What Is Reseller Hosting?

What Is Reseller Hosting?

People are wondering: what is reseller hosting? This service allows anyone with basic administration skills to create a small hosting company without their own equipment. The reseller undertakes all routine actions (communication with customers and provision of technical support). So, he is provided with significant discounts, due to which he makes a profit. 

How reseller hosting is organized

Quite often, web studios that develop Internet sites use hosting reselling. This approach allows us to provide a full package of services, and technical support does not create problems. Since the web studio already communicates closely with the client.

Resale of hosting is carried out using special software, the process looks quite simple:

  • A reseller rents a server from a large provider, on which the software necessary for reseller hosting is installed in a semi-automatic mode. 
  • The reseller creates accounts for his clients and provides access to the cPanel.
  • Clients work with a reseller on the terms set by him, paying for services through the panel in automatic mode. 
  • Renting a hosting for them is no different from working with a regular top-level provider.

In essence, reselling is an intermediary activity in which a reseller provides services under its own brand and sets its own tariffs. He does not have to deal with the maintenance of the hardware and software part of the server. But communication with end customers and technical support at the hosting level is completely on his shoulders.

How to become a reseller

To do this, you need to rent a dedicated server and install on it the selected server OS distribution kit. As well as the software required for hosting reselling, you can see the favorable rates with us. This approach is quite simple and the least expensive. Thanks to which you can become a full-fledged hosting provider without large financial investments. 

All the necessary equipment is already installed in the data center and configured. Your tasks include only working with clients and solving technical problems that arise.

Features of the reseller’s work

It is important to understand that a reseller is accountable to their customers. For full-fledged work, you need to work at an expert level with cPanel and WHM. You should have basic administration skills and be able to quickly transfer sites from another hosting. 

Keep in mind that even if hosting rental is ideally automated, the client will always be able to find problems. The ability to quickly eliminate them is the main requirement for a reseller.

How to become a successful reseller

If you plan to make reselling not just an auxiliary service, but a serious business, be sure to follow two basic rules:

  • Respond promptly to customer problems as quickly as possible, especially during business hours.
  • Give yourself a competitive edge – offer the client serious advantages or unique opportunities.

Hosting reselling is a great way to build your own successful business without investing in expensive equipment. You just have to search and attract new customers to whom you can sell services under your own brand, independently determining the pricing policy.

Difference Between a Retailer and Reseller

Difference Between a Retailer and Reseller

There are many terms that people think are interchangeable just because they seem similar. The more a person gets acquainted with the topic, the easier it is for him to discern who is doing what.

In commerce, this applies to retailers and resellers. The following information is helpful to anyone who is new to the business and is looking for an intermediary for the further sale of products. You should know the difference and choose the right type of cooperation – retail or resell.

Brief information about retailers

Retailers are sellers who sell products to consumers. They can be defined as a business or person that sells goods to a consumer. It is opposed to a retailer or supplier who would normally sell their goods to another business.

  • Retailers are generally in the final position of any business management system, making them direct representatives of customers.
  • They help manufacturers to understand the needs and requirements of the customer.
  • They buy products at a competitive price from suppliers and sell them according to their advantages.
  • Typically, they buy small quantities of products from a retailer in order to make a profit that will align with their business goals.

An example of a common retailer in a community is a store owner who sells goods and/or products to appropriate consumers.

What about retailers?

Retailers in the trade cycle are those who establish deals with related goods, products, services, and properties. They are generally defined as “a natural or legal person who purchases goods from a manufacturer or retailer for resale”.

  • They deal with goods that require large areas. The distribution of these goods takes place in different regions.
  • Producers fix the prices of goods, thereafter, these goods go through various stages and processes of sale.
  • The process goes from the first stage of the producer level to the final stage of the final consumer level.

Companies generally prefer dealers to sell their products to avoid competition, so the dealer is responsible for selling the company’s products. They also resell a product or property over a period of time.

The difference between a retailer and a reseller

While one is a kind of partner, the other is more of a mediator. It depends on how far your business has gone, and how many business relationships allow you to take care of things yourself. The retailer offers the new company the distribution services necessary to place the product in the hands of the customer. The reseller will only act as an intermediary.

Undoubtedly, the difference in services will affect the costs. Distributor services are more complex. They are designed to step in and make sure that a product without sufficient support from the manufacturer has the same chances in the market. This means higher margins and lower profits for the manufacturer.

The reseller assumes no obligation and only plans to promote products. They don’t stock up; they do not provide additional services. The product name should carry that burden on its own, but the margin is lower.