Reseller web hosting is an internet hosting service wherein the account owner resells hosting services from an actual web hosting provider to host third party customers. Reseller could be a small firm or an individual who have bought web servers and a huge bundle of bandwidth from the hosting company and resells bundle to different customers with offers of added features and services such as web design, domain name registration and web development.   

Typically, actual hosts boost their sales by allowing reseller web hosting. Several web hosting businesses have grown and gained considerable profit on the web today. Since competition is fast arising, actual hosts looked for ways in marketing services to a larger group of people instead of offering services to individual clients. Resulting to this business strategy is the rise of reseller web hosting businesses. 

In reseller web hosting, individual clients are delegated to reseller web hosting servers and so businesses are generated in bulk for the actual hosts. In return, reseller web hosting businesses oversee several individual customers' needs. This results to a balance business situation between the reseller and the actual hosts each gaining profit for their businesses. In some cases, though, the actual hosts outgrew the resellers in terms of business profits and income since they still are implementing extra charge to the resellers. 

There's a little difference in terms of features and services being offered by actual hosts and reseller web hosting. Considering resellers are offering added services to the clients. 

In contrary to resellers who are oftentimes offering web development and other services, actual hosts could not do the same. The actual hosts are more focused on the corporate accounts and bulk number of clients. So, to maintain their competitive edge alongside the bigger web hosting firms, resellers have to offer added value of their services to clients. Reseller web hosting is able to build better business relation with their clients which in turn have given them success in their web hosting business deals. 

They provide the needs to customers which bigger hosting could not fill. If in need to establish a reseller hosting business, it is a good advice to look for an actual host. This business strategy would easily be accommodated since it is easy to acquire an account for resellers from actual host these times.   

If there's a need for a web hosting account for a web site, it is preferable to be in business of a reseller web hosting since they offer personal arrangements with regards to the web development and some other additional services. 

However, if the business requirements could not be sufficed with a reseller web hosting, such that there's a need for large mailbox accounts, hard disk space, have to host several websites, or a large and complex transactions are required such as electronic commerce solutions, with a significantly large number of clients accessing the web site, a reseller might not be sufficient and you should find a bigger and actual web hosting provider for your site.