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$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$ HOW
TO RESELL WEB HOSTING FOR A
PROFIT $$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$
Why should I
become a web hosting reseller?
Just think about it. Every day thousands of websites
are added to the worldwide web. Today there are millions
upon millions of websites, and millions more are added
each year. And guess what? EVERY single one of those
websites has to have a host! If they didn't have a host,
nobody would be able to see their website. As you can
already imagine, the web hosting business is a hugely
profitable and rapidly growing industry. There are
already thousands of web hosts; but don't think for a
moment that there are already too many. There are
literally so many websites being added to the web each
day that if you could even capture 1/100th of 1 percent
you could be rich!
Most web hosting companies start by reselling web
space provided by other companies through web hosting
reseller programs. Especially if you are not experienced
with running a web hosting company, it's best to start
your web hosting business by purchasing webspace from a
company with a web hosting reseller program.
Start by buying a small account and reselling pieces of
it. A web hosting reseller program of one company can
differ significantly from a web hosting reseller program
of another company. Here are some of the common types of
reseller programs:
Affiliate Programs - You, as a
reseller, act like an agent for that web hosting
company. You merely advertise the service, and you
clearly mention that the service will be provided by the
actual web hosting company. The customer will buy
directly from the original web hosting company and you,
for the "advertising service", get a few percent from
each sale that originated from you (your website).
Another type of affiliate program is where you, the
reseller, act as a marketer for the web hosting company.
Again, you simply advertise the service and mention the
actual web hosting company. The customer buys the
service from you instead of the actual company, but all
further contacts (support, complaints) do not involve
you. They will be handled directly by the web hosting
company. Affiliate programs are OK if
you don't want to make very much money.
Consequently, we do not offer an affiliate program.
Per-Account Programs - Your company
appears to be a web hosting company in its own right.
You will be handling sales and support, but in effect
only putting your own brand on someone else's service.
You buy the service at a lower price and resell it to
your customer at a higher one. The customers are yours
and they will contact you for support. For example the
"mother company" sells you hosting at $5/month per
domain. You operate your own website where you sell
hosting for $10/month per domain. Each time a customer
orders from you, you go to the mother company's website
and set up the account. The mother company emails the
account details to you, and you then email the details
to your customer. In this situation you can make
some money, but you have no control over your hosting
plans, and are very dependent upon the mother company.
You can make some money using this
type of program, but it's totally inferior to the next
type of program. We do offer a per-account
program called MJP Web Hosting A-la-Carte. However, since we
offer true reseller programs starting at such a low
price, there is no reason for you to use this program
unless you really don't want to handle setting up your
own accounts. This program is geared toward people who
have very little web hosting experience and don't want
to learn how to run their own WHM panel, but still want
to sell web hosting for a profit. If you fit that
description, please go to our A la
Carte page. On the other hand if you want to make
some SERIOUS money, keep reading...
Private Label Reseller Programs - This
is the final category. You, the reseller, purchase a
rather large chunk of web space and bandwidth (there are
other features to take into account, but these are the
most important ones) from the web hosting company. You
are provided with the ability to slice that into pieces
as you like, enabling you to create your own web hosting
packages. This is the highest degree of independence
that you can get from a web hosting reseller program.
Typically you get a reseller manager control panel (ours
is the cPanel/WHM control panel--the best in the
industry). You set up your customers accounts and
provide basic support for them; basically you have total
control over your business. You ARE a web hosting
company! You can make a TON of money
using this type of program. If you are ready
to sign up now, please go to our order
page and select a Reseller Account from the order
form toward the bottom of the page. For more information
about this money-making program keep reading...
How much
money can I make?
Most examples you see are best-case scenarios (for
example 10 sales per day), which in reality rarely
happens. Most calculations do not consider the number of
customers that quit their service, nor do they take into
account marketing expenses such as advertising. Of
course you are only limited by the amount of time and
effort you want to invest in your business. We know of
resellers making $15,000 - $20,000 per month and more!
Here is a very realistic
projection of how you can make $2,000 per month net
profit within one year of signing up.
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Example
SALES PER WEEK: Let's assume six
sales per week. Three sales at $10/month. Three
sales at $5/month. This is a realistic possibility
using sensibly low sales prices, and less than one
sale per day.
CHURN: We will assume that one of
your $10 customers quits each month, and one of
your $5 customers quits each month. Once again,
this is a realistic number.
HOSTING COSTS: For this example we
will use our $99.95/month unlimited reseller
account. We will also assume a generous monthly
marketing budget of $120.05 to cover advertising,
Paypal fees, etc.
Based on these numbers, your
business would look like this at the end of one
year:
| $10/Month Customers |
$5/Month Customers |
Gross Monthly Revenue |
Hosting Expense |
Marketing Expense |
Monthly Net Income |
| 144 x $10 |
144 x $5 |
$2,160.00 |
$99.95 |
$120.05 |
$1,900.00 |
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Are you convinced yet? Go to the order
page and select a Reseller Account from the order
form at the bottom of the page.
Can I SELL
Reseller Accounts?
Yes! As you will find out, selling reseller accounts
can be one of the most profitable parts of your
business. As an mjpwebhosting.com reseller, you will be allowed to order additional
reseller accounts at HALF PRICE. In other words,
you could buy an unlimited reseller account for $49.95
(regular price $99.95) and resell it for any price you
want. You can see how that kind of profit would add
up
quickly. Again, this special offer is ONLY available
for current resellers who are paying full price for
your
primary account. Do not try to order your primary
account from the half-price page. We will cancel your
account without refund! If you already have your
full-price account, or if you just want to see what the
special page looks like, you may go to our Reseller's
reseller page.
Why not just
get my own web server?
There are big advantages for using a web hosting
reseller program instead of managing your own server and
one of the most important ones is that the actual web
hosting company does the system administration work, so
you're not required to have the technical skill to
administer the server. If the server is yours, you are
responsible for managing the hardware, operating system,
web hosting software, licensing, and much, much more. If
your server gets hacked you need to fix it, etc.
What kind of
experience do I need so I can support my
customers?
It's good to have a little tech expertise in order to
be able to help your customers with their basic needs
like answering their questions on setup and
administration of their hosting account package that you
provide for them. Luckily, most of this is stuff
involves the use of a control panel, and that's
something that you (and most of your customers) should
be able to learn with reasonable ease. If you already
know how to use cPanel for your own domain, you're at
least halfway there. WHM is just the management side of
cPanel, and it uses the same user-friendly type of
interface that you're used to. If you have the ability
to learn, NO EXPERIENCE IS NEEDED. Additionally, you
will have access to all the resources on our support
page, such as the helpdesk, and plenty of good
documentation on how to use cPanel and WHM. That's one
of the best parts about being a reseller--we are
there to help you if you run into a snag. In fact, we feel that our resellers are the
most important part of our business and you will be
treated as such!
Most new web hosting business owners are concerned
about the amount of support tickets they're going to
receive. However, the number of requests won't be
overwhelming. You can expect new clients to ask some
questions, but as you get along, most of the clients
won't even need support unless the servers are
down. If you don't want to handle any support, an
alternative option is to outsource all of your
support so that you do not handle any customer support
issues at all. A good outsourcing company will remain
invisible to your customers, but will be there if any of
your customers need help, 24/7. We do offer our own
support solutions, which is a nice advantage because we
have the most direct access to our servers (vs. you
hiring an outside company to provide support). To see
the prices and features of our outsourced support
solutions please go to the outsource
page. At this time we only offer this service for
resellers whose accounts are located on our own servers.
How do I get
started?
When you sign up, we will instantly set up your
reseller account for you. You will receive a detailed
welcome email with all of your account information,
login details, and basic instructions. You can start
setting up websites the moment we set up your account.
Essentially, you just go into your WHM panel, fill out
some fields, click a button, and BANG! You just set up
your first account. Many reseller accounts with other
companies have less user-friendly controls, more and
complicated processes to set up accounts. With us you
can hit the ground running and start making money from
day one! If you are ready now, go to our order
page and select a Reseller Account from the order
form at the bottom of the page.
Will my
customers know I'm a reseller?
Only if you tell them. We will remain invisible to
your customers. All of our name servers are anonymous,
meaning there is no website set up on those domains. We
will never contact your customers. They will only see
you as their web hosting provider. This is a very
important feature especially if you plan on becoming a
big company. For reseller (WHM) accounts we also offer
the option of setting up your own custom name servers at
no additional charge.
What kind of
control panel will I get?
One of the most important factors to consider is the
control panel. There are many different control panels
used by web hosts. What you want is a control panel that
is easy for you to use AND easy for your customers to
use. Our control panel (cPanel/WHM) is widely considered
to be the best control panel available. It has a sleek,
user-friendly interface while providing all the powerful
tools that you and your customers need. For more
information about cPanel you can go to cpanel.net.
Does
reselling really work?
Yes it does, especially if you work hard at it,
develop an attractive package and market yourself well.
Think about this: each day thousands of websites are
added to the world wide web. Every single one of those
websites needs to have a web host!
How do I get
customers?
There are many ways to find customers. One excellent
strategy is to find a niche market for yourself (for
example--web hosting for churches). That doesn't mean
you should come up with a totally new niche. You can
simply find a niche with growth potential or little
competition.
What is your local market like? Many businesses like
to buy their hosting locally. Local (small) business
users generally will pay more than the average web
hosting buyer. So, if that is your target market, then
you'll be able to sell your plans at higher prices. Your
pricing and plans should reflect your target. If you
have a target market, an industry, a group, etc. it will
be a lot easier to understand the needs of your
customers and provide a viable service to meet those
needs. If you are targeting local businesses, don't sell
cheap. The market can take higher prices. Keep in mind
that you will either be competing against no one or
against local ISPs that don't offer enough features and
charge pretty high. $20 a month is nothing to a
business, so price accordingly, but don't forget to do a
little market research first.
Provide an excellent service. Word of mouth is
clearly the best and most effective form of advertising
in the web hosting business. If you provide a good
service at a good price, your clients will bring you
more business.
Do I need a
business plan?
You can certainly sign up for a reseller account and
start making some extra income even if you have no plan
in mind; however, if you are serious about the business
and you want to make it a job, you should develop some
sort of business plan. It doesn't have to be a formal
plan; you're not going to present it to the bank for a
loan. A couple of pages detailing the general direction
will help a lot. Price your plans right! Don't go for
"I'm going to be the cheapest web hosting company
around". You will not be able to sustain it. Also, try
to include all your costs, including your time. And
enjoy your business! If you don't enjoy it, your
customers will feel it, and they won't be happy
either.
Here's a short list of things that you should to take
care of:
Reseller account (Choose a plan from
mjpwebhosting.com)
Payment Processor (What forms of payment will you
accept? For example, paypal.com, net2pay.com,
worldpay.com, check or money order?)
Billing solution (Will you use Paypal subscriptions,
or make your own spreadsheet, or use a billing program
like lpanel.net, modernbill.com, phpmanager.com?)
Support system/helpdesk (Will you just offer email
support, or Online, or helpdesk programs like
lpanel.net, kayako.com, clientexec.com?)
Are you ready to start
making some real money? Please go to the order
page and select a Reseller Account from the order
form at the bottom of the page.
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