7 Costly Mistakes That Will Harm Your Reseller Hosting Business

The simple definition of web hosting reseller business is purchasing web hosting infrastructure products in bulk and reselling them to the end clients in retail portions after adding a reasonable profit margin. In order to earn a good income as a web hosting reseller, you need to ensure that you have chosen the right web hosting provider and are following the best business practices. In this blog, we are going to mention the most common mistakes that prevent many web hosting resellers to earn a steady income or establish a sustainable business in the long term. It will help you to take a wise decision and avoid costly mistakes:

 

Branding and business support

An ideal parent host should actively help you in establishing your distinct brand as a web hosting provider (not just reseller) and offers you the maximum freedom for healthy growth. Needless to say, you should also be provided with all the essential features required for offering reliable and uninterrupted services to the clientele like WHM, essential licenses, and strong monitoring tool.

 

What are the qualities of an ideal hosting provider?

  • Multiple choices in terms of OS and hosting panels for catering to the needs of different customers
  • The Required volume of resources without restrictions
  • Associated technologies/services like specific OS, email hosting, etc.
  • Easy provisions to support your future growth and expand your resources
  • Premium value-added services/products like SSL certificates, security packages, and communication solutions.

 

Backend and technical support

The backend technical setup and support will be provided by the host under your private brand name and you will be dealing directly with the clients. So, the technical service and support quality can directly impact your relationship with the clients. Make sure that they should offer.
What are the major points to consider when evaluating technical support?

  • Quick setup service
  • Managed site migration
  • Free domain transfers
  • 24X7 reliable support via multiple communication mediums (ticket, chat, call, email etc.)

Things to remember

  • Many parent host delegate support services to the third-party call centers that affect the quality of support and can annoy the clients
  • Ensure that yours does have an in-house support team with high technical proficiency and best coordination skills to efficiently resolve the customers' issues quickly

 

Check Reviews (wisely)

You might come across a large number of positive reviews appreciating your parent host for uptime, service quality and support. Make sure that those reviews are genuine and posted by the real users. You need to look for the unbiased reviews sites and reputed web hosting blogs.

What is the best way to check the web hosting reviews?

  • Give more preference to the review sites that support each review with screenshots and other supporting elements/documents
  • Compare the review of your preferred parent host with other competitors in the market to make a better choice
  • The excellent client testimonials present on the providers’ website may be fabricated by the content team so avoid considering them

Some important question to consider when reviewing the reviews:

  • Does the reviewer have a legitimate sounding name?
  • Have they included their website or business name at the end?
  • How specific they are in their review?
  • Have they mentioned the dates (of purchase, issues etc.)?

 

Experience counts

The capabilities of a web hosting company correspond to the experience it holds. More experience allows your parent host to encounter new challenges and find precise solutions. It also allows the team to develop their skills and support executives acquire better capabilities to tackle complicated customer issues.

  • Needless to say, you should look for an experienced parent host that should have at least 7 years of experience
  • Also, make sure that they should have versatile experience of working with brands as well as new businesses

 

Don’t be misled by marketing gimmicks

Don’t be affected by marketing gimmicks like loads of freebies, heavy introductory discounts, and cheap prices. All these things can be a marketing trap and can divert you from your real business objectives!

How to find the best web hosting company?

As a web hosting reseller what matters most to you is:

  • Effective regular cost for the plans
  • Estimated profit margin
  • Technical services
  • Flexibility in terms of volume and types of resources
  • Support quality

 

Conclusion

Every year a large population of business-minded people join web hosting reseller program but not all of them succeed in the market. In fact, many of them are compelled to close their business within a few months of failed attempts and facing many challenges. In most of such cases, there are some major points that the new resellers fail to consider while starting their journey. In this blog, we have mentioned such key mistakes while starting your hosting business. It will help you to decide the best course of action while starting your hosting reselling business or finding the ideal aren’t host.