Is Reselling Profitable?

[marengo]

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

Thank you very much, it's clear now. I'll try I think ))

 

[zxenterprises]

Dedicated as single machines not most profit

9 years ago when was in the hostign business full time you got a dedicated server, put a panel on it and sold hosting accounts and that is how it was done.
This is now 2013, dedicated servers as a single machine is defintely not the way to go these days.
Virtualization and cloud hosting virtualization has changed this business drastically and now a dedicated server can make different sources of income.
You take the dedicated, pit even OpenVZ virtualization on it whihc is free then if want good master panel use SolusVM or there is a free one or two out there.
Now instead of having a quad core+ machine with 32gb ram just to sell shared plans on you can divide the machine into variety of size vps or virtual servers, use one for your hosting, or a few for different panels of hosting then sell the remaining space as a vps and you can make alot more money. The licensing discount alone makes it a cheaper way to do things where cpanel for a dedicated is close to $40 you can license a vps for $15 and still run other applications or servers on the same node.
Auto backups, no restarts or downtime for upgrades and if on a cloud full failover makes virtualization a MUCH better alternative to the old model of hosting where you purcahsed a full dedicated for each application or each panel you wanted to run.
I have a OpenVZ node,a VMWare node and a cloud and with just those 3 things I am able to offer 5x the options as the person getting a machine per application and even selling the VPS and hosting cheap more then likely gonna make more money also.

 

[ServerDeals]

This is true but the vast majority of budget hosts oversell so you have less room and re-selling something that is already oversold does not make much business sense.

Yes furthermore I believe that "reseller hosting," which is web hosting, is a saturated market. There are many providers with just this alone and profit is marginal. You could always offer this as a add-on service or additional service. Being a reseller and reseller hosting are 2 different things really.

To the original post:

Really resellling is a great way to get into the market. Cost is marginal for you and you can set your own pricing to determine your maximum profit per server. Reselling also allows you to be able to put some of the technical aspects into the providers hands if they are are a semi-managed or managed provider. This allows you to focus on sales and gain a good client base initially. Once you are turning profits you can then earn while learning the ins and outs. Once you have a good knowledge, you can then move to selling VPS from a host node of your own. This allows you to further maximize profits as you are then the owner of the server and there thus, make full profit off any VPS you sale.

Once you get a hang of server management you may find that you enjoy this and want to continue with this plan, but most of us providers love growth. Its motivation and you may then find you want to look into Colocation to make even more profits! Really in hosting the sky is the limit as far as I'm concerned. We too started as resellers and are now provide Colocation ourselves. As you can see, if you have enough drive and can put in the hours. Success is achievable, but it will take work and hosting is a up and down market so don't get discouraged. Hope this helps!

 

[SenseiSteve]

Yes furthermore I believe that "reseller hosting," which is web hosting, is a saturated market.

I always see saturated applied to the hosting industry, but I completely disagree. If the fish in the Mississippi river were potential customers, then hosting providers would be fishermen on the banks - and I don't see the Mississippi drying up anytime soon.

 

[easyhostmedia]

It all depends on how much ready cash you have and how long are you willing to subsidize the cost of a server, to decide if you will just resell.

ie.

1) you decide to get a $100 server as a startup, but have no clients, so you have to pay $100 + associated costs ( cpanel etc) per month while trying to build a reputation and clientbase.

2) you get a $15 reseller plan (this is managed and has cpanel etc all included), you then spend the next 12 months building a reputation and strong clientbase.

After the 12 months you move onto your own server for $100 a month with a strong established clientbase that covers the server and associate costs and a profit.

so in my view start small and expand when needed

 

[easyhostmedia]

I always see saturated applied to the hosting industry, but I completely disagree. If the fish in the Mississippi river were potential customers, then hosting providers would be fishermen on the banks - and I don't see the Mississippi drying up anytime soon.

And taking your example as 1 fish is removed another will take its place and if 1 fisherman leaves another will take his place on the bank.

the same in hosting as you take on a new client another potential client will take their place in the looking pool the same as if 1 hosting provider goes another will be their to take their place

 

[HostMunch]

Well, it's always best to start with something small like a reseller account. You should only move on to actual servers once you have enough clients.

 

[hostmything]

Gotta start somewhere

 

[pwhcary]

It will depend upon the client and its requirements.

If only shared hosting plans are need to sell then Reseller hosting account is good but for Reseller hosting plan small VPS or a Dedicated server.

 

[Alex - A2 Hosting]

Mate If You Want to Run a Hosting Company go for Dedicated Server instead Reseller then you can make good profit.

:crash: Start with a reseller or a VPS at maximum. Generate sales to become profitable. Only when you need to and can justify the cost upgrade to a dedicated server.

Starting with a dedicated server is a good way to lose a lot of money for a long while.

 

[easyhostmedia]

:crash: Start with a reseller or a VPS at maximum. Generate sales to become profitable. Only when you need to and can justify the cost upgrade to a dedicated server.

Starting with a dedicated server is a good way to lose a lot of money for a long while.

+1 before moving to a dedicated you are better off with a reseller, so that you build a reputation and a strong clientbase ( i stated this earlier), then move to VPS and then when ready a dedicated server.

 

[Eased]

Everyone has to start somewhere. Reselling is a great place to start IMO. Allows you to test the waters without so much overhead costs of owning your own hardware, especially if you are less experienced.

 

[eurovps_klaus]

Reselling can be profitable, you must carefully choose your prices and be dedicated to giving your customers the support they need in a timely manner. You should also have a convincing site. It shouldn't look like you're a 11 year old trying to make some money online. It can also help if you have a few people that you know locally that you can convert into clients. Remember that if you provide good support clients will talk about your company and you will in turn get more clients coming your way. You just have to start off very dedicated.

 

[hostxenia]

Exactly. If you're going to be a reseller, be smart about it. Provide great support and partner with a good web host that is always easy to get in contact with. And when it comes to being profitable, set your prices where you don't need 1,000 users on one machine to break even. That's not a place where anyone wants to be.

 

[euro-space]

Having strong partner (your hosting provider) in reseller business is the crucial.
You have to be sure they have 24x7 technical assistance and are able resolve your client's issues promptly.
You have to be sure they own industry leading hardware and run most recent stable software, as well as having firewall, ddos and other server protection mechanisms. Providing server monitoring and management.
Be sure that you can rely on your hosting provider and its support, as they should handle many cases coming from your customers.
When you grow, you can move to VPS or dedicated server, as you'll take complete control on your system.

 

[Vineyard]

This might be a niche market, but it's just like any other in this regard. Buy low when there's not a lot of demand then sell high when there is.

 

[SwiftHosting]

Don't forget that dedicated servers (or VPS) are not always cheap when taking into consideration the add-ons. Nowadays these add-ons are order qualifiers and expected as standard by a potential client.
You've got the monthly lease fee, control panel fee, web server fee (LiteSpeed??), automatic script installers, website builder, etc. etc. It all adds up.

For a new person I think a reseller account should always be the first step as the provider will more than likely include all of those in your package.

 

[easyhostmedia]

You've got the monthly lease fee, control panel fee, web server fee (LiteSpeed??), automatic script installers, website builder, etc. etc. It all adds up.

This is too true, but you can get a decent managed VPS with a control panel (cPanel/DirectAdmin) for $50 a month

but then you have to look at

Softaculous - $1.50 mth or $12 a year
ConfigServer eXploit Scanner - $50 one off fee
Litespeed $15 a month
WHMCS - $20 a month
WHMXtra - $4 a month
RVsitebuilder - $60 a year ( although trendy flash builder/breezi are free to you as a partner, then clients get a free trial and then have to pay)
RVskin -$25 a year
CPRemote $6 a month
WHMReseller Monthly: $5.07/m Yearly: $51.14/y Lifetime: $153.53

and these are just really the basics

 

[Jaden kylie Smi]

I'm planning to start a resller business , but i'm totally new to the business and need a good advice from all the members here, The tips and tricks and also how we can do this business in a much profitable manner.

3 Reseller Hosting Tips You Need To Know
-Don't Overestimate Your Client Base
-Don't Forget to Market and Promote
-Establish Dedicated Customers

:agree:

 

[EasyAsPie]

There are some limitations in reseller hosting but it can definitely be profitable. It's a good way to get started if you want to do it faster and easier.

With VPS or dedicated server you would have to install and manage everything before you can start selling. With reseller hosting everything is often provided with the plan, for example control panel and all management systems. And as it has been mentioned before, reselling is cheaper way to get started.