Hosting services as a business — potential, benefits, how to start.

Selling Hosting Services or a Successful Business Idea

Most of us understand what affiliate programs are and what they promise. To earn income that isn’t tied to your budget, participating in a hosting sales affiliate program is entirely sufficient. However, there is another, more complex partnership scheme — hosting reselling.

To understand this idea for a new business, let’s look at how the word sounds in Russian. “reselling” translates as “перепродажа” (resale). In other words, a reseller is someone who engages in resale. In our case, a reseller resells hosting services, being a client of a hosting provider and hosting their sites on its server.

Reselling hosting services means selling hosting services under your own name. However, in this case your clients’ sites will be hosted on the servers of the hosting provider you cooperate with. Your clients will not necessarily know that you are a reseller.

Hosting reselling can be an excellent opportunity to generate additional income from new customers for the hoster. However, it should be remembered that selling hosting services implies not only attracting potential buyers to the hoster’s site, but also providing service to the customer. In particular: setting pricing policy for hosting services, providing technical support, collecting payments, etc.

All of the above indicates that profit from hosting reselling is approximately 50% higher than from affiliate programs. Moreover, a reseller in such a partnership scheme is no longer a mere “middleman,” since half of the work with clients is performed by them, while the hoster only provides technical support.

Clearly, reselling is a great source of income and an excellent idea for running your own business. In addition, many hosting companies now offer this partnership scheme. Some hosting companies that have become true giants today were once nothing and started out by practicing hosting reselling. Today these hosts are large companies with an excellent reputation and image.

Furthermore, today’s virtual hosting reselling has fundamentally changed with the emergence in the Runet of hosts that provide hosting services based on schemes used by foreign hosting providers. An important reason for this trend is that it is practically impossible to identify the reseller.