Is would like some feedback/opinions on this pricing structure for shared hosting before I open up the hosting services to the public...

http://kylebabich.com/index.php?content=hosting


Please don't signup yet, I am just looking for feedback on the plans/pricing.

I just had a quick look through, and the prices look good to me. They are fairly cheap....My only recommendation would be to use the .95 trick: ie: make your prices 9.95, 14.95 etc........

I was thinking about that, but I also noticed that some people like the honesty of even prices, not .95 or .99 cent mind games.

First of all they are really good plans and are very cheap. However, think about the price you are selling them at. I notice a lot of hosts making plans with awesome features and dirt cheap prices however that's not really good for the working side.

For example say I have a $9.95 plan that is really packed with features like 500 MB & 5 GB. I've seen this on another host. Okay assuming they aren't using cogent nor have a first level tier with their ISP they probably aren't getting bandwidth for less then a dollar. Thus a plan like that may cost them 5 * $1 = $5 for bandwidth and disk space usually costs about $0.01 or $0.02 / MB thus 100 * 0.02 = $2 so that plan in total would cost $7. Along with credit card costs and other operating cost, plus your time and effort that isn't much of a gain.

My advice to hosts is to increase prices and promote more of a secure, quality product then to go for the lowest price game.

Personally, if a host offers me too much for what I believe is too little I don't take it because I would rather pay 5 or 10 dollars more for a product which may offer less but promotes security and quality.

Of course when I say security and quality I'm not trying to say your product isn't that, since I have no experience / research done with your company. Anyhow good luck.

I would agree that really dirt cheap prices usually lead to bad service, but unless it is extremely low, it is usally based upon a decsion the owner need to make whether he wants to make money by quantity or by better profit margin. I have seen many expensive shared hoting compagnies who have bad service and offer you nothing. If you could handle quantity, I would suggest to reduce you prices