How To Become a Cloud Reseller

Posted on April 19, 2012

Posted by Gerben Meijer in Cloud Reselling 0 Comments

Cloud Reseller So, you’ve decided you want to start selling cloud servers. But, you aren’t ready to branch out on your own, and you don’t have the budget to create a brand new company. Instead you want to use the resources of a cloud service provider (CSP), one that is already established, has already jumped through the compliance hoops, and has a proven track record with server performance.

What’s next?

It’s great that you’ve decided to do this, but now it’s a battle of choosing the solutions you want, a CSP to work with you, then showing your clients that you’re the best. Sounds easy enough, right?

Follow the steps below and you’ll be Reselling cloud server space in no time!

Step 1: What do you want to sell/ What does cloud mean to you (IaaS, PaaS, SaaS): The first step to becoming a cloud reseller is figuring out what type of model you want to sell, which one best suits your clients needs? Do most of your clients need to just run applications? If so look to a SaaS model. Maybe you’re clients are more the developer types, if that is the case then PaaS would be a perfect fit. Or perhaps you have a customer base that likes to control every part of their system, and really are only looking for a place to host their information, and then make sure to invest in an IaaS model.

Step 2: Do you want to sell under your own brand (While Label Hosting), or become partner with a CSP: Now comes the tricky part, do you want to sell under your own brand or partner with a cloud providing company? If you become a white label hoster, the only affiliation you have with the company is the actual resources they give you. Be warned though, this approach is far more hands on then becoming solely a cloud reseller, you would become responsible for daily tasks that normally a CSP would do. The benefit being you get a nice commission for your work. On the other hand, if you just want to be a reseller, then you usually get a smaller, or one time, referral fee. But you have the benefit of partnering with a CSP; instead of having to do all of the heavy lifting yourself- they do it for you.

Step 3: Look for solutions that fit the area you’re more comfortable with: Once you’ve decided on a solution, find a CSP that specializes in that area, or at least comes highly recommended. Talk to them about what you want to accomplish, and they can help to guide you to the ride solution. Trust them, they’ve dealt with resellers before and now the best options out there.

Step 4: Identify a partner: When partnering with a company it’s important to satisfy everyone involved in the project. If the sides become unbalanced, it creates distrust. So when looking for a CSP to work with, look for one that has worked with the type of reseller you want to become. Be sure to compare offerings, find out if you’ll be paid a one-time lump sum, or a series of “referral” fees if you choose to become a reseller. Once you’ve decided on a partner, work with them to find out what types of things you’ll be responsible for with the servers you’re selling. Will you be in charge of all maintenance? What should you tell customers if there is ever a period of down time? Look to the professionals for questions you may not know the answer to.

Step 5: Now that you’re a partner, tell everyone!: It’s great that you now have the ability to sell cloud storage, especially if you are backed behind a trusted CSP. But there is one problem, no one knows about this new service. It’s time to create a marketing plan, one of the first things you should do is send an email blast to all of your current clients, letting them know about this new service. Clients that already trust you with their information will be more likely to sign up with your company, rather than one they may not know (even if the CSP’s brand is on the cloud).

Hopefully these five steps have given you insight as to what to expect when trying to become a cloud reseller. Still have an unanswered question? Be sure to leave it in the comment box below.

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