Reseller hosting is essentially the wholesale/drop shipping sector of the hosting industry, giving you the ability to purchase server resources at low prices, rebrand them, and then resell them for a generous monthly profit. These plans include all of the tools needed to create your own hosting website, brand it, market it, and establish your own successful hosting business.
Unfortunately, most resellers are using a set formula to build their sites with templates and are having a hard time standing out from the crowd. The main issue resellers have is trying to compete with larger hosting companies in terms of price. Without a bit of creativity and marketing savvy, this roadblock often proves to be the stumbling block of many novice resellers.
Fortunately, there is a way to compete in the web hosting market, however first you must decide whether you are going to focus on building a site and marketing it, or personally soliciting a client base via online communication.
Complacency vs Aggressive Marketing
So, you’ve decided to begin marketing your hosting business, but you are not sure which route to take. Most novices start by taking their free advertising coupons and starting a PPC campaign with little to no success, while other begin trying to compete with massive web hosting companies in the search engines. Obviously, both of these paths will take a lot of hard work, and maybe even a miracle. However, if you think outside the box and are not complacent about the growth of your hosting business you’ll have a lot more success.
Rather than waiting for the clients to come to you, consider joining a web hosting forum. Become an active member and offer other members discounts while using the forums to advertise your services as a new hosting provider. Try brokering other services and combining your hosting plans with these services to broaden your client base into other Internet-based industries. Using this mindset you can begin building a client base rather than just building a web site.
Some people would misconstrue the above advice as to say that a web site is not needed for a successful hosting business. While it is possible for you to build a large client base without a site if you offer other web-based services, the fact is you cannot maximize your profits without your own web site. If you want to increase your visibility and professionalism, you need to design a web site that you can link prospective clients to when they are curious about what you have to offer. The majority of webmasters simply will not purchase a hosting plan form you if you do not have a professional site set up. Your first step should always be creating a useful web site before beginning your marketing endeavors, regardless of your marketing approach or strategy.
The main advantage that the larger hosting companies have over you is that they do not really need to try to solicit new clients – whereas you have to put forth a concerted effort to do so. Thus, you must personalize your services and create relationships with your client base. Offer them discounts on their monthly hosting costs if they refer people to using your hosting services, and consider setting up a multi-tiered referral system that will encourage your clients to promote your hosting business for you.
Learning about the market you want to go after is also essential. Take periodic surveys, ask your clients how you are doing and if there is anything that you can do better. Keep our finger on the pulse of your clients and their needs.
Another good way to keep in touch with customers is via social media. Having a social media presence such as a Facebook page or a Twitter account will allow you to interact with your customers directly and receive valuable feedback.
If you work hard at your reselling web hosting service and follow these guidelines you should do well. Good Luck!