It's been promoted as one of the fastest ways for the somewhat-web-savvy man or woman to make money on the web - reseller web hosting. Presumably, all you have to do is purchase a reseller hosting account, look for clients, and watch the dollars roll in, month after month after month. We all have knowledge of what the advertising says in this situation - reselling web hosting accounts is a no-brainer business opportunity. However, can the actuality of the project live up to the potential that the hype produces?
Before you dive into the amazing money-maker of reseller web hosting, there are a number of things that you have to remember. First off - it isn't quite as simple as it's hyped up to be. See, even if you do manage to obtain hundreds of paying buyers for your branded web hosting services, you nonetheless need to support your clients. At the very least, what this means is that you either have to hire people to deal with your support requests, or you must dedicate your own time and effort to the cause. Now, as a reseller, you may not likely have root access to the server, so in a lot of cases, you have to be the intermediary between your buyers and your web hosting service provider when support requests surface.
The second area is probably where you're going to walk into the biggest difficulties -- getting clients. See, when bandwidth and disk space was just beginning to come down in price a few years back, that may have been a good time to jump on the reseller web hosting bandwagon. Nonetheless, over the years, literally hundreds of people, who have the same ideas that you do, jumped on that wagon, and unfortunately, the wheels fell off from it.
Now, this isn't intended to completely stop you from pursuing the 'make money via reseller web hosting' venture, but if you expect to make it work for you - you have to do something that other mainstream business owner hopefuls haven't already done. You have to change your offers!
You will discover ways to make money with a reseller web hosting account, but the newbies who are successful in this market are not counting on reselling web hosting services exclusively - they are taking on supplemental services. For instance, some are offering website design services, and then subsequently promoting website hosting packages to their potential customers. Or they cater to a particular segment or niche market. Others are taking needed services, such as shopping cart tools, affiliate management systems, as well as credit card processing and integrating them with website hosting services to offer to everybody. Unfortunately, the viability of running a profitable, no-effort reseller hosting business out of your bedroom or spare room just isn't likely anymore.
That being said, while there are ways, even now, that you can earn reselling web hosting, you're going to be hard-pressed to be able to make money through promoting hosting services as a stand-alone service.
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