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Can You Really Make Money with Reseller Hosting?

by Ramit kaur
Can You Really Make Money with Reseller Hosting?

It is commonly known that the traditional 9 am-5 pm career path does not work well with everyone. Many people decide that they would rather forgo this type of job and work for themselves. Reseller hosting is one example of how someone could create their own business and earn a profit from home. It can initially be difficult to make money with reseller hosting, but it can happen with enough patience and determination.  

Overview of Reseller Hosting

When someone creates a website, they will need to be set up with a web hosting plan for the site to go live. The web hosting plan will determine which resources that the site will receive and how much will get allocated. These resources include:

  • Bandwidth
  • SSD (solid-state drive) storage
  • CPUs (central processing units)
  • RAM (random access memory)

These resources will play a big part in the performance and efficiency of the website.

With reseller hosting, you will be the account owner of a web hosting account. You will not physically have any servers of your own, but you will be dividing up the resources of the plan and renting them out as packages to third parties. 

Determine Your Price Point 

You will need to do your research to pick the best reseller hosting plan to suit the needs of your business. You will want a plan that is low in costs but not so low that it does not have any of the features that customers are looking for. Keep in mind that when you start advertising your services to customers, it is likely that only one or two will sign up at first. Be prepared to lose money during the first few months at least. You should budget this expense into your initial start-up costs. 

As your customer base starts to grow, it will become easier for you to break even each month, and eventually start making a profit. Once you are earning more money, there is always the possibility of upgrading to a better plan with more features to keep your customers happy. 

Offer More Than the Competition Does

Web hosting is a competitive field due to the low start-up costs. For you to stay ahead of your competition, you should be providing the extra services that they do not. For instance, you could advertise your business as a web design and development service that also offers hosting and marketing strategies. This way, your customers will see you as a one-stop-shop for all their needs, starting from the very beginning of the process. 

For this strategy to work, you need to have the skills necessary to provide all these services to your client. There are many helpful guides online, or you could take some courses to enhance your skills. If you offer a service to a customer and perform poorly, it will negatively affect your reputation for a long time. 

Invest in Efficient Marketing

To appeal to clients, your business will need to stand out. Having an initial marketing budget will enable you to attract customers and sign them up. It may be worthwhile to invest in an SEO specialist to drive more traffic to your website. They will be familiar with incorporating keywords, meta descriptions and titles, and backlinks effectively into your site. Once clients are on your website, they can explore the various benefits and services that you are offering, and hopefully, they will decide to sign on with you. 

Another form of marketing comes from social media. You should create a business page on all the social media platforms you can think of. If you want to purchase a Facebook advertisement, this will relay your message to your target demographic. This demographic is specifically chosen using Facebook’s targeting algorithm, so the word about your business will travel as far as possible. 

Take Care of Your Customers

Reoccurring revenue is the key when it comes to reseller hosting. You want your customers to stay with you for the long haul because they provide profit regularly. Take good care of your client base, and always give 100% to make sure you are meeting their needs. This includes offering them occasional perks or discounts and always ensuring that they are fully satisfied with your services. If these steps are not met, your clients can easily end their contract with you and find a competitor who makes them feel valued.

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