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Web hosting providers offer customers a program called reselling. The philosophy of reselling is to allow a customer to buy web hosting from a provider and then resell that space to someone else. The web service is purchased usually at wholesale process and sold either above or below retail prices. The reseller also has the option, in most cases, to rent a dedicated server or sell space on a shared server. There are several hosting services that require their resellers to rent a dedicated server for the purpose of reallocating the hard drive space.

Hosting resellers are typically web designers or developers who want to offer a complete package to customers. This gives the web designer full service capabilities without the hassle. The hosting service typically supplies the customer support and the reseller has hosting capabilities.

A lot of hosting providers began as hosting resellers. This allowed them an easy way to learn all about the hosting industry. The reseller also provides their own pricing schedule, as well as service plans. The reseller can also incorporate their own brand into their control panel.

Hosting resellers do not have to be experts in hosting services or computers in general, but it does help to have some basic computer knowledge. The reseller will deal with the customers, but anything related to customer service will work through the hosting provider.

The reseller is also responsible for marketing and advertising their business to resell packages. It is important to be aligned with a reliable hosting service provider to be sure to offer top of the line customer service. Hosting services typically have a low profit margin and it will take a great effort to establish a customer base in order to turn a reasonable profit. That is why hosting providers offer options that are fee based such as additional features and web design and managed accounts.

Resellers will find the business of reselling hosting services wide open, but very competitive. There are a great number of people will a web site looking for a place to call home. It is not the lowest cost service that will gather the most customers, but the entity that offers the best product with the best customer service.