Of all the online businesses you can start from home, reseller hosting is probably the least covered and the last that comes to mind. However, you can turn it into a profitable side hustle or even main activity if you find the right niche and summon the effort.
A hosting plan reseller does not manage or run any hosting servers. They put their brand on them, rent them out, and sell customers that server space.
It’s a lot like running your own web hosting services company. Users won’t know the difference.
You can create the best reseller hosting plans, accept payments, and make website backups, email, and other features available.
Why is it Easy to Make Money as a Hosting Reseller?
There are many reasons for this. An increasing number of website owners are turning to managed web hosting as the best solution for their hosting needs. This is because you need extensive technical knowledge to manage your hosting.
Security is a critical element. To keep their websites safe, managers and owners need to know how to change the SSH port and create new keys. The default SSH port is 22. All experts know this, including hackers. It’s a good idea to change the port, but it means knowing how to edit the configuration file properly. You also need to create backups before proceeding to save yourself headaches if something goes wrong.
The conventional user and password system is adequate prevention if your password is strong. If you want to be sure, you need to generate SSH keys to authenticate individual users. You can do this with the PuTTYgen app in Windows. Open it and click Generate, and it will create both a public and a private key.
With managed hosting, subject to profitable resale, the hosting service takes care of all of these aspects for the end-user. Website owners often find they don’t have the time or skills needed to take personal responsibility for their hosting.
What Skills do You Need?
You need some basic technical skills to start reselling hosting services. You also need an in-depth understanding of how servers operate and essential development and web design skills. It would also help if you had some business and marketing skills to handle payment processing and online marketing.
Find a Niche
You won’t compete with the biggest companies in the hosting market because you can’t match their competitive advantages. What you can do is establish a niche hosting company in the small to medium-sized enterprise segment. You might be able to compete with hosting companies in this space even though they have thousands of customers and servers.
You’ll find customers by being a leader in a niche market. The most common benefits of choosing a niche are:
- Keep costs down by not having to meet everyone’s needs
- Make marketing easier
- Meet your niche’s needs more easily
- Provide better customer service
- Less competition as you’re not competing with large enterprises
Getting Started as a Web Hosting Reseller
You’ve probably considered a few ideas for the hosting niche you will focus on. You might provide web hosting as an extra service or plan to become the go-to hosting provider in the area. You could focus on a concrete niche, like lawyers, or subniche like hospitality industry automation.
Once you choose a niche, you’ll want to explore it to draw some conclusions about the competition. Find a few companies that will either be targeting the same niche or offering a similar service. Look for the following details as you browse their website:
- Price point
- Basic offerings
- Marketing methods
The first thing to look at is how much their hosting services cost. How much do they charge for other services? If you can’t compete on price, you must offer something more or of better quality than they do.
Primary offerings include the hosting plan and type and the company’s additional features and services.
Finally, you can explore their marketing methods by seeing if they offer paid ads or maintain social network accounts or a blog. Use Ahrefs or SEMRush to check if their sites are bidding for keywords or accumulating organic traffic.
Defining Your Basic Offerings
As a final step, establish your primary offerings. It might be a dedicated server, VPS hosting, and shared hosting plans. Perhaps you’ll only provide hosting on WordPress to a specific niche.
You could offer email features, domain name management, and other services depending on the parent hosting company you’ve partnered with. It’s possible to set your company apart from the others in your niche by serving as a one-stop shop for all your users’ needs