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. Supposedly, all you have to do is get a reseller hosting account, look for clients, and watch the money 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 expectations that the hype creates?
Before you dive into the amazing money-maker of reseller web hosting, there are a couple 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, this means that you either have to employ the service of people to deal with your support requests, or you need to 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 company when support requests surface.
Another area is probably where you're going to walk into the biggest obstacles -- 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 exact same ideas that you do, jumped on that wagon, and sad to say, the wheels fell off from it.
Now, this isn't intended to completely discourage 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!
There are ways to generate an income with a reseller web hosting account, but the newbies who are succeeding 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 specific segment or niche market. Others are taking essential services, such as shopping cart tools, affiliate management systems, and 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 make money reselling web hosting, you're going to be hard-pressed to make money through promoting hosting services as a stand-alone service.
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