i should ask these questions on one thread but i dont know if the right people would read all my questions.

how does reseller programs work.

i was reading the digie.net site and its says i can resell the service by paying for 50 users or something like that

how would i make money out of that if i have to pay 199 a year for it!?

thanks

Season's Greetings ludvin22,

Most all reseller plans offer a set amount of Disk Space and Bandwidth that you are allocated to create and resell as many accounts as you can fit within that space. You need to size and price your plans to meet the profit margin you expect.

Some Reseller plans also limit other resources such as the amount of Domains you can host, MySQL DB's, POP3, etc.

Do not worry so much about pricing your plans to compete with some of the ridiculous offers you see here at WHT, but rather price your plans so that you can meet your expected profit margin to sustain long term growth.

Then you need to educate your customers on the misconceptions that more is better (most customer websites only use a fraction of the resources alocated to their accounts), and concentrate on providing excellent customer service and support because in fact most of the complaint found here at WHT is from customers who are not happy with the level of support they receive from their hosts.

Hope this sheds some light on your questions.

well said Randy. Its about time people got right to that point about pricing instead of it being an afterthought.

One thing to consider, especially since you are starting out, is that a lot of hosts will allow you to resell monthly so you don't have to commit to an entire year.

Another is you should research which control panel you like best, there are many. Your target client will also have to be a consideration in this as well.

To make money, you either have to take their prices and mark them up directly, or oversell your disk space and bandwidth considering most users will only use a small percentage of their purchased amount.

Overselling is where you have 1G of space and you sell something like 20 plans at 100meg each. If they all used the space, you would have to pay for overage, so you'll have to make sure first of all that you are allowed to do this, and second that you can afford that. Your bandwidth transfer can be done the same way usually.

Originally posted by ludvin22
how does reseller programs work.

You subscribe to a monthly plan of your choice. As a new reseller, it is thus recommendated to start off with the lowest plan offered.

You will then resell your package by marking up prices of your choice/package offer, target to your own niche market. You will receive 24/7 technical support from your provider and some host provide other added value services, such as free installation, free clients scripts, etc...

Some provider offer you full features access and unlimited domain name with absolutely no hidden cost.

During the session, they will be much host providing attractive value added package which not unusally prices are locked-in thereafter.

http://www.webhostingtalk.com/showthread.php?s=&threadid=98942

Originally posted by bespoke


You subscribe to a monthly plan of your choice. As a new reseller, it is thus recommendated to start off with the lowest plan offered.

You will then resell your package by marking up prices of your choice/package offer, target to your own niche market. You will receive 24/7 technical support from your provider and some host provide other added value services, such as free installation, free clients scripts, etc...

Some provider offer you full features access and unlimited domain name with absolutely no hidden cost.

During the session, they will be much host providing attractive value added package which not unusally prices are locked-in thereafter.

http://www.webhostingtalk.com/showthread.php?s=&threadid=98942

Ooopsie. Better read those rules (http://www.webhostingtalk.com/misc.php?s=&action=forum-rules)

In short the idea is simple.

You buy your $199 a year package, split it up into say 8 x $50 a year packages and resell them... making $200 a year profit.

Then you do the same again and expand....

Nothing to dispute here but probably to add to what has already been said.

There are a couple of ways to go about reselling :-

a) outright package for package offers. Basically this means to mimick the plans that your web host provides you and you just set your pricing around the pricing of your web host.

b) custom plans. You could set up different plans with different web site and bandwidth and set your own pricing.

c) Value-added plans. Assuming if you are a web designer, you could provide a full solution by doing web design and bundling it with a web hosting account (either free or at some preferential rates). This will make you a one-stop business and probably attract customers who would not have the time or experience in selecting a web host. By providing the web hosting package as part of your web design deal would enhance the value of your services.

d) Share the package with you and your friends as since as this might be cheaper than having separate accounts. Assuming if you share with 9 other friends then each would just have to foot $19.90/year or $1.65/mth for web hosting which is awfully cheap.

It is really up to you to decide what you want to do about it.

:angry:

Originally posted by jocrenalix
:angry:

OooooooooK? I give up. What was that post supposed to mean?