View Full Version : Reseller Help
j0nAsh 11-03-2005, 02:21 PM Hello,
I have been reading these forums for some time now and have noticed there are alot of users. I was just wondering if anyone could help me with some of these questions?
As there are alot of people, all of which sell webspace cheap is it still possible to earn a profit from selling webspace? I am determined and dont give up easily
Does anyone have a short list of reliable, yet cheap, reseller sites?
How much, if you have your own reseller do you make profit/loss?
I am new to the forums, sorry if I come across as being cheeky for asking this.
Thank you,
j0nAsh
Lubby 11-03-2005, 03:32 PM Moved to running a web hosting business forum.
Some of those questions I doubt any decent sized host would give you answers to. With that said, if it wasn't profitable more then likely they wouldn't be doing it. With that said, some people do run at a loss for a while until they give up and sell or close down and leave the clients high and dry. Work on a solid business plan is the best advice.
j0nAsh 11-03-2005, 03:45 PM So with enough will power it is possible to make progress as a web host?
Does anyone have any specific advertising techniques?
Magma Designs 11-03-2005, 03:51 PM I've been there. You really need to start off with a resonably big package to even costs. I found that when I had a reseller for reselling (I still do, but for personal sites) I couldn't really beat the [rices of my host.
j0nAsh 11-03-2005, 03:54 PM I plan on getting a big package yet I'm not sure if I should just make my own server. I would like to stand a good chance of making some profit.
Well just been looking at the dedicated servers, would it work out better to do it that way?
Magma Designs 11-03-2005, 03:57 PM Your best bet would be to buy a reseller and bite the bullet and be prepared to make a slight loss, then once you get a userbase move up to a dedicated server and then you could possibly start making a profit. You could try asmallorange.com for hosting, their support is second to none.
j0nAsh 11-03-2005, 04:00 PM So you would recommend a reseller before a dedicated server?
Magma Designs 11-03-2005, 04:12 PM Yes, you might lose abit of money while on the reseller, but the userbase would justify the cost of a dedicated server.
j0nAsh 11-03-2005, 04:15 PM Yes, you might lose abit of money while on the reseller, but the userbase would justify the cost of a dedicated server.
userbase?
j0nAsh
Magma Designs 11-03-2005, 04:17 PM Your clients.
j0nAsh 11-03-2005, 04:19 PM Your clients.
My mistake. :(, sorry
Lubby 11-03-2005, 04:19 PM Another option is VPS. The problem with servers if you are just starting and not technically gifted is having to administer the server and keep things up to date and running smooth as well. Costs add up in a hurry.
j0nAsh 11-03-2005, 04:21 PM Another option is VPS. The problem with servers if you are just starting and not technically gifted is having to administer the server and keep things up to date and running smooth as well. Costs add up in a hurry.
Costs?
What other additonal costs can occur?
Sorry for osunding so stupid.
Magma Designs 11-03-2005, 04:21 PM You could alway get a VPS with cPanel and WHM.
j0nAsh 11-03-2005, 04:26 PM So VPS would sound like much more of a realistic plan?
Are there any other sites apart from that?
Lubby 11-03-2005, 04:29 PM Additional costs getting a server instead of a reseller account.
Server Management
Software Licenses
Server Monitoring
Between those 3 you could very well double the cost of a server.
j0nAsh 11-03-2005, 04:31 PM Thank you:)
VPS, everything is set up, if im not mistaken?
Excuse the bad use of grammer and english. My girlfriend is asleep trying to type quietly.
Magma Designs 11-03-2005, 04:32 PM A VPS is nearly the same as a dedicated server, only its on a shared one, with a portion of the resources allocated to your account only.
SoftLayer Sales 11-03-2005, 04:33 PM First, let me say YES you can make a profit from running a hosting business. Many individuals run successful hosting business and generate a profit.
However, too many people forget to create a plan BEFORE starting a new business. The hosting business has become extremely competitive, sales or new accounts are not going to just fall into your lap over the internet. You will need to create a business plan first which should include (among other things) details on who you will market your services to. Study your competition and consider how you will differentiate yourself, perhaps cater to a niche market that you have access to. Once you decide who your target market is for your services, then you develop a strategy of how to market to that group.
The plan should also include realistic projections on what sales will be. Armed with that information you can do a cost benefit analysis on whether renting a dedicated server vs. using a reseller would be more beneficial to your business. If you are not technical in nature or do not know how to admin a server, choosing a dedicated server will require some type of server management plan. Do not forget to include those fees in your cost benefit analysis.
j0nAsh 11-03-2005, 04:37 PM Thank you scanale, most appreciated.
Part of the reason I am on here now is for my plan. I need to figure out the amount it will cost me and with that charge in mind will i be able to offer low prices.
j0nAsh 11-03-2005, 04:44 PM Will now do some research into a VPS. Thank you all.
SoftLayer Sales 11-03-2005, 04:56 PM I think you may still be missing my point :) .
If you have already done your market research, my apologies... but my suggestion is by determining who your target market is, how large that market is, and how much of that market you expect to capture with the services you intend to offer, then you can plan what you will need to purchase and how much it will cost to service those customers.
If you have that information perhaps sharing some of your projections and the services you intend to offer may allow other members to make suggestions on the best solution for you to proceed with (reseller, VPS, or dedicated server).
j0nAsh 11-03-2005, 05:07 PM As far as research is concerned I have based it upon my class. I am studying I.T at college and achieved AAA (100%) in my first year. While I've been at college I've noticed most students have websites and me to me the prices they pay are too much.
I liked to aim it at younger people, personal sites but would also like to target bigger plans.
SoftLayer Sales 11-03-2005, 05:51 PM It sounds like you have a good start with students you have around you. That may not only be a great place for you to capture sales, but also it can be an excellent resource of information valuable to your new company.
Since you have access to this source of potential customers take some time here to really utilize that resource. Don't just look at what they are paying (cost is not the only factor that will help you gain customers, someone else will always be cheaper than you). Speak to these students (prospects) and find out who they are purchasing services from now. Find out what they like and /or do not like about their current provider. Ask about what services or products they find most useful or what services they feel are lacking in their current provider. Ask if they are willing to pay extra for certain additional features. I could go on and on here.... but I think you get the idea. You have the market identified that you want to go after, now find out what their hot buttons are and how you can satisfy those needs. Then build your product offering around that.
Again, remember cost is not the only factor. I promise you someone else will always be cheaper than you. Don't focus solely on cost.
yghosting 11-03-2005, 07:48 PM I'm sure you could start out on a reseller package, at least for the first months. Then grow to either a VPS or dedicated sercer and maybe outsource some support. There a some good admins to outsource.
j0nAsh 11-03-2005, 08:05 PM It sounds like you have a good start with students you have around you. That may not only be a great place for you to capture sales, but also it can be an excellent resource of information valuable to your new company.
Since you have access to this source of potential customers take some time here to really utilize that resource. Don't just look at what they are paying (cost is not the only factor that will help you gain customers, someone else will always be cheaper than you). Speak to these students (prospects) and find out who they are purchasing services from now. Find out what they like and /or do not like about their current provider. Ask about what services or products they find most useful or what services they feel are lacking in their current provider. Ask if they are willing to pay extra for certain additional features. I could go on and on here.... but I think you get the idea. You have the market identified that you want to go after, now find out what their hot buttons are and how you can satisfy those needs. Then build your product offering around that.
Again, remember cost is not the only factor. I promise you someone else will always be cheaper than you. Don't focus solely on cost.
Thank you again. A very helpful person you are :)
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