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Can I Actually Generate An Income By Having A Reseller Web Hosting Account?
It's been marketed as one of the easiest ways for the somewhat-web-savvy individual 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 cash roll in, month after month after month. We all understand what the hype says in this situation - reselling web hosting accounts is a no-brainer business opportunity. However, can the reality of the project live up to the potential that the hype produces?
Before you dive into the great money-maker of reseller web hosting, there are several things that you have to know. First off - it isn't quite as hassle-free as it's hyped up to be. See, even if you do manage to obtain hundreds of paying clients for your branded web hosting services, you nonetheless need 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 have to dedicate your own precious time to the cause. Now, as a reseller, you will not likely have root access to the server, so in a lot of cases, you have to be the middleman between your buyers and your web hosting service provider when support requests surface.
The second area is probably where you're going to run into the biggest problems -- getting clients. See, when bandwidth and disk space was just beginning to come down in price several years back, that may have been a good time to jump on the reseller web hosting bandwagon. However, over the years, literally hundreds 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 hinder you from pursuing the 'make money via reseller web hosting' business, but if you hope to make it work for you - you have to do something that other mainstream business owner hopefuls haven't already tried. You have to change your offers!
You will discover ways to make money with a reseller web hosting account, but the newcomers who are finding success in this market are not depending on reselling web hosting services alone - they are taking on supplemental services. For instance, some are offering website design services, and then subsequently offering website hosting packages to their potential customers. Or they cater to a particular segment or niche market. Others are taking needed services, such as shopping cart systems, affiliate management systems, along with credit card processing and incorporating them with website hosting services to offer to the public. Unfortunately, the viability of running a profitable, no-effort reseller hosting business out of your bedroom or spare room just isn't likely anymore.
So, 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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