Hello,

Just some question...
If out of a sudden.....if one of the largest business (hosting) offer some low prices with same specification as others....same price as the small businesses..

Small businesses will sure no where to stand?

Is that right?
:)

Not really, service levels vary greatly. Personalized (and sometimes localized) service is usually a differentiator between big hosts and small hosts. All other items being equal services is still a big differentiator.

Justin

Not just service but a matter of choice.

Some people just don't like dealing with the big hosts. Others don't mind. There are so many factors that boil into a customers choice other than just price for what they get.

Thats the same reason alot of companies dont mind working with resellers and smaller companies usually they have a better relationship with there clients and are easier to get ahold of. Of course thats not all smaller companies.

Greetings:

There are many ways to compete.

There are those companies who compete on price.

There are those companies who compete on values within price ranges.

When companies compete on price, they can be hurt by competitors who are priced lower than them; and, especially by competitors who are financially able to sustain low prices for extended periods of time.

While I’m not sure it happens with today’s gas prices, Sheets used to come into a given section of the county, and dramatically price their gas lower than the surrounding competition.

They did well. While some people lean towards specific gas stations and vendors, those swayed by price were swayed.

When it comes to hosting, those who compete on values within a price range are rarely impacted by those provides competing on price. Any impact tends to be for a short duration when any customers who would switch would find the values they had are not present at the new provider.

One of the most common mistakes made today by providers and consumers of hosting is that all hosting is the same; technology is technology.

Thank you.