Over the last decade, there has been a surge in the number of websites being launched and a corresponding increase in the demand for web hosting services. With social media platforms and search engines driving traffic to websites and most people looking for new products/services online, most businesses have started working on their online presence, starting with a website. Web hosting companies have increased their capacity to cater to this increasing demand. At the same time, Hosting Resellers have grabbed this opportunity to establish profitable businesses too. If you have been thinking about starting a Reseller Hosting business, then here are seven essential things to consider before launching the business.
1: Define Business goals
While earning profits is obvious, it is important to define what goals you will try to achieve by starting a web Hosting Reseller business. While some resellers might want to turn it into a large company with hundreds of clients, others might just want a handful of clients for regular income or merely offer web hosting to their existing clients as an additional service. Defining these goals can help you create a strategy that works for you.
2: Identify the target market
Every company, big or small, has a website. In fact, anyone wanting to sell a product, service, idea, or anything needs to have a website. However, it is important to remember that each website is unique and has specific hosting requirements. Hence, to offer hosting plans that work well, you need to identify the market segment that you want to cater to. This will help you in creating packages and services apt for your clients.
3: Identify your competitors
As is the case in any business, identifying competitors is a must in the Reseller Website Hosting business too. This can help you understand the current plans available to your target clients and potential areas of improvement, allowing you to create packages that work better for them.
4: Understand web hosting
Most articles talking about the ease with which people can launch a web hosting business as a reseller usually say that you don’t need technical expertise for the same. While that is true, you do need a basic understanding of the technicalities surrounding how web hosting works. After all, you will be creating hosting packages and selling them to site owners. Hence, you will have to explain the benefits and answer any questions that they might have.
5: Buy the reseller plan from a reliable parent company
As a reseller, you purchase hosting resources from a parent company and use them to create packages for your clients. Therefore, the performance of your packages relies heavily on the parent company. Hence, it is important to look for a company that has high-performance servers and features suited to your clients’ needs. You must also ensure that you choose between Windows and Linux Reseller Hosting plans after considering the requirements of your target clients.
6: Select a reliable Billing System
As a Hosting Reseller, you will create new client accounts with varying billing frequencies like monthly, quarterly, half-yearly, and yearly. You need a system that tracks the bills and allows you to send reminders to them in case of delays. You can opt for WHMCS that has evolved as an excellent billing system for Hosting Resellers.
7: You will need 24×7 Technical Support
Since you are the web host for your clients, you will be the first point of contact for them if they face any problem with hosting. While you might be able to troubleshoot minor issues for technical queries, you will require the support of the hosting company. Ensure that you have your support mechanism in place before launching the business.
You can also check out the following video that lists 3 essential things to consider when starting a Reseller Hosting business:
Remember, as a Hosting Reseller, the cost of entering the web hosting industry is low since you don’t need to spend on the infrastructure or manpower required to run a hosting company. However, the web hosting market is very competitive, and you must ensure that you plan your business well. The tips mentioned above can help you get started with ease.