As you all know, Alabanza is planning to impliment a very drastic and unfair price increase ($1 per IP per month). All atempts to contact them have failed as they apear to have all their answering machines on.

As Alabanza customers, we need to stand together as a strong, viable force to let them know just how we feel about this extremely unfair price increase.

As individuals, I doubt that we can make a "dent" on influencing them, but in unity as a team of hundreds of customers we can make a difference.

Because of Alabanza's DSM and CP they certainly must believe that they have us under their thumb and backed into a corner that's impossible to get out of. There are definitely options out there. One option I'm keeping under my hat for now and it could very easily free any of us who so desire from the clutches of Alabanza.

On a final note: I'm not here to bash Alabanza, and I'm very thankful to them for helping me with my web hosting business. I would also love to stay with Alabanza as long as I feel I can still continue to trust them and that they won't do anything unethical or unfair in the future.

To become a part of the team and help create a strong voice that will be heard, join the Support Group at http://knsp.com/petition.html and fill out the E-Petition to Alabanza.

Thank you.




[Edited by Deacon on 09-27-2000 at 04:31 PM]

What is the unfair pricing you are talking about?

Jeff Link
IntraHost Communications, Inc.
http://www.intrahost.com

I think you're going to be met with a somewhat polite, yet similar stance of, "If you don't like it, go somewhere else". This will be in the form of, "The price increase is needed because we blah blah blah...". Really when it comes down to it, that is what it comes down to.

*makes less sense than diet water*

Jeff,

Take a look at this!
http://webhostingtalk.com/showthread.php?threadid=2143

But what is unfair about that? I mean its not, I guess right. Its not a smart business move, but its not unfair. Unfair would them having everyone pay 1grand a month starting yesterday, thats unfair. But doing business is not unfair. They have decided to raise a little income in a manner not appropriate maybe. But not unfair.

Jeff,

Keep in mind that we've only been given a 35 day notice and that many hosting companies will have to pay thousands more dollars per month!

Think about those who have 5k domains plus. That's a sudden, unexpected increase of $5,000.00 per month in 35 days! It's very hard to absorb that no matter how much revenue is coming in.

It would not be so bad if this thing was grandfathered. What makes it unfair is that they think we won't have any choices. I've got news for them.

How can I company with 5k domains not be able to absorb $5k?
Do you realize how much money a company would be making if they have 5k Control Panels/clients?

Also, what else is coming to them? Alabanza seems to have the best DSM/CP. There are other good ones like VDI and such, but they don't quite make it.

Whether they can absorb it or not is not the point. They can probably absorb giving me $20k, but should they have to? Why pay an extra 60k a year for something you can get elsewhere is the real point of this. Whether or not we as hosting companies can survive with it really has no bearing. We can, but from a business logic standpoint, if we can offer get the same benefits elsewhere (both client and personal benefits) and make more money - go for it.

Marksy,

Excellent points made!

One of the other issues not brought to anyone's attention yet is the fact that if we simply cow-tow and allow this to happen without a fight, it will mean that Alabanza will be very quick to make another $1.00 increase which would mean to them yet another 300k plus per month revenue increase at our expense.

If you think about it, our life is virtually in their hands. At least that's what they think. Options are, and will be, made available. Never bite the hand that feeds you...:)

Then use thoses my CP Ideas and drop the $1 CP fee!!!!!!!!!!!!

Originally posted by Deacon
To become a part of the team and help create a strong voice that will be heard, join the Support Group at http://knsp.com/petition.html and fill out the E-Petition to Alabanza.Speaking of unfair, why is it that we're not shown the text of the petition we're signing until after we give you our contact information?

"Just sign this, no reason to read it first!"

JayC,

The context of the Petition is whatever you want to enter. It's a modified guest book that allows you to express your opinion to Alabanza. The contact info is asked for in hope of being able to contact as many people as possible. Many have signup up for the support group alone. Fill out the Petition only if you want to.

I changed the text to reflect this so there's no misunderstanding (hopefully).


Everyone,

Participate and make a difference. This is your chance to do your part to keep yourself from getting hosed. If you don't register for the petition, then you have no room to complain. I bet the folks at Alabanza are really enjoying this. Don't give them what they want; spineless jelly fish willing to give their money away because their afraid to take a stand.

http://knsp.com/petition.html

One of the other issues not brought to anyone's attention yet is the fact that if we simply cow-tow and allow this to happen without a fight, it will mean that Alabanza will be very quick to make another $1.00 increase which would mean to them yet another 300k plus per month revenue increase at our expense.

I agree entirely, in fact it's the major reason that this price hike has caused me to rip up my Alabanza contract. What happens next? Trouble beating "The Street's" post-IPO consensus on Q4 earnings? Nevermind, just slap an extra 50 cents on that $1 per customer charge that we made a few months ago. That'll boost our short-term balance sheet. What's that you say? We're losing customers hand over fist? Nevermind, the stock's up 1/8...

I have it on good authority (from my Sales Rep actually) that Alabanza are feeling the heat of VC money dripping away from them. At the same time, they can't keep up with demand for their services. No way is that the type of company that I want to be doing business with.

The bottom line is that if the average Alabanza client has 200 domains on his/her server, this price hike took them from $800/month to $1,000/month - an increase in server costs of 25%. I'm pretty sure Alabanza themselves would squeal if one of *their* suppliers put a bill up by 25%.

And if my Sales Rep reads this (he hangs out here) then this is nothing personal. You were excellent throughout. Unfortunately I cannot and will not put my business in a position where it stands a high chance of being held to ransom by a short-sighted supplier.

Speedie.