Summary
Web hosting reselling is simply taking hosting packages from providers and reselling them to individual customers. The concept is akin to being a distributor or retailer of wholesale goods. Companies that are good at providing the technical hosting services are not necessarily good at marketing those services to individual customers, providing technical support, or helping individual customers configure their sites. Resellers provide those competencies for the hosting firm.
Original source:
http://www.thehostingnews.com/contentid-117.html
Details
The term Reseller according to the dictionary means to sell again i.e. to sell a product or service to the public or to an end user, especially as an authorized dealer, while making sure that you make a profit on the sale.
Reseller hosting is no different either, a reseller buys a Web hosting package from a hosting company and tries to sell it independently.
The profit for the reseller lies in either the discount or in the commission s/he gets from selling an account.
For example: The reseller might purchase a package whose features are valued at $100 for $90.
So, the reseller stands to make a $10 profit on selling the package to customers.
If the customer signs up with the company then you earn a small recurring commission until the customer uses the services.
Most web hosting companies try to outsource their services to resellers as it helps them to extend their business reach without the cost of marketing and sales and also helps them to concentrate on the business side of things.
If you just plan to earn commission by referring people to the hosting company by using the Internet, then you do not have to put up a lot of money, all you need is an Internet ready PC and an Internet connection.
For a small start-up not a lot of money and resources are required.
If you have the money and the experience then you can go as far as buying all the server equipment required, in which case you will also be responsible for all the server maintenance costs.
Providing basic support and leaving the more technical issues to the parent company support staff can be easily achieved.
About the author: Mike Adams is a natural health researcher, author and award-winning journalist with a strong interest in personal health, the environment and the power of nature to help us all heal He has authored and published thousands of articles, interviews, consumers guides, and books on topics like health and the environment, and he has published numerous courses on preparedness and survival, including financial preparedness, emergency food supplies, urban survival and tactical self-defense. Adams is an honest, independent journalist and accepts no money or commissions on the third-party products he writes about or the companies he promotes. In mid 2010, Adams produced TV.NaturalNews.com, a natural health video sharing website offering user-generated videos on nutrition, green living, fitness and more. He also founded an environmentally-friendly online retailer called BetterLifeGoods.com that uses retail profits to help support consumer advocacy programs. He's also the founder of a well known HTML email software company whose 'Email Marketing Director' software currently runs the NaturalNews subscription database. Adams also serves as the executive director of the Consumer Wellness Center, a non-profit consumer protection group, and pursues hobbies such as martial arts, Capoeira, nature macrophotography and organic gardening. Known on the 'net as 'the Health Ranger,' Adams shares his ethics, mission statements and personal health statistics at www.HealthRanger.org
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Tuesday, February 01, 2005
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