{"id":23050,"date":"2019-08-08T08:52:44","date_gmt":"2019-08-08T13:52:44","guid":{"rendered":"https:\/\/www.hostgator.com\/blog\/?p=23050"},"modified":"2019-08-05T18:54:54","modified_gmt":"2019-08-05T23:54:54","slug":"reseller-vs-affiliate-programs","status":"publish","type":"post","link":"https:\/\/www.hostgator.com\/blog\/reseller-vs-affiliate-programs\/","title":{"rendered":"Reseller vs. Affiliate Programs"},"content":{"rendered":"\n

If you\u2019ve been looking for a way to make some additional cash by recommending products and services, then you\u2019ve no doubt come across the term resellers and affiliates.<\/p>\n\n\n\n

At their core, these share many similarities, but the mechanics required for each are very different.<\/p>\n\n\n\n

If you\u2019re a reseller, then you\u2019re re-selling a service under your own brand name, but don\u2019t have to worry about the fulfillment of that service. As an affiliate, you\u2019re sending customers to businesses in exchange for a commission of the sale.<\/p>\n\n\n\n

If that\u2019s a little confusing, don\u2019t worry.<\/p>\n\n\n\n

Below we take an in-depth look at both reseller and affiliate programs, so you can decide which route you want to take in our reseller vs affiliate showdown. <\/p>\n\n\n\n

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What is a Reseller?<\/h2>\n\n\n\n

As a reseller, you\u2019re more or less operating a traditional business. <\/p>\n\n\n\n

You purchase certain products or services and then sell them as if they were your own. Typically, you\u2019re able to buy these at a discount and sell them at a higher price to make a profit.<\/p>\n\n\n\n

Let\u2019s look at an example of how reseller hosting works<\/a>:<\/p>\n\n\n\n

Say you want to start your own web hosting company. If you were to start completely from scratch you\u2019d have to purchase physical servers, secure them in some form of datacenter, install server software, hire IT staff, build a website to sell hosting, hire customer support staff, and that\u2019s just the beginning.<\/p>\n\n\n\n

Not only would your startup costs be extremely high, but there are so many moving pieces you have to get right, and that\u2019s even before you get your first customer.<\/p>\n\n\n\n

But, if you sign up to be a hosting reseller, then you can greatly simplify the process. <\/p>\n\n\n\n

When you sign up for a reseller hosting<\/a> plan you can purchase hosting at bulk. Basically, it\u2019s a lot of server space, which you can divide up however you wish. You\u2019ll also get access to ancillary features like cPanel access, email management, dedicated support, and a lot more.<\/p>\n\n\n\n

Plus, all of this is white labeled, so you can brand it under your own company. There\u2019s no way your customers would ever know that you weren\u2019t running the servers yourself. <\/p>\n\n\n\n

Common Reseller Program Use Cases<\/h2>\n\n\n\n

There are reseller programs of all types, not just in the web hosting<\/a> space. But, to continue our example, let\u2019s look at a few different ways you can use reseller hosting:<\/p>\n\n\n\n

1. Offer Additional Services<\/h3>\n\n\n\n

If you\u2019re a web developer, or currently run an agency, then you\u2019re likely always on the lookout for additional professional services you can offer your clients and customers that will make their lives easier (and your business richer).<\/p>\n\n\n\n

For a lot of people, managing their own hosting can be a nightmare. It\u2019s overly complex, confusing, and is a hassle. <\/p>\n\n\n\n

As a developer or web agency, you can replace your customer\u2019s current hosting company and take care of everything yourself. The hosting parent company will take care of the heavy lifting for you, handling things like:<\/p>\n\n\n\n