How do resellers work?

0 min read
openprovider blog about domains

The domain industry is an ever-growing market. Even in times of economic crisis, there is room for growth. People will always need a web domain, and that’s why there will always be room for successful resellers. In this article, you will find out how domain resellers work to make the most out of their business.

What are domain resellers?

Domain name resellers are agents who sell available domains to their clients. To make one thing clear from the start: resellers are not the same as the well-known domain speculators. Speculators buy domains that they hope will become popular at a later moment. If they think the granddaughter of Madonna will become as famous as she is one day, they will register madonnasgrandaughter.com and hope one day that granddaughter will need that domain, so they can sell it for a lot of money. 

Domain resellers don’t register domains hoping to sell them for a profit at some point. What they do is buying domain names off of registrars to sell them to their own customers in turn. These customers can be people who find it hard to set up their own website, or marketing agencies that offer their clientele a full website. There are many different people and businesses who use the service of a reseller.

Benefits of becoming a reseller

There are many benefits to becoming a reseller yourself. A lot of people take on reselling as a side job, but you can make a living out of just reselling domain names. One of the biggest benefits of how resellers work is the freedom you can enjoy. Resellers decide themselves what domain extensions they wish to offer offer. Obviously, the more extensions you have in your portfolio, the bigger the amount of clients that you can satisfy. But you can easily start small, and then slowly expand your offering. This makes the threshold to start your own reseller business rather small.

A best practice is to start your own website for your reselling business and market it however you want. You can decide to spend money on LinkedIn and Facebook advertising, or work your way up the search engine ranking organically through SEO. As is usual for businesses, the more customers you get, the better your credibility becomes. So once you get the ball rolling, things can really kick off.

Where to start?

If you want to know how resellers work, you need to find out how to start. If you get a Membership with us, you can get a large amount of extensions at cost price. That means that you get to buy domain names at the exact same prices we get them from the registrars. With hundreds of extensions, you can offer your customers exactly what they want. We would also recommend keeping a close eye on our promotions page, so you know which extensions we currently offer on discount. It is up to you to calculate that discount to your customers, or decide to use that as an extra profit margin for yourself.

With our Memberships, you also get access to a large amount of discounts on other products and services you can sell to your clients. These include useful security products such as SSL certificates and SpamExperts. Besides this, we recommend you to also get in touch with a hosting company, so you can offer web and email hosting to your customers after you have sold a domain. You should be sure to offer a complete package of products and services to your customers in order to keep them satisfied.

Who can be a domain reseller?

Basically, anyone can. As we have shown you here, you do not need much in order to start your own reselling business. Unlike becoming a registrar, in which case large investments are required to set up a company, a reseller does not require a big starting capital. In fact, a lot of people become a reseller on the side. Many resellers started out as SEO specialist or marketing or web design agencies who one day decided to add domains to their offer.

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