Posted on June 22nd, 2010Reseller hosting is a hot topic in the web hosting community. The reseller is the middle man; they find the customers and take one of several actions. They can receive an affiliate commission from the web hosting provider or resell the bandwidth and server storage space with different hosting plans for a profit.
There are many methods for becoming a successful reseller in this exceedingly competitive industry. A few of these methods include:
- Have a solid business model
- Follow robust business strategies
- Readily deploy new technology
- Maintain high service levels
- Accommodate changing needs
- Provide scalable hosting plans
- Automation regarding account creation and billing
The reseller industry is typical of any business entity; the product is the only difference. By sticking to a solid business model and following robust business strategies, the reseller company can follow a strict plan of action while maintaining efficient strategies. This will result in a successful business.
It’s also important to deploy new technologies as the hosting company releases them. This will attract new accounts while giving the current users an option to upgrade to improved equipment. With improved equipment come faster speeds, less downtime and more storage space; all of which are requirements in a competitive industry. On that note it’s beneficial to initially find web hosting providers that are up-to-date on server technologies.
Another essential tip is to maintain high customer service levels. This means quick responses (within 24 hours) to emails and easy access to technical support. Generally when reselling, the technical support help is offered by the primary hosting provider. Good customer service also relates to accommodating changing needs. This will keep customers happy with the service and improve retention rate.
Similarly, it’s important to offer scalable hosting plans. This allows clients to expand their business during increased periods of traffic or with the addition of resource-intensive media files. Giving them the option of improved plans also increases retention rate.
The final suggestion is to completely automate account creation and billing. This indicates that account creation and billing can be completed online. Since the world has become a quick and automated place, instant account creation and automated billing have become standard.
There are many individuals that are successful in the reseller hosting business. As most web hosting providers become available and the need for inexpensive hosting becomes the norm, reseller hosting will have an enormous influence on customer hosting preference.