Results 1 to 9 of 9
  1. #1

    * My perception of reselling

    I've spent the last 4 days looking at different plans, different forums etc. Is reselling nothing more than a pyramid scheme, sellers getting buyers to become sellers. If this is the case I believe market target is completely wrong. The only way to get the remaining 60% of US bussnesses online is to cater to web designers, graphic designers, marketing companys, printshops etc. These are the companies that will represent on the internet those companys whose needs are more than a template and less than full time staff.
    Please comment.
    I'am a web designer looking for a plan that allows me to manage server space for multiple domains. The only backside accesss that my clients will have is a branded web stats panel. I'll do the admin and billing. All items associated with the site will show my company as host including (if possible) dns and dnr. As my client list grows and there needs I should be able to fulfill them with scripts, e comerce, and other add ons.
    I want to avoid criptic over the top control panels and being hosted by a reseller being hosted by reseller hosted by a reseller.......
    Any suggestions?
    Thanks Barry

  2. #2
    Join Date
    Nov 2003
    Welcome to WHT Barry,

    First of, I would like to say that I do not consider reseller plans a pyramid scheme. In fact, by the definition of a pyramid scheme, it would not be. Resellers do have overhead and responsibilities too. I think that is a completely unfair definition for the industry.

    However, I do think your comment on catering to web designers, etc. is a valid point.... one that many hosting companies have thought about, I'm sure.

    As for your personal requirments, I think a reseller plan is best. It will allow you to start small and expand bigger. A dedicated plan at this point would be a waste for you, as well as too expensive. I don't think you have server administrator experience and would have to hire people to do all sorts of things for you, which can add up. With a reseller plan, all of that is already managed for you. You will not have to worry about any technial issues, other than technical support for end clients.

    I don't really think any control panel is over the top compared to another. Most control panels have the ability (on the resellers side) to disable any features that the administrator feels the user should not have. This can get rid of all of the features you feel are over the top given to your clients.

    That's just my two cents.

    Again, welcome to WHT and if you have any questions, feel free to ask or share. We don't bite.... hard.

  3. #3
    Join Date
    Aug 2002
    Kelowna B.C.
    Hello Barry,

    It isn't really a pyramid scheme - The reseller account allows you to host multiple domains under lots of space and bandwidth, rather than one account with only 1 domain and little space and bandwidth. Most of the resellers we host simply use such an account to host multiple domains that they own. They like the extra space and ability to add additional domains at a flat monthly fee, rather than 1 hosting account per domain. If it were a pyramid scheme, I would be directly profiting from the ability of the reseller to bring in additional clients - thats not the case. I don't make cash on a per client basis. It's a flat monthly fee.

    Generally a reseller of a reseller will not have been in business for very long. To avoid a reseller of a reseller you'll need to look at established hosts. You can't stay in business with a reseller account without "moving up" to bigger and better, and getting out of that reseller to your own server. A reseller provider can only support a reseller client for so long before they need to expand.

    In general, a good check is to do a WHOIS on the domain of the hosting company, look for those that have been registered for a while: >1 year and then do some research on them.
    Hosting.Express | Affordable Web and Email Hosting
    Shared | Reseller | 24/7 Support | NSA Free
    SPECIAL OFFER - domain name, email and cPanel web hosting = $3.73 per month | Contact Us: 1-800-861-1888

  4. #4
    Hi Barry,

    Our definition of reselling is exactly what you have outlined - Developers, Multi-media organizations, marketing companies, designers, etc who require "web space" as a component of their solution - yet do not want to manage a server, operating system, etc...

    In our minds, these are IDEAL resellers to have and are the ones we target... With the proposed resellers selling resellers, etc - it almost becomes a pyramid type of system - however - it still doesnt quite fit that bill (thankfully)

    If I may be so bold - If youre just entering the world of reselling - take a good look at the control panel you choose - Im obviously biased towards hsphere - but, it is an ideal solution for someone in your position. It integrates billing, helpdesk, plan management, statistics, etc, etc, etc all into one package.

    This is especially helpful if your target audience will not have access to the control panel - Having everything integrated in one spot has been simply amazing for us - and we could not even think of running our business any other way...

    Anyway - best of luck - and hopefully this post helps you...

  5. #5
    Join Date
    Aug 2003
    Vancouver, BC

    with your defintion then a grocery store would be a pyramid scam.

    Just think of it like farmers providing the grocery store the food. Resteraunts buy food from the grocery store and make it for people.

    Reselling is just like that in it's simplist form.
    Gary Jones - Canada Web Hosting

  6. #6
    Join Date
    Feb 2004
    In fact, WHM resellers are not resellers in the classical sense of the word. They do not resell the root seller's plan, they rather sell their own plans, hence do not fit into the definition of resellers at all.
    :: :: :: :: :: ::
    :: VDSP.Net :: Directory of virtual and dedi serv providers by location and price

  7. #7
    Join Date
    Feb 2002
    Originally posted by Imago
    In fact, WHM resellers are not resellers in the classical sense of the word. They do not resell the root seller's plan, they rather sell their own plans, hence do not fit into the definition of resellers at all.
    That's correct, although they do resell resources from the server, that their Reseller plan allows them to. They set their own pricing, bill and support their own clients, set their own plan resources, and use the Reseller account as the supply for their hosting plans.

    Their next step up is a dedicated server, where they just continue to create accounts for clients, in much the same way as they did before, but they now have the added responsibility of managing the server, and servers don't stay up all by themselves.

    Barry, what you're looking for is a standard Reseller account that lets you create hosting accounts for your clients. Your reseller supplier is responsible for sysadmin and server monitoring.

  8. #8
    Join Date
    Apr 2004
    Greetings Barry Plast,

    Webdesigners generally use reseller plans just as you have outlined

    As a reseller you create the accounts for your client if you give them the account information is upto you as you "own" the account on the server. So yes you can create the account and manage it for your clients.

    Wont comment on the "pyramid scheme" comment as I feelit has been commented on enough..
    DSL WebHosting Solutions
    Fast Affordable WebHosting Solutions
    24/7/365 Support

  9. #9

    Talking WHT set me right

    Thank you to all that replied, Another 4 days has gone by and I now see it 180 degrees from my first post.
    Long short, I signed up for a reselling plan, the login I recieve directed me to an hsphere reseller conrol panel, asking me to set my resell plans, I get around this and manage to set up an account. But before I can upload the site I need a Plan and billing information. So, at this point I'm thinking What stinking plan, and Why do I want to share my clients Billing information with the company I'm buying space from (dammit I though I bought web space, where's the IP and password, Vamanos). Thats where I was coming from when I posted.
    After reading your guys responses adimant and sincere, especially Gargoyles(my plan sounds very much of what you spoke. Like lightning it struck me that these were only options, 2 of many that I may never use (such as a site builder). I did end up setting up a free plan in my account to assign my accounts to as well as psuedo account info(pointing it back to my company).
    Apologies to all, I'm actually looking forward to learning what other goodies are available to me, though sometimes I think I need to learn another side of technology like I need an exwife.
    Thanks for setting me straight

    Sometimes there's a lesson to be learned and sometimes it's only Monkey Chatter

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts