The companies visited to and pitched to by software resellers are often small and medium enterprises (SMEs), local businesses and niche operators. This benefits the software house as they may not hold the resources for the legwork needed to spread their network on a lower scale. While it benefits the reseller because he/she can build up networks of smaller clients and become a single point of contact for them for every aspect concerned with the software, be it advice, training or updating.
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The vast majority of WordPress users fall into the shared hosting pool. Shared hosting just means that you are sharing space on a server with other customers. Naturally, this saves you tremendous money and time setting up and managing a server. InMotion Hosting, SiteGround, and Bluehost WordPress hosting are among the most popular offerings for this market.
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If you're planning to create a WordPress-powered site, there's no reason not to invest in WordPress-specific hosting. It's chock full of benefits. That said, a WordPress environment won't allow you to set up a non-WordPress site—that's something else to keep in mind, especially if you have a site in mind that will rely on specific frameworks, for example. In such instances, you'll want to go build your site on shared hosting, VPS hosting, or dedicated hosting services. And, if you want to start your own web hosting company, reseller hosting is the way to go.
Increasing margin pressure has compelled many resellers to seek profit beyond the traditional product fulfillment business model. A reseller that offers services beyond order fulfillment is called a valued-added reseller (VAR). An IT VAR, for instance, may provide consulting and professional services, such as systems implementation, in addition to product resale. A software VAR, meanwhile, may provide software asset management services in addition to product fulfillment.