In business, economic efficiency is important. When you buy a reseller hosting plan, how much space you really use? Less than 50% normally. Let’s understand it.
Space utilization in reseller hosting:
Normally the size of a small website use to be 200-500 MB, Medium size website use to be 500Mb-1GB, and large websites use to be more than 1GB. When you create a package, normally the basic package will start form at least 500 MB or 1 GB, of which only 200-300MB will be used. You will certainly create packages for more than the actual uses of the website so that when the size of the website increases in the future, it doesn’t create any problem. But you pay for the whole space of the package. I.e. if it’s a 1 GB package you have created, you’ll need to pay for 1 GB, No matter whether the website is using 200MB or even less.
Let’s understand with an example. Let’s say you have a 20 GB regular reseller package. You create a 1 GB package and sell 20 such packages to host 20 websites. Now, with regular reseller hosting, you wont be allowed to sell more because you have already sold 20 GB, no matter whether those 20 websites using 20 GB fully on not. Let’s say 10 websites are actually using 400 MB space and 10 websites are using 700 MB. So the total actual uses is 10×300 + 10×600 = 9 GB. Now you are paying for 20 GB but actually using only 9 GB. Let’s see how overselling allowed reseller plans solves this problem.
What is overselling:
In overselling allowed reseller hosting, you are allowed to sell more than what space you have purchased. In overselling, you are charged only for space you are using actually. Let me explain. Let’s take the previous example once again. Let’s say you have purchased 10 GB overselling allowed plan from us. You did the same, created 1 GB package and sold 20 such packages and your actual uses are 9 GB. Now since overselling allowed hosting only counts actual uses, you are still left with 1 GB after selling 20 GB. This way you have purchased 10 GB, have sold 20 GB already and still left with space.
Another advantage of overselling allowed reseller hosting plan is you are free to create a larger package, even unlimited package, since you need to pay only for actual uses, not for the space you sold. Just create large or unlimited packages for your clients and their website will be growing in that. You won’t need to upgrade package on every couple of months. This will be good for your marketing too since you would be able to sell large or unlimited packages to your customers without any extra cost incurring to you.