To me it seems like the major players are already established. To get some real volume you'd have to put a unique spin on a service that's been around a while.
I think many people still continue to be domain reseller. The reason is domain name can represent your site content directly. In addition, internet user can easily remember the good and simple domain name. It is like some Chinese keen about buying the car plate with 8888.
I think in a lot of east asian countries its rather popular because while the world wide web has been around for us for awhile, its just beginning to boom over there
Marketing is the skill not fortuned to everyone, even if there is tough competition in the web hosting, Reseller Hosting can still earn a handful if the company is having a good marketing strategy with them
.com is most likely the most popular one among all. Some people just can't let go of domains with nice domain names simply because of SEO. Unless, you make a good offer in buying the domain name.
I really see a continued growth in reseller hosting. GoDaddy is opening a new customer support center in Iowa employing 60 reps, so that's a good sign. New business ventures continue at a steady pace, so there's a perpetual market there for hosting opportunities.
Yes there is a slowness in reselling domains because of the launch of various extensions in the last 10 years and domain brokers/owners want $xxxxx for some blahblahblah.com
Still few oldies who registered dictionary words, great .com's back 90s are making money.
Do you know that Vibrators.com Sold for $1 Million ?