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View Full Version : Hosting Plans... how do they look?


guru_ck
02-09-2002, 05:20 PM
I re-did all my plans and added another one. I am a reseller and I currently pay $35/month for 14GB transfer and 1GIG space. Here are my plans, do you think anything needs to be modified and how much do you think ill make in profit after I pay $35 for my reseller account?

PHAT 25 $4.95 (25MB)
500MB Transfer
FTP Accounts: 2
Email Accounts: 6
SQL Databases: 1
Sub Domains: 4

PHAT 100 $8.95 (100MB)
2 GB Transfer
FTP Accounts: 6
Email Accounts: 15
SQL Databases: 3
Sub Domains: 10

PHAT 200 $14.95 (200MB)
4GB Transfer
FTP Accounts: 10
Email Accounts: 25
SQL Databases: 6
Sub Domains: 20

PHAT 300 $21.95 (300MB)
6GB Transfer
FTP Accounts: 15
Email Accounts: 35
SQL Databases: 10
Sub Domains: 30

Additional Items:
Extra Bandwidth $5.00 per GB
Extra Web Space $3.00/mo per 50MB
Dedicated IP $2.00/mo

Wolfy
02-11-2002, 11:28 AM
I'd like to see a 'larger plan', and also less plans overall may make things less confusing for your customers.

ASPCode.net
02-11-2002, 04:45 PM
Originally posted by Wolfy
I'd like to see a 'larger plan',

Agree. At least when it comes to bandwidth.

DigitalXWeb
02-11-2002, 06:39 PM
One thing to keep in mind is the "HOSTING GAME", what is this?? Well even though you have set limits to your resellers package in regards to diskspace and Bandwidth, a common practice is over-selling. This can be quite useful or quite painful, it all depends on your targeted customers and profit margins.

Basically when a customer signs up for lets say your largest package which is 300 megs of space and 6 gigs of transfer. Normal customers will probably only use 50 megs and 1 - 2 gigs per month. As you can see this allows you stack more accounts and still keep within your limits. (This is the positive side of it)

The negative is if 6 customers sign up for the same package but are all using 299 Megs of space and the full 6 gigs per month. This is well over your limits and you will be paying overages. The trick is to offset this scenario with your profit margin to cover these costs without losing money.

Again alot of this has to do with your targeted customers.

As for the packages themselves as mentioned by the others perhaps raising the Bandwidth quotas a little will keep you competitive with others.

Good luck with your business!!

guru_ck
02-12-2002, 02:26 PM
More bandwidth?! I've already increased it 1-2 gigs on each plan from my old ones. Is that all a customer looks at? I calculated what you said about overselling and yes I would be fine.

DigitalXWeb
02-12-2002, 03:26 PM
Originally posted by guru_ck
More bandwidth?! I've already increased it 1-2 gigs on each plan from my old ones. Is that all a customer looks at? I calculated what you said about overselling and yes I would be fine.

Again this is just a suggestion. If you feel you are offering what you are able to and remain profitable then use what you have. But if you do a quick sweep of some other hosting companies you will find things such as 200 Megs w/ 10 Gigs of transfer below $20.00 / Month.

Does this mean you have to do this?? Absolutely not, There are some companies out there that seem to be almost giving hosting away for free and yes they are becoming very popular and large but unless they have a proper business plan in place and knowledgeable personnel to SUPPORT this growth, they will more than likely end up out of business just as fast as they grew.

Again alot has to do with your targeted customers, most will shop around and compare pricing and offerings, and even though most will not use anywhere near the limits you give them, they want it at least available to them. As I mentioned in my previous post it's a numbers game and when deciding on your limits just make sure profits will meet your actual costs just in case you have a couple of power users that will use those limits to their advantage.

If you feel the limits you have in your post above are the absolute maxes then use what you have, If you think you may be able to up them maybe 2 gigs without the chance of ending up in the red then give it a shot.

I wish you the best with your business.

PS. Remember we are only giving you suggestions, by no means should you do anything anyone suggests if you dont feel comfortable with it. It's your company and you should run it how you see fit..