We do not offer a reseller program, but from the offers and requests I've seen they're typically under a hundred a month with unilimited domains, Email, etc. If a reseller sells 30 accounts how do hosting companies make any real money with their reseller programs?

Do you mean the company supplying the reseller accounts, or some person with £100 who decides to buy a reseller account?

If its the company supplying the reseller accounts then its very profitable. Probbaly as profitable as dedicated servers can be. As you say, £100 a month for a reseller account typically. If the host gets a couple of them its alot of money.

The company supplying the reseller account.

I meant more from a bandwidth/resources standpoint. If that $100 account is using half a T1 from the 30 accounts each month it seems like a lost cause. ;)

If you supply your own bandwidth, yes, a reseller account is kind of iffy..

However, if you have a dedicated or colocated server that has multiple OC3 lines and 300-500gb of bandwidth a month.. then why no do resellers? They'd make you a bigger chunk of money

If you had something like a TI, or in here in the UK a E3 (10mbit) you wouldnt need to worry about how you can offer the b/w that a reseller account can do.

The more important thing would be the server resources. As if you sell 50 reseller accounts, each can have 100 sites your need a fair few servers, then b/w will become an issue with in theory a total of 5000 sites.

Uh, actually a T1 isn't a lot of bandwidth for a hoster... especially if he has a lot of clients...


1500k a second really (am i wrong here on the t1?)

if you have 50 clients logged in at once doing stuff, and people browsing the sites using forums and junk... that will disappear real fast..

A t1, 1.5mbit will certainly be used quickly. I was referraing to having something a bit beefier.

yes, a t1 is 1544kbit/second.

Usually when you just say "k" people think of kilobytes.

Originally posted by Lirath
Uh, actually a T1 isn't a lot of bandwidth for a hoster... especially if he has a lot of clients...


Uh, no kidding? :rolleyes:

Hello,
I didnt personally that reselling would be a good way to make money but after doing some research and pricing it all up then I found that reselling is a good way to go. Stormhosts are about to release a reseller program around Christmas time and the reseller packages have had more interest then the regular hosting packages which was a good suprise. We havent even really advertised them yet and only have a small email link on the main page.... but we get more requests about that then anything else.

As for the bandwidth usage.... if you have 300 - 500Gb like someone mentioned then it is a good option to choose.

You can offer your normal packet but it a little more suice...


And charge like $ 1-5 |m. per domain that the resseller has...

Than you will make some good cash....

About the conection...

If you get one T1 for the first 20 Sites than ad 2 T1 our 10 MB you will not have a problem and you will have some money coming in before you start lossing it backbone..

Just some numbers:
A t1 or 1544 kbit/s = 320GB a transfer/mo.

selling to resellers allows you to basically sell larger accounts. You may only get one sale for the 30 accounts that they will eventually hold in their account, but you will only have one client to support where they will have 30. You will also only have one credit card transaction to pay for and they will have 30.

The domains are unlimited a lot of times, but the disk space and bandwidth transfer are not, at least for a reputable, stable company IMHO. Selling to resellers is very profitable.

If you are allowing one reseller account to take up half of your allowable transfer for half of what you pay for it, you certainly didn't do your homework. Also remember that even resellers have to purchase more resources than they actually consume or risk having to pay for overcharges.