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Will I Really Generate An Income With A Reseller Web Hosting Account?
It's been suggested as one of the most effective ways for the relatively-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, find clients, and watch the money roll in, month after month after month. We all know what the publicity says in this situation - reselling web hosting accounts is a no-brainer business. However, can the actuality of the business live up to the potential that the hype produces?
Before you dive into the great money-maker of reseller web hosting, there are a couple things that you should know. First off - it isn't quite as easy as it's hyped up to be. See, even if you do manage to have hundreds of paying buyers for your branded web hosting services, you still have to support your clients. At the very least, what this means is that you either have to hire people to handle your support requests, or you need to dedicate your own time to the cause. Now, as a reseller, you would not likely have root access to the server, so in most cases, you have to be the intermediary between your customers and your web hosting service provider when support requests surface.
The second area is probably where you're going to run into the biggest obstacles -- getting clients. See, when bandwidth and disk space was just starting to come down in price a few years back, that may have been a really good time to jump on the reseller web hosting bandwagon. Nonetheless, over the years, literally thousands 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 meant to completely discourage you from pursuing the 'make money via reseller web hosting' opportunity, but if you wish to make it work for you - you have to do something that other typical business owner hopefuls haven't already done. You have to diversify your offers!
You will discover ways to make money with a reseller web hosting account, but the newcomers who are succeeding in this market are not relying on reselling web hosting services only - they are taking on supplemental services. For instance, some are promoting website design services, and then subsequently promoting website hosting packages to their customers. Or they cater to a particular segment or niche market. Others are taking needed services, such as shopping cart systems, affiliate management systems, and credit card processing and combining them with website hosting services to offer to the general public. Unfortunately, the viability of running a profitable, no-effort reseller hosting business out of your bedroom or extra 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 offering hosting services as a stand-alone service.
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