Reseller services are unlike any other service. The reseller does not buy services for solely himself, but for the sake of redistribution or wholesaling.
Cloud computing reseller will buy cloud services in bulk – with admin control. The reseller will then rebrand the service, tag it under his name and sell out to customers.
At all points, the reseller is the point of contact for his customers. If the problem demands the original host’s intervention, the same will be conveyed by the reseller and not by the client.
What are White Labeled Cloud Services?
White label cloud services are those that have been relabeled with the reseller’s brand. Even though the cloud architecture belongs to some other host, the reseller sells it tagged with his brand name.
White labelling is not illicit, contrary to what people think. Though you need to carefully work out with your host as to what services you can white label and what you cannot.
A cloud computing reseller is another kind of service provider that purchases products and services of cloud computing from a cloud vendor. After buying such cloud-based products and services, the reseller sells them again to its own clientele base. Also referred to as a value added cloud reseller, this type of IT service provider can resell primarily overall cloud computing services such as software, infrastructure, storage, services, and so on. The service provider when reselling such products can make profit substantially and if the reseller adopts the while label reselling program, products and services destined to be resold can be rebranded in reseller’s own name.
Is Reseller Hosting Only for Reselling?
Not always. If you are an IT business planning to launch its cloud you can consider being cloud reseller. Following are the three ways you can utilize reseller accounts for your business –
- For reselling cloud services just how you received it. This is the simplest way to make profit. You can choose to rebrand or not rebrand your cloud services.
- For combining cloud with other services and selling the complete package as your own. This is the most beneficial for companies, let’s say, selling domains. These businesses can combine their domain names with cloud solutions and sell them as a combo.
- Businesses that need cloud computing to provide services but lack the infrastructure to do so. This is the most common in web-development companies. These firms often buy reseller package, due to its cost-effectiveness, and then provide web-development services based on it.
The cloud computing reseller acts like an owner of a reseller web hosting that sells a portion of his/her web server space to a number of customers who want to make the most of cloud hosting. The reseller bridges the gap between a user and cloud hosting service provider while delivering cloud computing services. The reseller resells cloud computing products and services at discernible prices, allowing users to benefit from substantial cost savings and optimized performance of IT resources in tandem.
What to keep in mind when you resell cloud computing services?
1) Define your Niche
When it comes to the cloud, there are a wide range of products and services that you can resell-server stacks, storage, or licenses. So, instead of trying to sell everything, define your niche and narrow down your options accordingly. When you focus on just one or two categories, it will help differentiate your business, build your brand as customers will associate you with a specific product/service.
2) Understand your Customer
If you envisage a bright future for your cloud storage reseller business, you will have to make your customers’ needs and preferences a priority. Before you delve into the reseller hosting business, it is imperative that you conduct due diligence in order to understand your target customer base. Identify their pain-points and the solutions they may be seeking. In addition, research about what other reseller businesses are selling (and not selling) and how the leaders in this area operate. This way, you will be able to come up with an offering your prospective customers are really looking for.
3) Create a Business Model
How you market and sell your offerings go a long way in determining the success of your reseller venture. In order to get the attention of your prospects, it is vital that you spread the word. Hire a few marketing and sales experts to help you create brand awareness, generate leads and gain new clients. You can collaborate with your provider for co-branding of your product or service.