atechstl
02-26-2007, 10:19 PM
I have always done shared hosting with my reseller account. Almost 95% of my business is local. There are a lot of website designers that I know that need a webhost. Most of them pay for individual hosting accounts because they don't know better. This is where I would like to step in with a VPS server and set these guys up with reseller accounts.
My question is, Do most of your profits come from selling shared or reseller hosting?
Aussie Bob
02-27-2007, 05:21 AM
I have always done shared hosting with my reseller account. Almost 95% of my business is local. There are a lot of website designers that I know that need a webhost. Most of them pay for individual hosting accounts because they don't know better.
That's so true. I was talking to a local web designer last week, and he didn't know you pay for something like a reseller account, and source his client's hosting from that. He was paying separately for his client's hosting, and spending an arm and a leg each mth. He'll save around $300/mth by rolling all those domains into his new reseller account (that he got with another host), and he's over the moon.
My question is, Do most of your profits come from selling shared or reseller hosting?
Depends what you target. Shared hosting is usually more profitable (per server etc) than reseller hosting, because with a reseller account it is the reseller who sells the shared plan for retail, and not the reseller supplier.
atechstl
02-27-2007, 02:31 PM
Thank you for your input Aussie Bob.
Shared hosting will definently profit more per server then reseller hosting. I agree with that. But the question is still out there.
Do you make more money from Reseller Hosting then Shared Hosting?
ldcdc
02-28-2007, 01:41 AM
Do you make more money from Reseller Hosting then Shared Hosting?As Bob said, it depends on your target market. In his case, his reputation is linked to reseller hosting packages (or the like), so that's probably the bigger part of his business.
If you take a host like Dreamhost, they make virtually all their money from shared hosting.
There are money to be made in each market, if you have a cost effective way of putting your name in front of the right people.
This is where I would like to step in with a VPS server and set these guys up with reseller accounts. Make your don't put too much emphasis on costs, and get a large enough VPS from a reputable provider, so that performance will be optimum. Wowing customers is a great way to encourage word of mouth advertising. ;)
Aussie Bob
02-28-2007, 09:44 AM
. . . Do you make more money from Reseller Hosting then Shared Hosting?
As Dan said, each host would answer that differently. A hosting account is just that, and it's sourced from inventory, so it all washes together. If you sourced shared accounts on a different server to reseller accounts, chances are you'd make more money off the shared server, but need more clients, when compared to the reseller server.
PremiumHost
02-28-2007, 10:36 AM
If a company specialized in reseller hosting, it's obvious that they will make more money from reseller hosting :D
From my opinion, shared hosting is more profitable.