How to Be A Successful Hosting Reseller: Insider Secrets & Tips

Written by Web Hosting Expert

Reviewed by Technical Editor

Updated May 16, 2023
How to Be A Successful Hosting Reseller: Insider Secrets & Tips

To be a successful hosting reseller, focus on finding a niche, choosing a reliable hosting platform, and providing exceptional customer service. Develop well-defined hosting packages, create a strong marketing strategy, and manage your clients effectively with a control panel. Continuously adapt and improve your offerings to stay ahead in the competitive market.

You need to find a specific group of people who need your service, like artists or online gamers. Avoid competing by lowering prices, but rather show how awesome your service is. It's not a quick job, but with time and hard work, you can do really well!

Most Important Things to Succeed in Reseller Hosting Business


Important Things to Succeed in Reseller Hosting Business

Reseller hosting is an appealing option; there’s no doubt about it. However, before you get started with web hosting business, there are some things you should take care of. Following are the key things you need in order to succeed with your reseller hosting business.

  • Reseller hosting provider – The chosen hosting provider will determine the tools you can use and will influence the way you operate. You will need to find the best reseller hosting provider that you can rely on. Otherwise, it will reflect poorly on your business.

  • Impeccable 24/7 customer service – You will need to make sure that you can keep up with customer questions and issues if you decide to start a reseller hosting business. Keep this thing in mind and find a hosting provider that will include 24/7 support in its plan.

  • Marketing strategy – To get your reseller hosting business out in the open, it is vital that you establish a strong marketing strategy. You can market your reseller hosting business on your website, and you can add attention-grabbing calls to action and well-placed graphics that will provide information about your new service.

  • Offer great hosting packages – Your chosen hosting provider will need to offer bundled packages. These are hosting plans which can serve as many clients as possible and can be used for a lot of different sites. Make sure that the hosting packages include extra features like a free SSL certificate and domain registration.

  • Deploy new technologies – As the primary hosting provider releases new technologies, you need to be ready to deploy them. By deploying new technologies, you will give your customers an option to upgrade to improved software and hardware that come with more storage space, less downtime, and faster speeds.

Client Niches in Reseller Hosting Business


It's essential to understand who exactly your potential clients might be. Different groups have different needs, and recognizing these can help you tailor your services effectively.

Here are some key groups that might be in need of your services:

Local Small Businesses
This could include cafes, shops, or local service providers like plumbers or electricians. They might need a website to reach more customers.

Artists and Musicians
These creative folks might want to showcase their work or music online, sell their artwork or tickets to their concerts, and update their fans about their latest projects.

Online Gaming Communities
There are many online games with large communities of players. These communities might need web hosting for forums, fan sites, or game servers.

Bloggers or Content Creators
People who write blogs, make YouTube videos, or create other types of content often need websites to share their work, connect with their followers, and possibly sell products or services.

Online Stores
Individuals or businesses that sell products online need websites to showcase their products, handle orders, and process payments.

Non-profit organizations
Charities, clubs, or community groups often need websites to share information, gather donations, and engage with their members or the public.

By focusing on a specific group or "niche," you can better understand their needs, tailor your services to them, and reach them with your marketing messages. This can make it easier for you to find customers for your web hosting reselling business.

The Basics of Reseller Hosting: What You Need to Know


Reseller hosting is when you rent server space from a hosting provider, and then you sell it to other customers.

Reseller hosting is also a good choice for companies that manage and maintain several websites since, with reseller hosting, they won’t have to buy hosting services in a bulk.

For the space, you pay a fixed monthly fee, and in turn, you can charge your clients whatever price you like.

In our article "What is Reseller Hosting?" we delve into the details and provide even more valuable insights for anyone considering this type of hosting solution.

What Makes A Reseller Hosting Business Valuable?


The revenue stream you earn through reseller hosting can easily be fit into an existing business. This type of business is a great option for those who already have a strong client base, especially if you work or create the websites of those clients. You can offer to host as a part of your maintenance, design, or development package or make it a separate add-on.

In addition, it allows you to get a source of recurring income.

You can easily improve other areas in your business by earning extra money every month.

10 Tips for Increasing Client Satisfaction with Reseller Hosting


Reseller hosting is a great way to grow your business and give your clients hosting services that are reliable and safe. As a reseller, it's your job to give your customers excellent customer service and technical support, which can make or break the success of your reseller hosting business. Here are 10 tips that will help you make your reseller hosting services more satisfying to your clients.

1. Offer different hosting plans: Good customer service requires that you offer different hosting plans to meet the needs of different types of clients. You should know a lot about the different kinds of hosting that are out there and be able to help clients figure out which plan will work best for them.

2. Give technical support: As a reseller, it is your job to help your customers with technical issues. This means fixing any problems they might have, answering questions quickly, and telling them how to use the services you offer transparently.

3. Keep your servers up to date: If you want to give your customers a safe hosting experience, you need to make sure your servers have the latest security patches and updates. Make sure you keep an eye on and update your servers regularly to keep them safe and reliable.

4. Check the performance of your servers: Check the performance of your servers often to make sure they are working well and giving your customers the best service possible. If you see any problems, try to fix them as soon as you can.

5. Give good customer service: If you want more customers to be happy with your reseller hosting services, you need to give good customer service. Respond to questions quickly and politely, and tell people how to use your services in a clear way.

6. Make sure your uptime is reliable: Uptime is one of the most important aspects of hosting, and it's important that your servers are always up and running. The key to good customer service is to keep an eye on uptime on a regular basis and act quickly to fix any problems that come up.

7. Offer competitive prices: When it comes to reseller hosting, it's important to offer competitive prices. Do some research on other hosting companies and make sure your prices are competitive so that you can attract customers.

8. Have a backup plan: If you want to offer reliable hosting services, you must have a backup plan. If your servers go down, you want to be ready to get your customers' data back quickly.

9. Offer services that add value: Services like website design and development, search engine optimization (SEO), and other services can set you apart from other reseller hosting providers and make your customers happier.

10. Keep an eye on customer feedback: It's important to keep an eye on customer feedback if you want to know what your customers think of your services. You can use this feedback to make changes and make sure you're giving your customers the best service possible.

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Top Reseller Hosting Services to Provide


When it comes to reseller web hosting, there are plenty of options available on the market.

Choosing the right hosting services to offer as a provider is crucial in the reseller hosting business. It's important to consider the diverse needs of potential clients and tailor your offerings accordingly.

As a reseller, you can provide some of the following types of hosting to your customers:

Shared Hosting

When it comes to beginner website hosting, shared hosting is a perfect choice. With a shared hosting plan, all domains share the same resources of the server. The cost of this type of hosting plan is relatively low since the resources are shared by the customers.

Shared Hosting
WordPress Hosting

WordPress Hosting

With managed WordPress hosting, all of the technical aspects of running a WordPress site are managed by the hosting provider. This includes scalability, website uptime, daily backups, WordPress updates, speed, security, and so on. One of the biggest benefits of this type of hosting is that the support that comes along with it. The customer support team has the needed expertise and knowledge when it comes to handling issues that are related to WordPress.

Cloud Hosting

One of the main events of the technology industry nowadays is cloud hosting. Cloud hosting means that many computers run applications and work together, using their computer resources together. This type of hosting is scalable, which means that the sites of the customers can grow over time.

Cloud Hosting
Dedicated Servers

Dedicated Servers

Dedicated hosting gives customers the most power over the server that their site is stored on. The reason for this is because the server is solely rented by the customer and the only site that is stored on the server is the clients. However, this type of control comes with a price, and these types of servers are some of the most expensive reseller hosting options.

Managed Magento Hosting

Managed Magento hosting is when a Magento hosting provider is responsible for software and server management. Besides selling you the server, the managed hosting provider will take care of all your tasks and servers and keep your business up and running.

Managed Magento Hosting

Kickstarting Your Reseller Hosting Business Journey


Just like any other business, the reseller hosting business requires strategic investment and planning before you can start offering a reliable and compelling service.

The following 5 steps are the ones you need to take in order to start a reseller hosting service:

1. Select a host

The most important step you can take in the process is selecting the reseller hosting provider.

When looking for a hosting provider, make sure that they offer customizable server deployments, application support for resellers, and generous discounts. It’s also important that they have complete control and ownership over their infrastructure and that they have a good reputation in the community.

2. Create your hosting packages

Your expectations of your customers will determine the hosting packages you will create. The price of your plans should be dictated by factors like the type of software and hardware instances available, customer support service, resource allocation, and so on.

3. Plan your support system

To support and manage your customers, you will need a control panel and billing and ticketing software. You will also need to think of the details of the support you’re going to provide, per instance, which hours of the day you’re going to offer it, through which channels, and so on.

4. Define your terms of service

In order to prevent disruptive, abusive, or illegal activity by customers, you will need to define the terms and conditions of service. When you’re a reseller, you will need to create terms and conditions that are in accordance with the acceptable usage policies of the hosting provider.

5. Get your business online

You need to bring your reseller hosting business online, just like you would any other business. This involves creating a reseller hosting website and approaching your marketing strategy. Decide whether you’re going to develop an organic content marketing plan, you’re going to utilize search or display ads, or something else to promote your business.

For a comprehensive understanding of the process involved in launching a reseller hosting business, we encourage you to check out our in-depth blog article, "How to Start a Web Hosting Business?"

5 Strategies for Reducing Web Hosting Costs


Hosting Business Income

1. Use automation tools: By automating repetitive tasks like server maintenance that would otherwise require manual labor and time, automation tools can help reduce costs.

2. Optimize your server: By ensuring that your server is operating efficiently and utilizing fewer resources, optimizing your server can help you save money.

3. Take advantage of promotional offers: A lot of hosting companies provide free services or promotional discounts that can help you cut costs. As soon as these deals become available, make sure to take advantage of them.

4. Carefully read the contract you are signing for hosting before you sign it. Keep an eye out for any additional costs or restrictions.

5. Consider signing up for a longer-term reseller hosting plan. This can often reduce the overall cost of hosting, as many companies offer discounts for longer-term contracts.

What to Do If Your Reseller Web Hosting Goes Down


Don't freak out if your reseller web hosting service goes down. The following are some suggestions for restoring your website as soon as possible:

1. The first thing you should do is visit the status page of your reseller hosting provider. There should be details there about scheduled downtime and maintenance.

2. Next, get in touch with the reseller hosting company you're using. If you are unable to determine the cause of the outage or the estimated time of repair from the status page, you should contact your reseller hosting provider directly.

3. Try a backup plan. If the issue is more serious than a simple outage and your reseller hosting provider won't be able to restore service soon, then consider using a backup plan, such as a dedicated server.

4. Make sure your website is secure. If your website is down for an extended period, then make sure your website is secure by changing passwords and making sure no one can access it without permission.

5. The fifth piece of advice is to keep an eye on your website. After your website has been restored, keep an eye out for any further instability or downtime.

If you follow these instructions, you should be able to get your website back online quickly.

Reseller Hosting Earnings Potential: What to Expect


Your income is primarily determined by your chosen business approach. For instance, if you opt to charge $25 per month for a standard shared hosting package and pay your hosting provider $49.99 a month for 80 websites, you only need two clients to cover the basic costs.

Picture your enterprise thriving, with 40 local companies in your area relying on your services. Based on the given example, your monthly revenue would be $1,000. These earnings can be channeled back into marketing initiatives, enhancing your customer service, and more.

Financial prosperity in this field is all about scaling your business intelligently. Some draw parallels to managing virtual rental properties; it remains essential to maintain your "tenants'" sites and address any issues that arise.

As the proprietor of a web hosting business, you exercise considerable control over your profit margins. You have the authority to set fair prices and oversee every aspect of your operations.

Expand your knowledge of income possibilities and various calculations within the web hosting business by visiting our enlightening article, "Web Hosting Business Income."

How to Scale Your Reseller Hosting Business


Find new consumers through marketing: Use many marketing strategies to find new clients, including paid advertising, content marketing, and email marketing.

Improve efficiency through automation: To boost productivity and profitability, streamline and automate procedures like billing and customer assistance.

Provide exceptional customer service: To promote customer pleasure and loyalty, make sure consumers receive prompt, practical, and dependable assistance.

Diversify your product offerings: To boost sales and draw in new clients, provide a range of hosting packages and services.

Extend geographically: Aim for new markets to attract more clients and boost sales.

Make sure your system's technical infrastructure can manage the extra demand: Invest in the right hardware and software to make sure your system can handle the higher demand.

Examine and improve your pricing plan: Examine and improve your existing pricing approach to make sure you can maximize profits while still offering a competitive service.

Resources for Web Hosting Resellers



Finding the right and reliable resources to learn more about reseller hosting business can be tricky, but there are plenty of options out there.

To obtain a sense of what others are doing and what the industry standard is, start by browsing web hosting forums and reviewing websites. Also, you can discover useful articles, podcasts, and courses that offer insightful information on the reseller hosting industry.

You may learn the fundamentals of server management from these materials, keep up with the most recent developments, and get advice on how to get the most out of your package.

You can guarantee the success of your reseller business with the appropriate tools.

1. Web hosting forums
Get insight into what others are doing and the accepted practices in the sector. Check out Verpex forum and Web Hosting Talk.

2. Review Websites
Check out customer feedback on other resellers' products to learn what features they value in a hosting bundle. Check out HostAdvice.

3. Tutorials
Discover the fundamentals of server administration and web hosting, as well as advice on maximizing your package. Check out our Knowledge Base.

4. Blogs
Stay current on the newest hosting trends and learn what works and what doesn't. We’re proud of our Verpex blog and invite you to check it out.

5. Podcasts
Get up to date by listening to industry experts talk about the newest issues in hosting.

Summary


The reseller hosting business is really taking off in the past few years. There are many hosting resellers who manage and host hundreds of websites.

You will still be expanding the portfolio of services you offer even if you’re not hosting a hundred websites. In addition, you will earn great profit whenever people decide to take you up on that service that you’re offering.

Frequently Asked Questions

Can you make money with reseller hosting?

You definitely can. There are countless success stories from entrepreneurs that have managed to take on hundreds, even thousands of clients, just be aware of the work you’ll need to put in.

Read our article to learn more about web hosting business income.

What are the benefits of reseller hosting?

With reseller hosting, you have the potential for more sales, you get access to a previously untapped market, and you get increased brand awareness.

How does a web hosting business work?

The reseller hosting business uses a powerful hosting plan that is separated into smaller pieces and sold to several customers.

How can I create custom plans for each individual account?

You can get the step-by-step procedure to create custom plans for an individual account in this guide

Do you include litespeed and lscache?

We run on Litespeed servers which allows you to run the LSCache WordPress plugin

Are all reseller hosting plans cloud-based?

Our servers are in the cloud. So yes, all our reseller hosting plans are cloud-based

What restrictions are there to reselling?

There are no restrictions to reselling, except for contents that are illegal or against our terms of service

Am I responsible for my clients' content/behaviour on your servers?

Yes, you are responsible for what your reseller hosting clients upload on our servers.

Do you offer control panel customization for resellers?

You can customize your control panel in whichever way you want, thanks to the white-label service we provide.

Is it possible to have ssh access enabled for individual accounts upon request?

As a reseller you have the option to enable/disable ssh access for your customers, more information on how to do this is found HERE

How can I monitor the bandwidth usage of my accounts?

To monitor the bandwidth usage of your resold accounts, go to WHM -> View Bandwidth Usage

Affiliate program vs reseller hosting: What is the difference? Which is better?

Both have advantages and disadvantages and one isn’t better than the other. Rather, each will be better in different circumstances.

Those looking to build a business should try reselling, while those wanting passive income should become affiliates.

You can learn more about the differences between reseller hosting and affiliate programs on our blog.

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