Please not before I start on this that I am not pointing my fingers at any one or any company. These are just my views.

Why is it that customers only look for the $2 per month host?

Why is it that even though they are only paying $2 they just want all their emails answered within 5 minutes?

Why is it that when they don't get and answer within that time they go and post bad things about the company?

Why is it that they want 100% uptime?

Why is it that when they get a 5% uptime they get mad?

Why is it that they want unlimited everything?

Why is it that when they get tired of that host they go look for another but want the same features but this time they want it for $1 per month?

Why is it that they go from host to host every month?

Why is it that the customers that buy your lowest priced plan are the one that complain the most and want you to do everything for them within 5 minutes?

Why is it that they are the only one that calls your support line?

Why is it that they are the one that step all over you?

Why is it that they are the one the threaten you to go and post a bad review if you don't bend over backwards for them?

Why is it that they are the only one that post bad reviews about your company?

Why is it that when they want to move to a "better host" they want you to give them the service at 50% off?

Why is it that if you don't give them the 50% off they just stay with their old host that is giving them problems?

Is it that they don't care about their site?

Is it that they can't afford anything else?

If they can't afford anything else why not wait until you have money to go and start your site?

Is it that they just go from host to host every month taking advantage of the host's 30 day money back guarantee so they will get free hosting?

Is it that they just don't have anything to do and decide to call your tech support just to chat?

Is it that they don't know what they are doing but want to do it anyways because everyone else has a site?

Is it that they have not gotten through their heads they saying "you get what you pay for"?

Is it that they do it without realizing they are doing it?

Is it that they think that paying over $5 per month for hosting is insane?

Is it that they are misinformed?

Is it that they don't know that an uptime over a 5% cost money and that money has to come from somewhere?

Is it that they don't know that a tech cost $15 per hour and that also has to come from somewhere?

Is it that they don't know that bandwidth, servers, disk space, electricity, memory, telephone, taxes, accountants, sys admin, etc cost money and that money also has to come from somewhere?

Is it that they are just use to seeing the $30 per year host?

Is it that they don't care if they get bad services even though they get mad when they get it?

Is it that they don't want to pay for quality?

If anyone has the answer to most of these questions please let me know. You will do me a great favor.

I think it boils down to the fact that they can get it.

There is always a new and eager hosting company that is willing to do anything out there to make a sale. They aren't paying staff, so they don't realize the value of their time going into the business. If things don't work out well with their current host, they can always move to another one that will do the same thing. As long as they are willing to move around, they will always be able to find what they need on a short term basis.

The real question is, why are hosts willing to give everything for $2/month, and offer phone support and all of the other toys.

Why is it that customers only look for the $2 per month host?
Most don't, the really cheap ones do and those are usually the trouble makers.

Why is it that even though they are only paying $2 they just want all their emails answered within 5 minutes?
Hosting Service is hosting service. Shouldn't matter what price you should give everybody the same service.

Why is it that when they don't get and answer within that time they go and post bad things about the company?
They get mad and can't take the strain :)

Why is it that they want 100% uptime?
Because it's the best

Why is it that when they get a 5% uptime they get mad?
Wouldn't you?

Why is it that they want unlimited everything?
A lot don't. In fact a lot stay away when they start seeing unlimited everything.

Why is it that when they get tired of that host they go look for another but want the same features but this time they want it for $1 per month?
Their cheap!

Why is it that they go from host to host every month?
This is only about 1% of people

Why is it that the customers that buy your lowest priced plan are the one that complain the most and want you to do everything for them within 5 minutes?
As I said before. Service is service. Treat everybody the same.

Why is it that they are the only one that calls your support line?

Their smart :)

Why is it that they are the one that step all over you?
This is to general

Why is it that they are the one the threaten you to go and post a bad review if you don't bend over backwards for them?
They are testing you

Why is it that they are the only one that post bad reviews about your company?
You take this too personally

Why is it that when they want to move to a "better host" they want you to give them the service at 50% off?
Don't give it to them. What makes them special?

Why is it that if you don't give them the 50% off they just stay with their old host that is giving them problems?
They have issues and they should start seeing somebody immediately :)

Yes, the pure and simple answer is they are tryng or taking advantage of you...

Best bet is to stay out of that offer forum and go into the technical support forum and help others, when they see your commitment you then have a possible client for life.

Besides who's gonna post that they need
under 1gb/m data transfer and willing to pay 50/m :)

Also I get affended at the whole notion of $2 hosting. Our smallest account starts at $14.95 and goes up from their. We say that you are really only paying $4.95 for the service and the same with all of our other plans, we calculate the cost of features. The extra $9.95 which makes it $14.95 is the support costs each month and the time. So in other words you are paying for service and support not just the service. Good old saying to, "You get what you pay for" :)

Please note that I really don't have any customers like this thank god but I have notice this on these forum where they come in and want everything for $2 per month.

Edit: typo

True. I always wondered how in the world these $2 a month hosts even breakeven, not to mention make a profit? :eek:

The only way to do so is by offering basically no support, and by cramming your server to the max. with accounts. :confused:

Heck, i have already started to see most companies that once offered hosting at $8 a month increase to 14.95/month for the same thing. And yes, these companies have been around for more than 3 years.

A perfect example of such a company is icom.com. Their smallest plan was 50 MB for 8.25/mth .... now it's $14.95. Hrmm.

In the long run, $2 hosts will be pushed out of the market by economic forces and competition. It's just a matter of time.

Of course, by competition i mean everything (sometimes) except price. Looking more at the service side because customers will not trust or view $2 hosts as a reliable solution in the coming future. ;)

Originally posted by one_web
Please not that I really don't have any customers like this thank god but I have notice this on these forum where they come in and want everything for $2 per month.

If you don't have any customers such as these then why let it bother you, much less start a thread about it. Seems to me there's a bit of pot stirring going on and little else.

Some people want this sort of deal. We don't offer it, so they'll look elsewhere. Doesn't bother us, doesn't affect us. I don't even look in the webhosting requests forum at all anymore as it appears to be little more than a bottom feeder frenzy.

Greg Moore

Well I'm sorry akashik if starting a thread about this bothered you in any way. The reason I started it was because I would like to know why people are like that, why they want the $2 plans so I can then see how I can fix my marketing strategies. Thankfully I only have one customer like this but I have learned to handle him. What I don't want is to start advertising and find out that now I have 100 of these customers. Don't get me wrong I am not discriminating them I just want to see what people in this forum that have more experience in this think and know so I can then find a way to well lets say teach those customers that are like that. So if I trying to rebuild my company to a better one bother you well I am really sorry. I thought this forum was build to help each other out and getting together to fix the industry and not to bash on peoples thread. Just because you don't see a point to it, it does not mean that there is none. Please note that bothering you or anyone in this forum was the last thing on my mind.

Its just goes back to the same old story of everyone wanting something for nothing! That concept has been around for ages...I remember wayyyy back when everyone wanted a minimum of 500megs space...for DIRT cheap...then it seemed to switch to wanting the MOST BANDWIDTH (e.g. 15gb or above) with dirt cheap pricing! The list goes ON....I do think people are understanding their NEEDS better than they did before, but still you have a large number of people that dont have a clue, so they are ATTRACTED to these hosts that offer unlimited bandwidth or huge amounts of disk space for very LOW prices.
Also as a host you have to think in terms of sites on the servers, etc.....I would imagine it would be fairly easy to fill a server pretty quickly with 5.00 or less a month hosting clients. We dont offer pricing that low but we do have pricing starting at 9.95 for standard hosting, plus we have smaller packages that are offered at a yearly rate, and these average 6.25 mo.
WHT is just a TEENY TINY fraction of the people looking for hosting (or hosts themselves)
I agree with akashik about the offers forum....very seldom do we post in there for obvious reasons :D

Now, I understand people's concerns about clients wanting everything for $2, the request forum, etc., though I'll also mention that I mod at another forum ( http://www.freewebspace.net/forums ) and if you really want to be shocked, take a look through the first forum *there* and tell me what you think.

It is almost painful to mod there sometimes, as people ask for everything unders the sun (I suppose it doesn't hurt to *ask*), like, "Where can I find a 200MB account, cgi/php/mysql/pop/etc with UNLIMITED transfer for FREE with NO ADS that is FAST with 100% uptime?" ::shudder::

Of course it doesn't help that some places claim to actually offer this, so what can you do...

People looking for $2 plans (I presume) are either just moving up from free hosting, or have ideas they wish to put online that don't translate into any sort of financial gain.

They also may not understand the background of what keeps a hosting company running, or the business plan (read: lack there of) behind a lot of 'rock bottom' hosts.

100 of what customers? $2 ones? If you advertise a $2 plan of course you'll get them. Or do you mean 'difficult' customers within the price range you set?

I think everyone here will agree you take the good with the bad. They won't all be low maintainence. Just like real people, customers seem to have their own needs and desires. :) I get the feeling that in a lot of cases 'bad' customers tend to become that way, rather than start that way. We've had a few sign up and appear confrontational to begin with. Once they realise we talk to them as real people, use their names, and keep them abreast of things they settle down often become our best referrers.

As far as marketing goes, set a plan that works, and stick to your guns. Getting 10 000 customers that are paying $2 each isn't a plan I'd be looking at though

Incidently, feel free to call me by my name. :D

Greg Moore

Heh, that reminds me of all those offers i see for
Lifetime hosting!

Lifetime hosting account Only $49.95/m FOR Life
lol

What happened to them? :)

Well I was one of the one that started without a business plan. Did not really think of the expenses and only thought about getting the lowest prices out and offering "everything under the sun" for dirt cheap. Yes I can tell you it did help me get customers on my first month I already had almost 90 accounts but then I started to notice that I was unable to continue this since I started to loss money I mean a lot of money. Then I had the problem of hosting my customers with the wrong NOC they pulled the plug and I was stuck with nothing I then had to go and take all my customers somewhere else. That’s when I lost everything I was left with only 28 customers I went and placed them on another account they all only paid like $50 per year so now I was stuck paying all this money and nothing coming in. I had to stop all the new orders. I have not gotten 1 new order in the last 3 months. I took this time to get a business plan. Study the industry a little better. I then saw what people wanted and what they don't want. I then looked and found the market that I have not seen anyone cover. So now on the 1st I will be opening again. In those 3 months I have been losing money I mean lots of money but I was lucky enough to be able to go and pay for this out of my pocket and get a new site and start fresh. I did not go and just closed for good. I kept on trying and when I start again I will be doing it right this time. I have taken the time and money to rebuild. I did not just go and left them all there and ran away. So I wanted to ask this question because I right after I came to this forum I seen that people want what I was giving before and that really hurt me and my company. So I was wondering why people want that and why are host giving it to them. I can tell you know I will not have a plan for under $18 because I know I will not be able to offer my customers what they really want for less then that.

Originally posted by comphost
Heh, that reminds me of all those offers i see for
Lifetime hosting!

Lifetime hosting account Only $49.95/m FOR Life
lol

What happened to them? :)



LOL...exactly!! I havent seen any recently that I recall ;)
Reminds me of a "free domain/hosting for LIFE" that I once won, long ago....OF COURSE the catch to that one was, I had to renew "another" account for 240.00 a year to get the freebie for life, hehe...what was SO absurd..in the end on that offer was the guy put off paying for my FREE domain, and he had the gall to ASK ME to pay for it and I would be reimbursed :D
Of course I said NO WAY!

Originally posted by pcsteve
I always wondered how in the world these $2 a month hosts even breakeven, not to mention make a profit? :eek: They are subsidized by mommy and daddy.

Maybe people are looking for cheap hosting, because their web site has no significant value. If you had a website like business.com of cource you would look for something much more expensive. Most clients have small sites, like games, personal stuff, information.

The attitude of some hosts (not in this thread, btw) never ceases to amaze me. If you are offering 200Mb, 15Gb and 24/7 support for $2 per month, then bl***y well deliver on it. That is what people are buying, and if you can't deliver for that sum of money, then change your prices.

It is simple - don't promise what you can't deliver. Personally, I would never countenance such a host and advice my clients to use hosts that deliver what they say they will.

When I have my designer hat on , I sometimes get the 'yeah, but we found a host who have give me the world and universe for only four quid a month', but I always persuade them to consider the options I am suggesting - reputation, support and what the site actually needs do count for a lot more in the end. The fact that you can actually get someone at the other end of the phone when things go wrong, who knows what they are talking about (or who can put you through to someone who does) and who is willing to sort it out - that is what I want from a host and that is what I advice my clients.

All the automated 'support' software in the world does not equate to someone saying, 'I'm very sorry about that, Mr Stockton, I think the problem may be x,y and z....we'll look into it and get back to you'.

Rant over.

Mark

one_web, you're taking this all way too personally. Just like I do.

It's freaky - I just got fed up and started a very similar thread just two days ago on YourHostSucks.com's private sponsor forum :)

I think I'm going to take Chicken's advice and just stay out of the "Hosting Requests" forum. It does nothing but put me in a bad mood and I only got a couple customers, which are of course turning out to be high maintenance for little return.

Actually that was Greg's advice, not mine.

When in doubt, credit the person with the most power, in this case the Moderator. ;)

I should have flipped back to look, thank you Chicken and thank you Greg for the original advice.

Heh, that reminds me of all those offers i see for Lifetime hosting!
This is one of the things that bugs me the most. I hate these guys. The reason is because they know the customer won't stay for a lifetime and that they have no way how hosting will change in the next 5 - 10 years so they take advantage of the customer.

one_web, I think that when you were guessing at the answers in your original post, that you probably hit most of it square on the head. However, it would be nice to actually see some of those customers provide their answers. But I've found it impossible to get answers from customers. Such as my post about subdomains.

http://www.webhostingtalk.com/showthread.php?s=&threadid=26485

I'm glad to hear that you're going to be giving a second or third try at a business with a working plan.

I also have to agree with markymark. If you enter into a contract, It's very important to keep your word, even if you realize later that it's not going to be profitable.

The bottom line is "customers want a product/service at the lowest possible price with the highest possible quality and features". Those are the rules of capitalism. If they don't get from one they will find someone who offers it. The problem in some cases, is with that someone who offers it. If that someone thinks that he can make a profit by offering it at $2 then he will and some customers will buy. That's how it goes .... just look around you, take a walk in the err... drive on the main street. See the wal-mart, home-depot, mcdonalds ... these are all creations and evolutions of capitalism - products offered at lowest possible prices. In most cases, quality/service is secondary or may not exist at all, but it works. Why? Why ask why? I don't know, seems to be working - it's capitalism.

Originally posted by one_web
Well I was one of the one that started without a business plan. Did not really think of the expenses and only thought about getting the lowest prices out and offering "everything under the sun" for dirt cheap. Yes I can tell you it did help me get customers on my first month I already had almost 90 accounts but then I started to notice that I was unable to continue this since I started to loss money I mean a lot of money. Then I had the problem of hosting my customers with the wrong NOC they pulled the plug and I was stuck with nothing I then had to go and take all my customers somewhere else. That’s when I lost everything I was left with only 28 customers I went and placed them on another account they all only paid like $50 per year so now I was stuck paying all this money and nothing coming in. I had to stop all the new orders. I have not gotten 1 new order in the last 3 months. I took this time to get a business plan. Study the industry a little better. I then saw what people wanted and what they don't want. I then looked and found the market that I have not seen anyone cover. So now on the 1st I will be opening again. In those 3 months I have been losing money I mean lots of money but I was lucky enough to be able to go and pay for this out of my pocket and get a new site and start fresh. I did not go and just closed for good. I kept on trying and when I start again I will be doing it right this time. I have taken the time and money to rebuild. I did not just go and left them all there and ran away. So I wanted to ask this question because I right after I came to this forum I seen that people want what I was giving before and that really hurt me and my company. So I was wondering why people want that and why are host giving it to them. I can tell you know I will not have a plan for under $18 because I know I will not be able to offer my customers what they really want for less then that.

What's apparant from your post is a quality often lacking from others. Obvously you care.
I admire your honesty - you deserve to succeed!

Eladesor.