Affiliate vs Hosting Reseller – Which hosting package is best for you?
We are going to help you understand the difference between affiliate and reseller web hosting programs. Help you know when to go for either affiliate and reseller programs and also an overview of which of the two programs is best for you as an online entrepreneur.
Web hosting business is both fun and profitable. But the problem is that starting a hosting business from scratch is expensive as you will need high-quality equipment, technical team etc. that’s why it is better to become an online technopreneur through web hosting partnership programs i.e. affiliate and reseller programs. With these, you wouldn’t need to do a huge investment on networking equipment and staff as there are parent companies that will provide you with all these. All you need to do is think critically and research thoroughly on the web hosting partnership program that suits you and the kind of web hosting business you want to venture in.
One there most online entrepreneurs tend to get confused about is the difference between Affiliate and Reseller programs.
What do affiliate and reseller web hosting programs actually mean?
Truth be told most of the online marketing and web hosting newbies don’t know what these two web hosting partnership programs actually entail and how they stand out from one another. And for this reason, most of the newbies in the web hosting business often think that affiliate and reseller web hosting are interchangeable terms. Basically, what the two have in common is that they both refer to the selling of products or services i.e. web hosting services from other web hosts.
Literally, affiliate web hosting is like matchmaking – just like how a friend connects you to a friend with the aim of you two starting a relation. Therefore, a web host’s affiliates help the company find potential clients echo are willing to buy a web hosting package and connect the two with each other. In so doing the affiliates earn percentages from each of the sales made or a certainly determined fee from each sale made from their connection. Yes, you can build a profitable and successful online business as web hosts’ affiliate but it is wise to use affiliate sales as a supplementary income source for an existing venture. In short, if you are a blogger with adequate traffic but aren’t able to make a profit from blogging, you can continue with your blogging and start making money as a web host’s affiliate.
On the other hand, reseller web hosting is the same as a traditional retailer. In short, a reseller buys products and services from other companies as at wholesale prices, prices them to give room for profits and then sells them to his or a client directly. In this context where we are concentrating on web hosting, the reseller will buy or lease large units of server space or numerous full servers. He or she then is then able to sell web hosting packages directly to his or her target clients at a price of choice. The reseller, therefore, gets to start his or her own web hosting company even though the parent hosting company control and maintain the servers, server software, networking equipment etc. In this case, the reseller’s company have the responsibility of providing its clients with technical and sales support which can be through any means they choose.
When to become an affiliate.
Basically, web hosting affiliates are like a marketer for the parent company. Therefore, they are fully specialized in online marketing and sales hence leaving the parent hosting company to do other business activities. Since an affiliate’s main job is to connect the web hosting company with potentials buyers, he or she does not worry about the delivery of services and products or even customer support as these are on the hosting company.
Also becoming an affiliate is easy and simple, all an entrepreneur needs to do is to sign up as an affiliate of a web hosting company of choice. After that, he or she is provided by special marketing materials like images, graphics and a piece of code that they can enter as a custom link on their web pages. So, when a potential client clicks on the link, he or she is directed to the parent web host’s websites. And in case the customer purchases a hosting package, the special link credits some amount to the affiliate. There are several ways in which an affiliate can be paid like one can be paid per sale, or the payments can be done monthly etc.
With the affiliate program, the affiliate only does the preselling, therefore, it is the web host’s work to close the deal, which is the hardest part of every sales business. The cost of being an affiliate and the effort required is very minimal. But for you to be come a successful affiliate, you have to be creative, innovative and most of all have no fear when it comes to trying out new and un-experimented marketing methods.
When to become a reseller web host.
Being a reseller web host requires more effort and capital but apart from that the profits are high and most of all the reseller has control over the setup, retention and sales activities. Basically, the reseller owns his or her own business, therefore here you have to know all it takes to start and steer a business and brand to success.
Even though there is a possibility of creating a company that is fully based on reseller web hosting, most of the companies out there ten to add web hosting packages as a supplementary income source to an already existing line of services and products. An example is, someone who runs a web content and design company can add web hosting as a bonus service to their business. Through this, as a reseller, you can customize the hosting packages in your own way that they will suit your business needs and goals.
So, which one is best for you?
Both reseller and affiliate web hosting are profitable online business ventures, but one outdoes the other by being the most beneficial. To many, affiliate web hosting programs require less effort but is disadvantageous in that the parent web host have full control of the hosting business. In contrast, reseller web hosting programs give you the opportunity to start your own business, where you have full control over everything pertaining to your business. In short, Reseller web hosting is the best when it comes to entrepreneurship and making money.