profitable . You need to make sure you have your customers on a reliable server your own or with a reseller account . You would also need to provide competitive prices to make any decent sales.
 
With the number of reseller hosting providers in the market today, you need a well-prepared business plan and marketing strategy to be able to get the most profit out of the market.

Reselling is no easy business. It's not a one-click, instant profit deal. You need to put in a lot of time, money, and effort to get your business going.
 
jdevelopers said:
Reselling is no easy business. It's not a one-click, instant profit deal. You need to put in a lot of time, money, and effort to get your business going.
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Exactly, but thats where most go wrong, they think all they need to do is get a cheap reseller account and then this will make them a fortune overnight. so they may start and get a few clients and then find they are not making a fortune, so just pack up without any concern or notice to their clients.
 
Reselling is like any other business. If you put nothing into it, don't expect anything out of it. Of course, it can be profitable and that model works well for thousands of providers.
 
Reselling is a great opportunity, but please be aware that choosing a great provider is the most important thing here. You cant have services going down etc.

- Daniel :)
 
Reselling hosting products can be very profitable and at the same time quite frustrating if done in a mediocre way. A lot of hosting service providers are actually resellers but since their websites already enjoy top traffic stats, in some cases even better and stronger than the original service providers', and the products originated from reputable firms, so thousands of loyal customers are using them.

It's not just the matter of sticking with the most profitable companies which offer better commissions or using very cheap monthly packages because the primary issue is how customers think of your services and how popular your own website is actually. For example, if your site appears on front page of Google form the term "web hosting", even if you are a reseller, you could have tons of orders.
 
unless you co locate then you are reselling someone elses services

1) dedicated server - you are reselling a datacentre service.
2) VPS, you reselling the dedicated server services who is doing point1
3) reseller, you are reselling the VPS server services who is doing point 2
 
easyhostmedia said:
unless you co locate then you are reselling someone elses services

1) dedicated server - you are reselling a datacentre service.
2) VPS, you reselling the dedicated server services who is doing point1
3) reseller, you are reselling the VPS server services who is doing point 2
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Definitely this. It's sort of like the drug trade.

The further up the chain you go the better the prices and profit are and more control you have over the product, but there's also a lot of associated headaches the higher up you are to go with that. Me, I never want to be worried about the guy above me screwing up and passing those savings on down the line, so I'd start as high up as I can. That's a whole other mess of setting up infrastructure and having the resources to pay for it all though.

It's certainly profitable, otherwise we wouldn't all be in some sector of the business. But the dividends are quite worth it if that's what you're into.
 
Colo To America said:
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The further up the chain you go the better the prices and profit are and more control you have over the product, but there's also a lot of associated headaches the higher up you are to go with that. Me, I never want to be worried about the guy above me screwing up and passing those savings on down the line, so I'd start as high up as I can. That's a whole other mess of setting up infrastructure and having the resources to pay for it all though.
...
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Funny this, I'd start at exactly the same point about profit and headache but would come to the diametrically opposite conclusion! Imho, running a webhosting business is more about the business and less about the webhosting, so would advise someone to start by reselling someone else's services, learn the business and the customers and then, as you grow, move up the chain a step at a time gradually increasing your responsibility, the amount of risk you are managing and the margins you can take.
 
Brian_R said:
running a webhosting business is more about the business and less about the webhosting, so would advise someone to start by reselling someone else's services, learn the business and the customers and then, as you grow, move up the chain a step at a time gradually increasing your responsibility, the amount of risk you are managing and the margins you can take.
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This is exactly how i advise others and how i started nearly 12 years ago now.

1) started with my own website
2) upgraded to reseller first so i could run more of my sites in one place saving me money
3) hosted a few friends site on reseller account
4) after 1 year udecided to upgrade to master reseller and started to advertise for more clients
5) after 5 year on MR the host suddently started messing me around and then suddely went down.
6) took step to upgrade to VPS (made a few bad choices of suppliers) but finally found who i am with now. I have 1 main server with clients and 2 other servers

I am making a decent profit now with happy clients, so in no real hurry to move to a dedicated server.
 
Brian_R said:
Funny this, I'd start at exactly the same point about profit and headache but would come to the diametrically opposite conclusion! Imho, running a webhosting business is more about the business and less about the webhosting, so would advise someone to start by reselling someone else's services, learn the business and the customers and then, as you grow, move up the chain a step at a time gradually increasing your responsibility, the amount of risk you are managing and the margins you can take.
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Haha, I may have stated it unclearly, but I think we are in agreement. There's a lot more headache having "more control" by being responsible for the hosting in everything, but for me personally I never like to worry about being beholden to someone else's problems. For someone just starting out you're totally right, start at the bottom and specialize at each step.
 
Colo To America said:
Haha, I may have stated it unclearly, but I think we are in agreement. There's a lot more headache having "more control" by being responsible for the hosting in everything, but for me personally I never like to worry about being beholden to someone else's problems. For someone just starting out you're totally right, start at the bottom and specialize at each step.
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Glad we're in agreement! The thing is though, you're always going to depending on someone, whether (as Terry says) another hosting provider, or a datacentre or even the power and telco utilities - it's just a matter of finding which point fits best to your comfort zone and capital budget !
 
reselling is not just profitable in the hosting industry but in every business.
i.e.

1) you have a retail store, you have this stocked with many goods from other companies, which you sell (resell) to your customers .
2) you have a decorating business that you sell the services of painting a customers home with paint you bought, so you are reselling the paint to your customer.

so life itself is about reselling goods/services to one another.
 
Hi guys, sorry, I don't want to start a thread for this quick QS. I have a VPS server (servint), used for several sites only, and I want to sell some shared hosting plans, just to make a little extra $$. Well, I have WHM/cPanel. What software should I buy to get started? I tried to find some guide for dummies online, but nothing found.

Thanks
 
marengo said:
Hi guys, sorry, I don't want to start a thread for this quick QS. I have a VPS server (servint), used for several sites only, and I want to sell some shared hosting plans, just to make a little extra $$. Well, I have WHM/cPanel. What software should I buy to get started? I tried to find some guide for dummies online, but nothing found.

Thanks
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well depends. you can create plans in your root WHM and then on a website just create payment links, which you can do with paypal, but if you want automation you will need something like boxbilling.com or whmcs.com. then you will need to have something like softaculous.com which is for a VPS $1.50 a moth or $12 a year so you can allow clients a range of scripts
 
Heck yeah it is! :)
Well at least as a secondary job on the side, yes it has been a nice little bit of change in the pocket. I am sure if I put more in I would get more out, but since I teach and do network admin full time, I don't have much else to put in.
 
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