Web Hosting Talk : Web Hosting Main Forums : Reseller Hosting : How I gonna make profit out of it? :(

[mysborg]

hello guys,

I was so happy to see innohostings reseller page and bought Professional plan (UK)$32.95 a month, Now I see other hosting companies which are offering 5GB space for $1 or $2 and I got only 15,000MB(that's not even 15GB) and how I gonna make profit out it?
It was my worst step I took without taking suggestions of anyone on wbh

Now I've checked there refund page but they have many policies and charges for refund which will be more than my paid amout, guess that money has gone already

So what do you guys comment about that and Can you suggest me any good reseller hosting sites?

[ezbnc]

You can not compete on price it is not good to do anyways. Start advertising rather free or not and give it about 6 months to see if this is the business for you.

[mysborg]

Originally Posted by ezbnc

You can not compete on price it is not good to do anyways. Start advertising rather free or not and give it about 6 months to see if this is the business for you.

I thought the same and give free hosting to some clients in starting, but it will be worst if I'm getting nothing and paying them $32.95 every month and can't make anything out of in future also. They will be with us as long as they get it for free and when it's paid they may move to other hosts which are cheap (giving 5GB for $1)

[BrettB]

There are other aspects you can compete with other than price. For example, you can find a local market that may need hosting with a bit more hand-holding (or some other service you're able to offer). There are other markets other than the ones here at WHT that will gladly spend a bit more on hosting.

[LiquiLayer]

Do most of your marketing outside of WHT. While you may end up getting a few sign ups from being on here, you just can't compete with the prices. Establish your business and build a good reputation. Focus on providing customer support and as said above - offer something you see other companies lacking.

[gvirtucio]

With any business, not just in web hosting, you will always start out with a loss. Even if you opt for the $5 one, that's still a loss for you. Do not expect to earn a profit the first few months, or have clients willing to sign up quickly.

Like what others have suggested, try to target your local market first. Ask your friends or family if they are interested. Look for small businesses around you, especially those without websites, and tell them how having one can improve their business.

Just make sure you are committed on what you are planning to do, both personally and financially.

[PlotHost-Max]

Originally Posted by gvirtucio

With any business, not just in web hosting, you will always start out with a loss.

Exactly, you just can't make profit from the first day. Try to advertise your business

[BassHost]

Originally Posted by gvirtucio

With any business, not just in web hosting, you will always start out with a loss.

You never start out with a loss. A loss is when you don't get the money back. That would mean your business is dead.

You invest on a monthly bases and give it some time to grow.

How are you going to make a profit ... well that is your problem. Sit down and think ... come up with a business plan.

[mysborg]

Originally Posted by BassHost

You never start out with a loss. A loss is when you don't get the money back. That would mean your business is dead.

You invest on a monthly bases and give it some time to grow.

How are you going to make a profit ... well that is your problem. Sit down and think ... come up with a business plan.

Thanks for all your comments, I agree with them as they're true.
I'm with a plan already but the problem is space, other hosts are giving upto 25GB space for just $2 and I have 15,000MB space (paying $32.95 a month)

[DreamServers]

this is where a business plan should of been made...

always do your homework first

[TheJoker]

Me thinks hosting companies don't sell reseller plans for you to make profit, they sell reseller plans for them to make profit.

[V7Host]

Originally Posted by mysborg

Thanks for all your comments, I agree with them as they're true.
I'm with a plan already but the problem is space, other hosts are giving upto 25GB space for just $2 and I have 15,000MB space (paying $32.95 a month)

Something you should have thought about before buying the reseller package and planning to get into the web hosting business?

For the price your paying you get a fair amount for your money -whmcs, end user support, ssl certificate etc. Stuff you would have had to pay for outside of your reseller acount.

Innohosting also allows overselling so you can sell more space than you have. Try not to compete on price as it is a losing battle. Do a lot of research on here, draw up a business plan and see whether you are prepared/can afford to have losses for a few months until you make a profit.

[byezan]

Originally Posted by mysborg

I'm with a plan already but the problem is space, other hosts are giving upto 25GB space for just $2 and I have 15,000MB space (paying $32.95 a month)

You got a fixed cost of $32.95pm for 1500MB storage across all packages, how many plans can you sell and for how much to at least recoup your costs?

Lets face it, your not going to be globally competitive on price/storage ratio so you'll need a local and/or niche market with excellent support. As already suggested, you really should do your homework first

[m8internet]

$32.95 per month for 15GB is relatively expensive
However it is rather strange to mix USD $ with UK services
Are you UK based or is their service?

If you live in the UK or their services are in the UK, the Distance Selling Regulations apply
There is a 14 day cooling off period
Refer to the Terms and Conditions, cancel the contract

Personally, cancel the contract anyway and write off the $32.95

Equally, a reseller account starting at 5GB is quite small
However this is ideal for someone starting out
As above, it depends on any other restrictions that may apply, such as maximum number of Domains, accounts, etc

[cd/home]

Originally Posted by m8internet

$32.95 per month for 15GB is relatively expensive

Considering they include WHMCS aswell its abit of a good deal to be honest...