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What is White Label Hosting?

As e-commerce habits continue to expand across the globe, more and more people are creating online businesses to increase their reach. All of these potential website owners need web hosting to start. With so many people searching for internet real estate, there is a market for creating a business that provides these web hosting solutions. This is where white label hosting comes in. With white label hosting you create a Hosting company from scratch or add it to your existing business if you are a web developer.

What is White Label Hosting?

White label hosting is commonly referred to as reseller hosting. This is the ability to re-sell another hosting company’s servers, bandwidth, and hosting services as if they were your own company.

White label hosting can be a great addition to your existing business or even offer you a way to build a hosting company from scratch. Below you’ll learn what white label hosting actually is, its benefits, and what this kind of hosting usually includes.

white label hosting

How does it work?

If you want to participate in the white label web hosting business and have a reseller hosting website, you first need to find a parent provider and purchase a reseller plan to obtain web hosting services. After you’ve decided on a parent provider, you can start your hosting business.

The goal of white label hosting is to charge your customers a higher price compared to the one you paid to your parent provider for purchasing the reseller plan and obtaining the necessary resources. This saves you all the time and money you’d otherwise have to spend on setting up servers and other resources yourself.

Benefits of White Label Hosting

Low capital investment

Investing in a white label hosting business requires low capital. Unlike other online businesses, all you have to do is subscribe to a monthly/yearly reseller hosting package. The pricing plans depend on the hosting provider and the type of hosting. However, hosting cost is not the only expense you have to incur. You still need to market your product and that depends entirely on your budget.

Steady recurrent source of income

Once you build a client base, white label hosting can become a steady source of revenue. Even though the income is not passive (white label brands require active management), it is steady and it adds up fast. Online entrepreneurs who can stay consistent and sell products fast will find this business lucrative.

No need for hardware

If you want to be a standard web hosting provider, you need to build data centers and install servers across North America, Asia, and Europe (depending on the target audience). This process is capital intensive and only big pockets can manage such a huge project. For smart online entrepreneurs, white label hosting is the way around this problem. You can own a web hosting brand without buying any servers or setting up hardware.

Hosting provider support

Many hosting providers give adequate support to reseller hosting buyers. Most times, you can reach them through email, live chat, or phone. You can also go through their knowledge base to learn. This will help you offer support to your clients on demand.

Improved customer relationship

Most hosting plans are long-term and customers rarely change good web hosts. When you start providing good hosting services to your clients, they will develop personal loyalty to your brand which means more money in the long term.

Brand growth opportunity

Online entrepreneurs have the most benefit from white label hosting. If you are into web development, you can brand your agency as offering efficient web hosting on top of your core services.

A wider range of services

If you are a web developer offering full-stack development and web design, you can also offer web hosting to your clients. This means you will have a broader range of interconnected services, make more money, and create a better brand image.

Management flexibility

Part of the reason for becoming an entrepreneur is the need for freedom and the ability to set your own rules. White label reseller hosting allows you to present yourself the way you want, choose your customers, instill your values in your brand, and set your guidelines.

Price control

If you position your brand the right way and add necessary upgrades to your reseller hosting package, you can make as much profit as you want from white label hosting. A white label brand means that you are in control of the prices of your goods. However, you should also carry out effective customer analysis and try to see how you can match value for rate.

white label hosting

Who is White Label Hosting for?

All you need is web space, purchase your own reseller package and congratulations you will have taken your first step towards starting a reseller hosting business.

White label hosting is often used by small to medium-sized businesses that want to make money by renting out hosting space to entrepreneurs and smaller businesses.

It is a great option for developers and designers who want to provide a more complete package for their clients. It’s also a path some entrepreneurs like to take when they decide to diversify their brand. In the end, anyone can start a reseller hosting company.

Conclusion

The web hosting sector is continuously demanding to work and invest in. Everyone can not afford to invest the capital at the first stage, and those can start their journey as a web hosting provider with white label web hosting services. Also, Web developers, designers, entrepreneurs, and businesses looking to offer web hosting services to their customers under their own branding can opt for the white label hosting solution.

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