Businesses Turn to Reseller Web Hosting for Additional Revenue - Profit Strategy
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Reseller web hosting is playing a larger role in many companies’ profit and revenue strategies because it can be operated at such a high margin. Reseller web hosting can be rented for literally less than $10 a month. The only other cost that a business experiences with reseller web hosting is the amount of time that it invests in developing its reseller web hosting program.
Fortunately for the businesses trying out reseller web hosting, the one resource that they have plenty of now is time. Because the economy has reduced the amount of work for these small firms, they find that they do not have enough business to fill up a full work day. By putting more attention and time into a reseller web hosting program, they can essentially convert their free time into additional revenue—and therefore profit.
Because reseller web hosting takes little work in and of itself, the time invested into making it a success goes more toward the marketing and sales aspects. Many technology companies can draw upon their current customers as a solid base to launch their reseller web hosting offerings. Since they offer one technology service, it is not a stretch for the clients to trust that an additional technology service will be of equal quality.
Unfortunately, the bad economy also decreases the amount of additional revenue that can be gained from additional clients. What reseller web hosting is really helping these small businesses with is getting more people in the door. When a firm is attempting to sell its services to a client, the reseller web hosting is simply another offering that they can boast of in their services. It makes it that much more likely that the firm will be able to get new clients in the door.
Once reseller web hosting has brought a new client to the business, the possibilities for further revenues are much higher. While a client might not have been tempted by the standard offerings of a company (graphic design, for instance), once it has bought into the reseller web hosting program, it might be more willing to also agree to additional services from the same provider.
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