Multiple Hosting Accounts


#1

Hi there,

I have a question regarding multiple hosting accounts with DreamHost. We are essentially a reseller - a web design firm that offers our clients hosting through DreamHost’s awesome services. So far, we have been creating a new hosting account for every client, and it has come to my attention that DreamHost actually does not allow multiple accounts for a single customer, according to the TOS. We’ve also been using our own promo codes to obtain discounts on the first year of hosting for every new account, and giving our clients the discount accordingly. I have a few questions regarding these practices, and I would appreciate if anyone could take the time to answer them:

  1. Why does DreamHost advise against having multiple accounts for one customer?

  2. Is there any way to merge/move a number of domains on multiple hosting accounts into one hosting account?

  3. Isn’t having multiple accounts for one customer more profitable for DreamHost than having as many separate websites hosted on one account?

  4. Isn’t having multiple accounts for one customer, even with using own promo codes, more profitable for DreamHost than having as many separate websites hosted on one account?

  5. Isn’t having multiple accounts for one customer, even with using own promo codes, just as profitable for DreamHost as having the same accounts for separate customers, using other people’s promo codes for each?

Thanks to anyone who can help!

ZM


#2

Since this is a customer forum, all I can do is guess based on what I’ve seen here:

  1. This issue has come up before and the response I recall from DreamHost is that it’s not a problem when used honestly. I’m not sure what a dishonest use is, though.

  2. Moving domains between accounts might be possible through the panel, but more often than not, it seems to require some assistance from Support to prevent a domain from hopping from one discount plan to the next every year.

  3. Yep, but see #1.

  4. Yep, as long as they’re concurrent. Some people try to set up a new account every year so they can get serial discounts. In a way, this is multiple accounts, but not necessarily concurrent. The system is set up to try to prevent existing customers from repeat promo codes. Promo codes are part of customer acquisition cost.

  5. This needs to be re-worded to reflect the reality of business. Replace “profitable” with “expensive.” I don’t think they’ll reveal their profit model, but I wouldn’t be surprised if it’s close to break even, or even a loss, to offer the discounts they sometimes offer.

The bottom line is that promo codes are considered an expense to bring in new business. They hope that you like them enough to become a profitable business relationship.