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An OEM-like Model However, in reality, you are only putting your brand name on another company’s hosting services. You'll buy the services at a wholesale rate and resell them to your customers at a profit. Your customers sign up with you and they typically direct their initial support requests to you. As an example, the web hosting wholesaler sells hosting to you for, say, $3 per domain and you resell it from your website for $6. Whenever a customer orders something from you, you'll sign in to the wholesaler's website and create the new account. The wholesaler then sends you the new account information by email which you, in turn, send to your customer. "Per-Account" Hosting Limitations In these reseller hosting programs, you can definitely turn a nice profit. The downside is that you will not have the ability to design your own unique hosting plans as you will be selling plans that have been designed by the wholesaler. For this reason, per-account reseller hosting programs are not as advantageous as private label hosting programs. Pros and Cons The first problem with these hosting programs is that you lack control over the menu of products you can offer for sale. This can become quite frustrating if your wholesaler's offerings are run-of-the-mill. Second, your profit margins will be lower than those of a private label hosting program. So unless you are just dead set against having to set up customer accounts on your own, there is little reason to pursue this kind of reseller program which is really intended for someone with little or no hosting experience and who has no desire to learn how to administer a WHM control panel. "Per-Account Reseller Hosting Programs |
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