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Web Hosting Resellers and Affiliates

Webhosting Reseller vs. Affiliate - what's the difference and which is right for you? 

The terms reseller and affiliate are often used the wrong way.    A lot of times people will say reseller, but actually mean affiliate or vice versa.   Here's a basic rundown of what these terms really mean:

A web hosting reseller buys web space from an existing web host and sells that web space to customers.  The customers deal totally with the reseller.  In most cases, the web hosting reseller is responsible for billing, technical support and handling customer complaints.  They set their own prices. 

A web hosting affiliate is the middleman between the customer and the actual web host.  They don't deal with billing, technical support or customer complaints.  They don't control the pricing.   They simply try to get customers for the web host.  

Should you be a reseller or an affiliate?

That depends on you.  How much time and energy do you want to spend on this?  How much money do you want to spend each month?  How much control do you want to have over this process? 

Here are the pros and cons of each:

Pros Cons
Resellers

 

 

 

 

  • Have almost total control over the process 
  • Can set the prices to maximize profits
  • A distinct business with your own logo and name
  • Control the money so you are certain to receive all money you make.
  • Responsible for all billing, technical support and customer service.  This takes a lot of time and energy.
  • Recurring monthly costs in the form of payment to web host for the space to sell.
Affiliates

 

 

 

 

 

  • No time or energy spent on customer service issues
  • Free to join. 
  • Free of all billing responsibilities

 

 

 

  • Have no control over prices or process
  • Have no control over the money so must rely on others for payment. For a variety of reasons, affiliates don't always get paid what they are owed.
  • The business isn't "yours". Affiliates are agents of the web host.
Basically, if you want to have almost complete control of a business of your own and have the time and energy to deal with customers and their issues then be a reseller.  If you don't have the time or energy to deal with the various customer issues that come with being a web host and are okay relying on someone else to pay you what you are owed, then be an affiliate.

If you've decided on which you want to be, click here for some tips on how to choose a good reseller or affiliate program.

 

Web Hosting Resellers and Affiliates

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