Nowadays, web hosting business has gained popularity, and reseller web hosting is one such business that can give you robust ROI with desired outcomes. Do you want to start a web hosting business, or are you looking for guidance on how to start a reseller web hosting business?
Don’t worry if you don’t have much knowledge about the web hosting business. You can easily set up your own reseller web hosting business without any obstacles. Keep reading to know more about how you can kickstart your reseller web hosting business. Let’s dive into and explore more about reseller web hosting business in depth.
According to statistics,The Server Market Will Be Worth USD 145.31 Billion in 2028 and it is predicted that it’ll grow at a CAGR of 7.8% from 2021 to 2028.
What is a Web Reseller Hosting Business?
A reseller web hosting business is a hosting service where an individual or company purchases hosting resources from a web hosting provider and resells those resources to their clients. Reseller web hosting enables businesses to enter the hosting industry without extensive infrastructure or technical expertise. It offers an opportunity to generate revenue by providing hosting services to clients needing more resources or knowledge to set up and manage their own servers.
Why Should You Become Web Hosting Reseller?
Starting a reseller web hosting can provide entrepreneurs with compelling benefits and opportunities. Here are some essential reasons why you should consider starting a reseller web hosting business.
1. Easy Entry and Low Barrier to Entry: Starting a reseller hosting business requires low technical knowledge or expertise. The hosting provider takes care of the backend operations, including server management, network infrastructure, and security, and enables you to focus on acquiring clients and growing your business.
2. Flexibility and Scalability: Reseller hosting provides scalability and flexibility as your business expands. With a reliable hosting provider, you can easily upgrade your hosting resources to accommodate increasing demand from your clients. This scalability ensures that your business can grow alongside your client’s requirements.
3. Brand Identity and Customization: A reseller web hosting business enables you to develop your brand’s identity by customizing hosting packages, setting your pricing, and offering unique features. This level of personalization enables you to differentiate your business from competitors and build a strong brand reputation in the hosting market.
4. Robust Client Relationships: You can build robust client relations while running a reseller hosting business. By providing reliable hosting services, exceptional customer support, and tailored solutions, you can establish loyalty and trust with your client, leading to client retention and positivity word of mouth referrals.
5. Entrepreneurial Freedom: Starting a reselling web hosting business provides you with the freedom and flexibility to work on your terms. You can set your own business strategies, target specific niches or industries, and adapt your offering to the evolving requirement of the market.
Steps to Start Your Reseller Web Hosting Company
Here are the 16 steps to consider before choosing a Reseller web hosting business:
1. Basic Web Hosting Industry Knowledge
2. Select your Audience
3. Set Your Goals
4. Learn from Trends in Market
5. Self-explanatory Brand/Domain Name
6. Get your Website Running
7. Create the Best Hosting Plan
8. Install an Authentic Billing System
9. Create WHM Packages
10. Provide Multiple Secured Payment Gateways
11. Provide Customers with Dedicated IP
12. Get Private Name Servers for Better Migration
13. Add some Trusted Seals to your website
14. 24*7 Customer Support is a Must
15. Good Marketing Strategy
16. Select the best reseller hosting partner
Things to Keep in Mind Before Becoming Web Hosting Reseller
1. Basic Web Hosting Industry Knowledge: Having basic web hosting knowledge is crucial for you. You need to upskill yourself with some basic information about reseller web hosting. You need to get familiar with terms like WHM, WHMCS, CDN, cPanel, bandwidth, disk space, SSL certificate, SSH, etc. This won’t just help understand the business better, will also help you build good hosting plans for your customers.
2. Select your Audience: The next step after setting your goals is to select your target audience. The success of every business is bound to understanding who your target audience is and knowing their requirements. The businesses which boom up quickly usually are good with their selected target audience. Some may require high–5end hosting services while some may just need low-end hosting services.
3. Set Your Goals: The first step in any business is to set your target goal. Whether it is related to the income you generate or the profit margins, you are aiming for in the future. Everything works better when you have set your goals right. The sight of your goals is one thing that keeps you motivated to keep going on and on.
4. Learn from Trends in Market: When we speak of business in the 22nd century, we should know how important trends are in this field. Therefore, it is highly recommended by experts to analyze your competitors. The successful ones and see what they are doing. You can also perform a SWOT analysis of the market by analyzing Strengths, Weaknesses, Opportunities, and threats. This will help you to establish a successful reseller web hosting business.
5. Self-explanatory Brand/Domain Name: The first impression you get of any business is from its name rather than from the services they offer. Hence choosing a good brand/domain name for your hosting business has the utmost priority.
The domain/brand name should be self-explanatory. You might be wondering why it is so. The answer is simple in this online world; we buy the brand name first rather than services. First impressions do matter. So, make sure your first impression of your business should be creative, relevant, self-explanatory, innovative, and easy to comprehend. But most important, it should highlight the company you are in.
6. Get your Website Running: Once you have completed the above-mentioned steps. It’s now time to get your planning into action. This is where you start with setting up a website. Make your website user-friendly so that your client can perform smooth operations. Finally, get your hosting plans to be accessible to your customers. It shouldn’t be a scavenger hunt kind of scenario to figure out your website. For website development, you can opt for WHMCS web hosting themes available in the market.
7. Create the Best Hosting Plan: Now you are all set to build your hosting plans for your reseller web hosting business. But before you start you need a good reference to do it. So don’t forget to analyze and refer to the competitor’s plan. Also, remember people always like free stuff that comes along. If you get loads of traffic on your website using this. We would say it’s worth it to throw them some goodies as a temptation. This will further help you build a loyal customer base.
8. Install an Authentic Billing System: WHMCS is a professional corporate authentic billing system that helps you keep track of all the payments. But it also helps the payment gets made whenever you are unavailable. So, if you have opted for WHMCS services, then you don’t need to worry about it. It is highly recommended which has a loyal customer base. Moreover, WHMCS does have a good developer community, and you will find it easy to hire a WHMCS developer, so you can easily trust this billing platform.
9. Create WHM Packages: Now you need to create packages inside the WHM. Here is the detailed procedure you need to follow:
1. Log in to WHM using http://domain.com/whm or https://hostname_server/whm.
2. Navigate to the Add a Package menu in the section Packages.
3. Set appropriate quotas in the Resources section.
4. Choose the required settings for the package in Settings, including Feature List.
5. Click on the Add button:
10. Provide Multiple Secured Payment Gateways: In today’s world, online transactions have become a medium for scamming people. So, to ensure secure digital payment, you must provide multiple secured payment gateways. This will not just offer flexibility to your clients, but it will also help you gain the client’s trust.
11. Provide Customers with Dedicated IP: Cyber attacks are no new term in today’s world. So if your hosting provider gets attacked, it might hamper you and the customers. Therefore, providing a dedicated IP to your customers to ensure security is essential when starting a reseller web hosting business. It’s better to be prepared than sorry.
12. Get Private Name Servers for Better Migration: Wish to save yourself and your customers some headaches getting the private name servers. Sooner or later you will change your reseller hosting provider. When you do that private name servers will be a life savior for you.
If you got private name servers the migration process will be smooth as butter. But if you don’t get it done you and your customers will go through a sandstorm. Probably it might end up with you losing quite a few customers. Therefore, get Private name servers as soon as possible.
13. Add some Trusted seals to your Website: Everyone trusts a product or service that comes proven by some authentic organizations. This acts as a major trust builder in your customer base. So make sure you add trusted seals like PayPal, SSL Value, Trustwave, Trusted seals, etc. at the footer of your website.
Showing that you are an authentic online web hosting services provider. If you can’t get them all then make sure you have at least 3 of them. Gaining the trust of your customers is important in this business. These seals verify the trust that customers want to put in their web hosting service providers.
14. 24*7 Customer Support is a Must: Customer support is the backbone of any hosting provider. Thus, make sure the customer support you provide your clients is top-notch. Usually, people underestimate the importance of good customer support.
In addition, also ensure that you have good technical professionals providing good support to customers 24*7 using various methods such as tickets, emails, live chat, and telephonic conversation. You need to be a people person in this business to accelerate.
15. Good Marketing Strategy: Having a good marketing strategy is a must in this competitive world. You wish to stand apart from your competitors and try and build a good marketing strategy. These days quite a lot of people got the right goods to sell. But all of those don’t end up being a top-dog business enterprises.
The difference-maker is a good marketing strategy. Its importance is immense. All have ideas, but to make your ideas reach your target audience is a tough job. This is where digital marketing strategy for web hosting businesses plays a crucial role in increasing reach and sales. There are various means, like social media networks, advertisements, etc., to do the job. But they all come under a good marketing strategy.
16. Select the Best Reseller Hosting Partner: Selecting the best reseller hosting partner is crucial before starting a reseller web hosting business.
We have shortlisted top best reseller hosting providers for you;
(i) GPDHost: Fast, Secure & Reliable Web Hosting for You & Your Business. If you are considering starting your reseller web hosting business, GPD Host is the best hosting provider, with cost-effective plans and endless support. We have been working with this vendor for years; It has a great setup and customer support.
(ii) Siteground: Siteground is known by its name; you will not find any other web hosting company that supports E-commerce CMSs or Siteground. So, if you want to target the eCommerce industry, choose Siteground.
(iii) Reseller Club: How can someone forget this name when we are talking about reseller hosting? They are a leading name in the reseller web hosting business; You can manage your customers efficiently 24//7 support via chats, calls, emails, and more.
(iv) Greengeeks: GreenGeeks comes with excellent plans for Linux reseller hosting. They also offer FREE SSL certificates, CDN, nightly backups, Free WHMCS, WHM, cPanel, and quick WordPress deployment. White-labeled support, and much more. What else do you need for a trial? They do offer a 30-day money-back guarantee.
(v) Hosting24: This is another alternative and best reseller hosting provider to start your reseller web hosting business. We find Hosting24 the best reseller hosting provider at the price they sell their hosting plans.
(vi) Host4Geeks: Host4Geeks is another name with a full-fledged reseller package at very pocket-friendly prices. We recommend them for cheap reseller hosting.
Reseller Hosting Providers with Indian Servers
(i) Milesweb: Their name is enough for the Indian continent; though they have a global vision, most of their customers come from the Indian region. They are very much popular in India. So, starting your reseller web hosting business with them is an excellent option.
(ii) Qualispace: QualiSpace offers everything from WHM, cPanel, etc. but more is needed. QualiSpace also provides one in all packages for reseller hosting. They are IACNN registered. But they have a good reputation for supporting and their quality servers.
(iii) Bigrock: BigRock, too, comes with a big package with almost everything required in a reseller hosting package. So you can go ahead with their reseller hosting plan without any hiccups.
Benefits of Reseller Web Hosting Business
1. Minimal Initial Investment: You don’t have to invest much in setting up a reseller hosting business. The requirement for purchasing and managing a costly dedicated server is eliminated, as you can rent one from a hosting company. This reduces the start-up costs, making the business highly economical.
2. Ease of Setup and Operation: Technical proficiency is not a requirement for success in this industry. Many hosting companies provide beginner-friendly platforms and thorough instructions, reducing setup costs and complexity even further.
3. Growth and Expansion: If your business includes several websites that receive a huge amount of traffic, you can get bonuses and extra features by selecting a reseller hosting business. For instance, you can run various website components by utilizing multiple URLS and servers.
4. Expands your Portfolio and Skill Set: You may differentiate yourself from the competition and improve both your abilities as a hosting provider and as a business owner by including web hosting services in your portfolio along with other services like web development or web designing.
Pro Tips to Launch a Successful Reseller Hosting Company
Before starting your reseller web hosting business, it’s vital to consider several tips to set yourself up for your success.
1. Research the Market: Conduct thorough market research to understand the demand for web hosting services, identify your target audience, and assess the competition. Determine the unique selling value and points you can offer to differentiate your business in the market.
2. Define your Business Strategy: Develop a concise business strategy that covers your goals, pricing structure, target market, marking approach, and value-added services. Decide how you will position your business in the market and attract clients depending on your unique value proposition.
3. Establish customer support: Exception client support is crucial for retaining clients and building a positive reputation. Determine how you provide efficient and prompt support to your clients, whether through live chat, email, or a dedicated support ticket system.
4. Build a Scalability Plan: Plan for scalability from the start to accommodate future growth. Consider how you will scale your resources, support capabilities, and server capacity as your customer base expands. Select a hosting provider that offers flexible scaling options.
5. Select a Reliable Hosting Provider: Select a reputable hosting provider that offers reliable infrastructure, excellent uptime, robust security measures, and reliable client support. Ensure that the providers offer reseller hosting plans that align with your business requirements and growth potential.
Types of Web Hosting Reseller Businesses
1. Reseller Hosting with WHMCS
Reseller hosting with WHMCS refers to a hosting service that combines reseller hosting capabilities with the WHMCS (Web Host Manager Complete Solution) software. WHMCS is a popular billing and automation platform specifically designed for web hosting resellers.
WHMCS provides a suite of tools that enable resellers to automate various aspects of their hosting business, including client management, billing, invoicing, provisioning, and support ticketing. It integrates with popular control panels like cPanel, allowing resellers to easily manage and provision hosting accounts for their clients.
When you opt for reseller hosting with WHMCS, you typically receive a reseller hosting plan that includes the WHM (Web Host Manager) control panel. WHM allows you to create and manage multiple cPanel accounts for your clients, allocate resources, and customize the hosting environment.
With WHMCS, you can automate the process of billing and invoicing your clients. It supports various payment gateways, allowing you to accept payments from your clients easily. WHMCS also provides tools for managing customer support tickets and generating reports to track the performance of your hosting business.
This combination of reseller hosting and WHMCS streamlines the management of your hosting business, making it more efficient and scalable. You can create hosting packages, set pricing, and manage client accounts with ease. WHMCS also offers features like domain registration and SSL certificate provisioning, enabling you to offer additional services to your clients.
When choosing a reseller hosting plan with WHMCS, it’s essential to consider factors such as server performance, reliability, customer support, and pricing. Additionally, you should evaluate the features and functionality of the WHMCS software itself to ensure it meets your specific needs.
2. Shared Hosting Reseller
Shared hosting resellers acquire shared hosting resources from a parent hosting company and divide them into smaller packages to sell to their customers. Shared hosting is an affordable option for small websites and startups, making it a popular choice among resellers. This type of reseller hosting is suitable for those starting their web hosting journey and targeting clients who require basic hosting services.
3. VPS Hosting Reseller
VPS (Virtual Private Server) hosting resellers purchase virtual server resources and allocate them into separate virtual machines, which they can sell to their clients. VPS hosting offers greater flexibility and control compared to shared hosting, as each virtual machine operates independently. VPS reseller hosting is ideal for customers who require more resources and customization options for their websites.
4. Dedicated Hosting Reseller
Dedicated hosting resellers purchase entire physical servers from a parent hosting company and lease out individual server spaces to their clients. This type of reseller hosting provides the highest level of performance, security, and control. Dedicated hosting is suitable for businesses with high traffic websites or applications that demand dedicated resources.
5. Cloud Hosting Reseller
Cloud hosting resellers partner with cloud hosting providers and resell virtual server instances to their clients. Cloud hosting offers scalability, reliability, and cost-effectiveness, as resources can be easily scaled up or down based on demand. Cloud reseller hosting is ideal for businesses looking for highly available and scalable hosting solutions.
6. WordPress Hosting Reseller
WordPress hosting resellers specialize in offering hosting services tailored specifically for WordPress-powered websites. They optimize their servers and infrastructure to enhance WordPress performance and security. This type of reseller hosting targets website owners who prefer the popular WordPress content management system.
6. eCommerce Hosting Reseller
eCommerce hosting resellers focus on providing hosting services optimized for online stores and e-commerce websites. They offer features like secure payment gateways, SSL certificates, and robust shopping cart integrations. eCommerce reseller hosting caters to entrepreneurs looking to start their online stores and require specialized hosting solutions.
7. Email Hosting Reseller
Email hosting resellers offer email services to businesses and individuals who want personalized email addresses with their own domain names. They provide email servers and infrastructure that ensure reliable email delivery and security. Email reseller hosting targets customers who prioritize professional email communication.
8. Windows Hosting Reseller
Windows hosting resellers specialize in hosting websites on servers running the Windows operating system. This type of hosting is compatible with websites built using Microsoft technologies like ASP.NET and MS SQL databases. Windows reseller hosting caters to clients who require specific Windows-based applications and frameworks.
9. Linux Hosting Reseller
Linux hosting resellers focus on hosting websites on servers running the Linux operating system. Linux hosting is widely popular due to its stability, security, and support for a wide range of programming languages and open-source software. Linux reseller hosting is suitable for customers who prefer open-source technologies and flexibility.
10. Managed Hosting Reseller
Managed hosting resellers provide fully managed hosting services, taking care of server maintenance, security, updates, and technical support. They offer a hassle-free hosting experience for customers who don’t want to deal with the technical aspects of hosting management. Managed reseller hosting is an excellent option for businesses and individuals who value convenience and peace of mind.
11. Unmanaged Hosting Reseller
Unmanaged hosting resellers offer hosting services without additional management or technical support. Customers have full control over their hosting environment, including server configurations and software installations. Unmanaged reseller hosting is suitable for experienced users who require complete control and have the technical expertise to manage their hosting accounts.
12. White Label Hosting Reseller
White label hosting resellers purchase hosting services from a parent company and rebrand them as their own. They have the freedom to set their own pricing, customize the control panel with their branding, and offer a seamless customer experience. White label reseller hosting enables entrepreneurs to establish their own hosting business without developing the underlying infrastructure.
13. Customizable Hosting Reseller
Customizable hosting resellers provide flexible hosting solutions, allowing customers to select specific resources and features according to their needs. They offer customizable packages that can be tailored to individual requirements. Customizable reseller hosting targets customers who want personalized hosting solutions with the ability to scale up as their business grows.
Thus, starting a reseller web hosting business can be a rewarding business with lucrative opportunities. However, for setting up a productive and profitable reseller hosting company, selecting a reliable and suitable web hosting provider that provides uptime, high performance, support, and security is crucial. By following the appropriate steps and considering the key factors, you can set yourself up for a successful reseller web hosting business.
WHMCS Global Services provides highly reliable and high-performing reseller hosting solutions with 24×7 technical and customer support at an affordable price.