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What is reseller hosting? Explanation, white-label and best packages

Reseller hosting is hosting that you purchase from a provider to then resell to your own customers. You are the "middleman" between the hosting provider and end users. This is ideal for web designers, web developers, digital agencies, and entrepreneurs who want to offer hosting without managing servers themselves.

The principle is simple: you buy a large hosting package with many resources and divide it into smaller packages for your customers. You determine the prices, features, and branding yourself. To your customers, you appear to be their hosting provider, but technically everything runs on the infrastructure of the actual provider.

In this guide, you'll discover everything about reseller hosting: how it works, who it's suitable for, what white-label options exist, and which providers offer the best reseller packages.

How does reseller hosting work?

You buy a reseller package from a hosting provider. This package contains, for example, 100GB storage, unlimited websites, 100 email accounts, and 1000GB bandwidth. You divide these resources into smaller packages that you sell to customers.

Via a reseller control panel (usually WHM/cPanel or DirectAdmin), you create hosting accounts for your customers. You determine how much disk space, bandwidth, and email accounts each account gets. Your customers get their own cPanel login and only see their own account.

White-label means everything is in your company name. Your customers see your logo, your company name on invoices, and your support email address. They don't know there's another provider behind it. This gives you a professional appearance as a hosting provider.

You invoice your customers directly. You set the prices yourself: perhaps you charge €10 per month for a package that only costs you €2 within your reseller account. The difference is your profit. The original provider only invoices you for the total reseller package.

Support is usually shared. You provide first-line support to your customers (WordPress help, email setup, etc.). For technical server problems, you escalate to the hosting provider. Some providers offer white-label support where your customers can contact them directly without mentioning your name.

Advantages of reseller hosting

Low startup costs You don't need to invest thousands of euros in your own servers. A reseller package costs €10-€50 per month. With 5-10 customers, you're already profitable. This makes it accessible to start as a hosting provider without large capital.

Create passive income Once set up, reseller hosting generates monthly recurring revenue. Your customers pay every month, providing predictable cash flow. For freelancers and agencies, this is attractive alongside project-based work.

Full control over pricing You determine what you charge. Buy hosting for €30/month, sell 10 packages at €10 - you earn €70 profit. Or position yourself as premium with extensive service and charge €25 per package. The margins are entirely up to you.

White-label branding Everything in your brand identity: logo, domain name, email addresses. You build your own brand. Customers see you as their hosting provider. This strengthens your position as a full-service web agency instead of just designer/developer.

No technical server management The hosting provider handles servers, updates, security, and uptime. You don't need to be a Linux expert. Focus on acquiring customers and support, the technology is handled for you. Ideal if you don't have DevOps knowledge.

Extra service for existing customers Do you build websites for customers? Also offer hosting. This is a natural upsell and increases your value per customer. Customers appreciate one-stop-shop service: website, hosting, and maintenance from one party.

Scalability Start small with a basic reseller package. Outgrow the resources? Upgrade to a larger package. Many providers let you scale seamlessly. You can grow from 10 to 100 customers without new infrastructure.

Disadvantages of reseller hosting

You depend on your provider If your provider has downtime, all your customers have downtime. Choose a bad provider, and your reputation is damaged. Your success depends on the reliability of your upstream provider.

Support responsibility Customers expect support from you, even outside office hours. Website crashes at 10 PM? Then you get called. You must be available or have a support team. This can be time-consuming.

Limited resources per package Reseller packages have limits. Have 100GB and sell it to 20 customers, then each customer has an average of 5GB. If one customer suddenly uses a lot, you hit the limit. Then you must upgrade or migrate customers.

Competition with large providers Why would someone buy hosting from you when TransIP or Hostnet charge €5/month? You must add value: personal service, website maintenance, faster support. Just reselling hosting is difficult without added value.

Technical knowledge still needed Although you don't manage servers, you do need to understand WordPress troubleshooting, DNS, email configuration, and cPanel. Customers ask technical questions. Without basic knowledge, support becomes difficult.

Who is reseller hosting suitable for?

Web designers and developers If you build websites for customers, reseller hosting is a logical addition. You deliver the complete service: design, development, and hosting. This increases customer loyalty and provides recurring revenue. Your customers appreciate the all-in-one service.

Digital marketing agencies Agencies doing SEO, social media, and content marketing can add hosting to their services. This makes you a more complete partner for clients. Your insight into their hosting also gives you better control over website speed (important for SEO).

Freelance WordPress specialists Build and maintain WordPress sites? Offer hosting as part of your maintenance package. You earn not just from the build, but also monthly from hosting. For 20 customers, this can be €200-€500 extra per month.

Startups wanting to offer hosting service Want to start a hosting business without large investment? Reseller hosting is the accessible start. Test the market, build a customer base, and possibly switch to your own servers later when you're large enough.

IT consultants and managed service providers For companies offering complete IT services, hosting fits in the portfolio. You already manage their IT - why not their hosting too? This gives you more control and revenue.

Niche communities and platforms Do you run a community, forum, or platform for a specific audience? Offer hosting to members. For example: a photography community offering hosting specifically for photography portfolios, with tips and templates.

White-label possibilities

Most reseller packages offer white-label features that let you brand completely as your own hosting provider:

Own branding in control panels Your logo and company name in cPanel/DirectAdmin. Customers see your brand identity, not that of the upstream provider. This gives professionalism and strengthens your brand.

Private nameservers Instead of ns1.hostingprovider.nl, you use ns1.yourcompany.nl. This is technically a CNAME but to customers, you look like a complete hosting provider with your own nameservers. Important for professional appearance.

White-label invoices and emails Automatic invoices with your company logo and details. System emails (password reset, etc.) come from support@yourcompany.nl. Customers have no idea there's another provider behind it.

Custom WHMCS/Blesta licenses Many resellers use WHMCS or Blesta for billing and customer management. These systems integrate with your reseller account and automate provisioning. You sell packages via your own website, and accounts are automatically created.

Support forwarding Some providers offer white-label support. If your customer has technical problems you can't solve, the provider can help directly without mentioning their name. This maintains the illusion that you are the hosting provider.

Best reseller hosting providers

TransIP Reseller packages from €14.95/month. Including DirectAdmin, Dutch support, and reliable infrastructure. For 50 websites, 50GB SSD, and unlimited email. Good choice for Dutch resellers who want reliability. Compare on our overview.

Antagonist Specializes in WordPress reseller hosting from €25/month. White-label support, daily backups, and performance optimization. More expensive but premium quality. Ideal for resellers targeting WordPress customers.

Vimexx Reseller from €9.95/month. WHMCS license free with larger packages. NVMe SSD, free SSL, and good Dutch support. Good price-quality for starting resellers.

Hostnet Reseller hosting from €19.95/month. Including cPanel/WHM, white-label options, and uptime guarantee. Stable provider with years of experience. Suitable for professional resellers.

InMotion Hosting American provider with extensive reseller packages from $17/month (€15). Free WHMCS, good support, and SSD storage. If you want international customers, this is an option.

ResellerClub Specialized reseller platform. You can sell not only hosting but also domains, SSL, and email white-label. For resellers who want a complete portfolio. Prices from €10/month.

Practical tips for reseller hosting

Choose a reliable upstream provider Your reputation stands or falls with your provider's uptime. Choose providers with >99.9% uptime guarantee and good reviews. Read experiences from other resellers about support and stability.

Start small and test the market Start with a basic reseller package for €10-€20/month. Test if there's demand, refine your offering, and only then scale up. Don't invest immediately in the largest package if you don't have customers yet.

Offer added value, not just hosting Don't compete on price - large providers always win. Offer personal service: WordPress installation, fast support, website migration, monthly maintenance. Customers gladly pay more for better service.

Automate billing and provisioning Use WHMCS, Blesta, or similar. This saves you enormous amounts of time. Customers can order packages themselves, invoices are automatically sent, accounts are automatically created. Without automation, you won't grow.

Set clear SLAs and support hours Communicate when you're available. 24/7 support is unrealistic as a one-person business. For example: support on weekdays 9-5, emergencies outside office hours at extra charge. Be transparent.

Monitor resource usage Track how much of your reseller resources you're using. Approaching 80%? Then it's time to upgrade before customers experience problems. WHM has built-in monitoring tools.

Backup strategy for customers Don't rely only on the hosting provider's backups. Offer customers daily backups (possibly at extra charge). This is a selling point and protects you against data loss claims.

Consider managed services Instead of just selling hosting, offer managed WordPress: updates, security, backups, performance optimization. This justifies higher prices (€25-€50/month) and provides more value.

Transparent prices and terms No hidden costs. Clear contracts about cancellation periods, refunds, and support. This builds trust. Disappointed customers damage your reputation more than missing short-term profit.

Invest in knowledge Learn cPanel/WHM, WordPress troubleshooting, DNS management, and email configuration. The better your technical knowledge, the faster you help customers. This improves customer satisfaction and reduces escalations to your provider.

Want to learn hosting for developers? Check our hosting for developers guide. Or compare all hosting options including reseller packages on our complete overview.

Frequently Asked Questions

How much does web hosting cost on average?

Web hosting costs between €3 and €15 per month for shared hosting on average. VPS hosting starts around €10-€20 per month, and dedicated servers from €50 per month.

Can I upgrade to a different package later?

Yes, with most hosting providers you can easily upgrade to a larger package when your website grows. This can usually be done without downtime.

Is Dutch hosting better than foreign hosting?

For Dutch visitors, Dutch hosting is often faster due to the shorter distance. Additionally, communication with support is easier and you comply with GDPR legislation.

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