Last Updated: May 23, 2012

October 26, 2010

Reseller Hosting – Providing Reseller Plans to Your Clients

Anyone that has ever heard of the concept has probably wanted to try to become a hosting reseller, considering the prospect of monthly profits and/or free web hosting. Reseller hosting it is an offer that is hard to refuse. However after you've actually purchased the plan and begun soliciting clients you may find it discouraging when your business is not expanding as fast as you would like it to. Fortunately there is a way to boost your sales and get out of the reseller hosting slump.

Improving Reseller Sales

There are many ways to improve your sales conversion rates and solicit new clients, however none of them are more effective than getting other people to do it for you. Although most resellers do not offer reseller hosting plans, doing so can give you the leverage needed to solicit clients without all of the advertising costs that are usually associated with promoting web hosting services. Instead of spending money on advertising services, you can be generating a profit while also attracting new clients on a tiered basis, with your clients attracting clients of their own as well. Some of the largest companies in the world use this concept and refer to it as affiliate marketing, but as a reseller you're simply reselling reseller services. The following information outlines why it may be wise to offer reseller hosting plans as a hosting reseller.

Capitalizing on an Open Market

You've probably noticed that only the larger hosting companies are offering reseller hosing plans, and this may be discouraging at first glance, however, upon closer inspection it reveals that there is an open market that is ready to be penetrated by smaller resellers like yourself, While it is true that you will not be able to offer prices that are lower than the major hosting provider's plans, it is possible to disguise your services in such a way that they appear to be a better value. For example, you an offer smaller reseller plans that are easily scalable, or you can provide custom web design services with your reseller plans to create a new service. Any time you can create a service that has not yet been offered by competition you'll be guaranteed success.

Earn Free Hosting

Due to the small profit margins you'll have to work with, it may be advisable to simply use the reseller hosting plans you're selling to earn free hosting services for your own use. To do this, simply sell the hosting resources at the same price that you're relieving them, and keep the left over server resources for yourself. This is possible because with each reseller hosting plan there will almost always be leftover server resources that you can utilize even when you have sold nearly all of the resources out to your clients. By marketing your services in this manner you'll be able to solicit clients at an astounding rate, and although you won't be making much of a profit from them, you will be able to market future services to them via email.

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