Becoming a part of a white labeled reseller program is a great way to create extra income on the side. Unlike most entrepreneurs who take the time to build a company from the ground up, resellers can start and scale a business with little capital quickly and very easily. This is because resellers do not create the goods and services they sell.

Many providers of domain name registrations and web hosting are resellers. NameCheap, for example, is a leader in the domain name industry with more than three million domains under management. However, the company is a part of a reseller program offered by eNom, the world's second largest domain registrar. In other words, NameCheap resells eNom's services under its own brand. GoDaddy, another leading domain registrar, also allows other individuals and businesses to white label and sell their services such as email and hosting and SSL certificates. Below is a comparison between the domain and web hosting reseller programs offered by GoDaddy and eNom.

An Overview of GoDaddy and eNom

With almost full-time employees in 2017 and 76 million domains under management, GoDaddy is the largest domain registrar in the world. The company was founded in 1997 by Bob Parsons and is currently headquartered in Scottsdale, Arizona. In early 2014, GoDaddy had its initial public offering (IPO) which valued the company at $4.5 billion. At the end of that same year, the company reported $1.38 billion dollars in gross revenue and a net loss of $143.31 million. As of May 2018, GoDaddy’s market capitalization was more than $11.2 billion.

Like GoDaddy, eNom’s history dates back to 1997. The company was based in Kirkland, Wash. and focused on operating as a wholesale business. In 2013, eNom became a subsidiary of the Rightside Group, a publicly traded domain name conglomerate, before being sold to Tucows in January 2017 for $83.5 million. (See also, Why GoDaddy Stock Should Be On Your Radar.)

Startup Costs

To become a reseller for GoDaddy, one must choose from one of two packages. The Basic Reseller package costs $8.99 and is recommended to account owners who intend to have no more than 25 customers. The Pro Reseller package goes for $14.99 a month. The main difference between the two packages is the pricing that account owners receive. Resellers on the basic plan receive up to 20% off GoDaddy’s retail pricing while subscribers of the Pro plan get as much as 40% off GoDaddy’s pricing. While the price of being a reseller is quoted at a monthly rate, the minimum contract that a GoDaddy reseller needs to pay for is one year.

On the other hand, becoming an eNom reseller only requires the payment of a one-time enrollment fee. The enrollment fee is based upon one of three packages selected. The Silver, Gold, and Platinum Plans cost $50, $199 and $795 respectively. Like GoDaddy, the difference between each of eNom’s reseller plans is the product pricing. As the name suggests, Platinum resellers get the highest discounts on pricing.

eNom also offers an extra service to its resellers called the Instant Reseller, which gives them a ready-made online storefront to start selling in minutes. This service does come with an additional cost of $99 a year. Both of GoDaddy's reseller packages come with a white-labeled storefront, and as such there is no additional cost for this service with them.

Regarding .com registrations and renewals, GoDaddy's Pro Reseller offers the best pricing at $8.29/year when compared to $8.98/year offered by eNom's Platinum Reseller.

Product Offerings

GoDaddy and eNom do a good job providing their resellers with a wide range of products and services to sell. These include SEO and marketing services, web hosting and SSL certificates. Both companies allow their resellers to choose what exactly they would like to sell on their storefront. However, eNom requires their Instant Resellers to offer the same domain name extensions they sell, while GoDaddy gives their resellers an option to select which extension they’d like to offer.

Sub-Account Sales and Support

GoDaddy's reseller packages come with 24/7 phone support for resellers and their sub-accounts. This is perfect for resellers who may not have the time or technical knowledge to deal with customer service issues. GoDaddy will provide white labeled customer support, so when customers of resellers call the support line, they won’t know that GoDaddy is providing the support.

Though eNom provides 24/7 phone support as well, it is only available to resellers. This means eNom resellers will have to directly provide support to their customers. In some cases, this can be a good thing as some resellers may prefer to build a relationship with their sub-accounts.

Brand Customization

Both GoDaddy and eNom provide their resellers with a range of storefront templates to choose from. Resellers can customize the look and feel of their storefront by doing things like changing the colors and adding a logo. eNom account owners who do not use the Instant Reseller plan have the option to build their storefront from scratch and connect it with eNom's application program interface (API). GoDaddy also allows this option, however, they require API resellers to pay a yearly fee of $150.

The Bottom Line

In today’s world, there are endless opportunities to open a business, even if you don't have major capital. One way of doing this is by becoming a reseller for a particular product or service. GoDaddy and eNom are the largest providers in the domain name industry. Also, both companies offer reseller packages that allow individuals and businesses to sell their products under a white labeled brand. (For related reading, see: How to Make Money With Domain Names.)

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