How Reseller Web Hosting Works

A web hosting reseller is a client of a hosting company who rents a service from the company, such as a dedicated server, and then divides this service into several parts, with the aim of reselling them to their own customers. Thus, anyone can become a reseller, acting as a hosting provider and creating their own tariff plans with their own prices for them. At the same time, the reseller independently provides technical support for its customers and solves their problems that have arisen.

Positives for reseller web hosting include:

  • Renting a web hosting reseller service does not require a large investment.
  • A reseller can create their own website and sell services under their own brand.
  • Ability to create your own tariff plans and set prices for them.
  • A web hosting reseller can host their own websites on their own hosting.
  • Depending on the number of customers, the income from selling your own services can significantly exceed the cost of the reseller’s costs.

Negative points for web hosting resellers include:

  • All technical customer support falls on the shoulders of the web hosting reseller, and therefore it is required to have certain knowledge in this area or resort to the help of specialists.
  • As the number of clients increases, the requirements for the server also increase, which in turn entails additional costs.

Based on this, for a comfortable business, the reseller needs to offer the best prices for customers and the reseller, promote their website and business, and be frank with their customers.

How Resell appeared

Resell literally means resale. In the 21st century, it is not necessary to have encyclopedic knowledge and be a collector in order to find items for resale at a large margin. In 2017, a British teenager told The Guardian how he started his business by accident by reselling extra Rubik’s Cubes, and through trial and error found out that hype sneakers are the most profitable direction of reselling. At the same time, stories appeared on the network about how young people earn more than $ 10,000 a month from reselling sneakers per month. The most popular overseas resell platforms have been and remain the American Poshmark, which specializes in Stock x sneakers and Depop, an app for buying and selling things.

But Sasha Amato, a journalist and creator of the Golden Chihuahua telegram channel, believes that the global ressell boom began long before, in the 80s. Amato connects the rise of resell with streetwear – streetwear, which became a kind of subculture of teenagers who invested all their money in their image. “This is an exclusively image subculture. It has nothing to do with style, fashion, comfort and design, the beauty of a thing,” explains Amato. “The entire culture of streetwear has depended on understanding what people are wearing around you. If you’re a teenager from Brooklyn in the 80s, you go out into the streets, you see what people are wearing around you and you put together your image from them. The culture of streetwear appeared precisely as a compilation of one’s own image based on someone else’s. Now we don’t need to go out – Kanye West or Virgil Abloh will say that it’s beautiful and hype.”

How does a resell business work?

A reseller is a person who buys limited edition items from brands and resells them at a premium. Intermediary between manufacturers and customers. At the same time, a person may not have connections with suppliers, his own warehouse, etc. This is the key difference between a reseller and a distributor: the former does not need to establish relations with the manufacturer, do everything officially, and he has less cheating. Resell’s affordable business model has attracted a lot of people.

Amato speaks positively about teenage resellers, considering them creative and talented: “Many of them go to China themselves, open counterfeit goods stores at low prices. They make very good money doing it. At the same time, these guys are working with cryptocurrencies, moving in some other directions. The Zoomer generation is very hardworking, they start working from a young age.”

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