Reseller Web Hosting is Rising in Popularity – Why?

The practice of buying server resources from a web hosting company but then selling them off as your own for a profit is rising in popularity. From digital marketing agencies and IT consultancy firms to software application providers and freelance web developers, a number of different enterprises and entrepreneurs are exploring the idea.

But why exactly is reseller web hosting gaining more and more traction? And what boons and benefits does it potentially present? Find out below or click here for more information about how cloud reseller hosting from VPS.net works.

The progressive popularity of reseller web hosting

Despite the fact that hosting resellers are clients of their chosen provider, they can also make money and fabricate opportunities out of the transaction.

This is because out of the substantial storage space and bandwidth allotted to them, resellers can cut resources up into smaller segments, some of which they will retain while the rest is sold to a third party.

However, it is important to note that with such a transaction, the host will always be the actual vendor, not the reseller.

The advantages of reseller web hosting

• Extra income – By selling storage space and bandwidth on a web host’s server, resellers can effectively earn enough money to pay for their own site and generate extra income as well. Reselling is a high margin service with high retention rates among clients too.
• Value for money – As well as a low cost of entry, reseller web hosting is also an extremely affordable venture, with little to no ongoing expenses.
• One-stop-shop – If you are already providing your clients with web-related products or services, a hosting package will be the perfect accompaniment, which could transform the business as an online one-stop shop.
• Maintenance control – It doesn’t have to be difficult maintaining your clients’ website, as you can easily develop a relationship with the customer service and tech support teams of your reseller provider.
• Better management – Say one of your clients needs more storage space or bandwidth during a promotion or the holiday season – it is easy to scale up their allowances and then scale back down again, which should increase customer satisfaction and loyalty.

The essential traits of a reselling provider

If you like the idea of reseller web hosting, you should choose a provider with the following traits in order to make the most of this opportunity.

• Strong security measures – The sensitive or confidential information of your clients and their customers is at risk if you choose a provider that doesn’t have strong security measures in place. Look for things like SSL certificates, two-factor authentication, and enterprise-grade firewalls.
• High uptime percentage – The last thing your clients will want to suffer from is prolonged periods of downtime. Therefore, make sure your choice of provider can guarantee server uptime of at least 99 per cent.
• Ability to scale – Just in case you want to increase the storage space and bandwidth available to clients, double check that your provider allows for this flexibility.