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View Full Version : reseller pricing
mc-2000 03-20-2005, 12:50 AM im planning to get a resller account from one of the guys here...though im little bit confuse which one for the fact that i cant find the right prices that i should charge my potential clients..
pls advise me on this one.
where should i base my resller price..
space or bandwitdh size?
if both of them..
what is the right combination?
thanks...
cartika-andrew 03-20-2005, 12:57 AM Hi mc-2000,
I would completely avoid the pricing argument altogether. Web hosting is far to competitive to compete on price and specs.
The only thing you should be concerned about is putting together reasonable packages that offer good value (IMO). After that, you should probably focus on your particular value. Whether thats service, support, a specific application - anything that will separate you from the masses ...
Shaw Networks 03-20-2005, 03:04 AM Agreed, finding a good deal is important, but should not be the only determining factor of choosing your web host. Search around WHT for web hosting companies getting multiple good reviews, that would be a good way to find a quality host for your websites.
resellerhosting 03-20-2005, 03:58 AM I was new to this forum and my last post was deleted due to some reason, sorry for inconvenience cause, but I just wan to share my opinions.
Disk Space and bandwidth are equal important.
One more thing need to consider:
There are some provider giving out "Unlimited" domain allowed to be hosted with their reseller plan. If in this case, please confirm with the provider, what they guarantee (like SLA), if too much reseller (each with a lot of domain putting in since is unlimited) host at a server and it probably will cramp the server. If this happen, you cannot promise customer satisfactions.
This is just my 2 cents..
oswebhosting 03-20-2005, 04:09 AM Agreed, target your prices to be a fair value not the most bang for the customers buck. If you promise too much, you'll end up in trouble. Work within the limits (to some extent) of yoru resller package. If your Entire reseller account has 35,000 MB of Bandwidth dont offer 40GB to anyone with $7... eventually you'll get someone who will use it then watch out for your Hosts overselling fees.
BUild a good value plan, one that offers everything a webmasters in your target market would need.
mc-2000 03-20-2005, 12:12 PM thanks guys for all the input...
i really appreciate it..
right now....im really confuse as i read the prices of most hosting sites here.
i cant figure out where will i base my price..i mean..you're all right that i should not go for price war but basically i dnt really know where my pricing will be base? where will i base it? space or bandwidth...naturally it should be base in bandwitdh( i think) ..
what i mean it seems and as i noticed from them..if its indeed the consideration is bandwidth mostly likely the profit margin is so small. unless you guys here have a secret computation that noobs like me dnt know :(
webair-gene 03-20-2005, 12:22 PM Take a look at your competitors and give a better offer than them, thats what most resellers do. Plus overselling is an option.
cartika-andrew 03-20-2005, 01:00 PM Take a look at your competitors and give a better offer than them
Until what point? So, give away service for free?
Plus overselling is an option.
That doesnt sound like a solid foundation on which to build a business - especially if every other reseller on those servers are overselling as well
grace5 03-20-2005, 02:33 PM Pricing depends on your target market also
(besides other factors too)
If your going for local market ,which is very highly recommended,
then you can charge a but more than if targeting the WWW mkt.
as competetion is not as severe as it is say here on WHT.
Folks don't mind to paying more for a quality product.
Dont fret over the 1/30GB offers for 5 month they come and go...
chattersbox 03-20-2005, 02:42 PM Also with some providers the may offer Unmetered b/w plans will be a bit costly.. before you dive into that though ask questions
1. Is there a cap? At how much you will allow.
2. Ask what are the server load averages
3. How many resellers are on that server, and what will be the max number of resellers.
4. Uptime as well
Even though it says unmetered, they may be making a pretty penny of of you. Also read there TOS well.
I haven't purchased one of those plans yet. I am not fully expericed yet but I am sure alot of the non newbies here will weigh in on what I am saying
:-)
webair-gene 03-20-2005, 03:30 PM Originally posted by CartikaHosting
Until what point? So, give away service for free?
That doesnt sound like a solid foundation on which to build a business - especially if every other reseller on those servers are overselling as well
What's wrong with overselling? If you know you're not at full capacity, why not do it? It seems as if every single host is doing it. It doesn't necessarily mean your hosting sucks, or your system sucks.
Fyrebox 03-20-2005, 04:36 PM i also would have to agree on most of these posts, make sure you can get a plan that you are going to be able to make considerable offers for, make good, resonable plans and adjust your price accordingly. Research other Shared hosting companies and see what they offer and how much they charge, but do go to low, make sure you can offer your plans and how many clients you can take in. dont let you goal to be to high as in "making 2 times what you pay for" for me in example, my first targeted goal was to have accounts to which it pays for the server without you having to spend any money on hosting, then upgrade if available, then you can change your plans accordingly (IE, dropping prices, adding services)
try to be consistant. but all companies and people are different, this is just worked for me
ldcdc 03-20-2005, 09:14 PM What's wrong with overselling?Well, something might be wrong with it. Overselling can be an option if your target market allows for it. If you plan to focus on hosting forums, CMS based sites, etc. I wouldn't suggest overselling. In fact I would suggest seriously "underselling" the bandwidth that comes with the server.
if its indeed the consideration is bandwidth mostly likely the profit margin is so small.mc-2000, you are the one who decides the profit margin. If you go for the value war instead of the price war, the actual price loses part of it importance.
As a reseller you're a small fish in the hosting industry, one of the smallest possible, so you can't start fighting with the big sharks out there, for they will always beat you. You need to find your own niche, your own corner in the ocean where you can do the best job. Whether the niche is your home twon, your county, a special skill that you have (or can develop before you open up for business), a special tool or service that you can bundle with the hosting, etc. it's up to you.
You see, there's plenty of carbon in this world, we walk on it, we eat it, we do all kinds of stuff out of it, and it's all relatively cheap. But some people are willing to pay huge amounts of money for one tiny rock of carbon that is called diamond. It's not what it is, what it is made of, it's what people make of it. Sell the diamond, not the carbon in it; locate and address your message to the people who are interested in diamonds. :)
Good luck!
webair-gene 03-20-2005, 10:46 PM *tear* ldcdc that was beautifully said and you make a wonderful point, you have to find your target market and shoot for it.
cartika-andrew 03-21-2005, 12:52 AM Well, something might be wrong with it. Overselling can be an option if your target market allows for it. If you plan to focus on hosting forums, CMS based sites, etc. I wouldn't suggest overselling. In fact I would suggest seriously "underselling" the bandwidth that comes with the server.
Very observant of you Dan :D
When dealing with these sorts of applications, bandwith and space are really secondary concerns - as CPU and RAM usage associated with simultaneous users is usually the primary consideration....
What's wrong with overselling?
Call me risk adverse....
If you know you're not at full capacity, why not do it?
If you've priced your plans accordingly - you wont need to do it... the excess capacity will just translate into better performance, scalability and stability for your clients...
It seems as if every single host is doing it.
I can assure you not every single host does it.
mc-2000 03-21-2005, 01:10 AM ummpp...i learned a lot guys !!!!!!
now for the hard part...which one....
i have to go now and start reading reviews..thanks !!!!!
cartika-andrew 03-21-2005, 01:12 AM i have to go now and start reading reviews..thanks !!!!!
Thats always an excellent place to start :)
mc-2000 03-22-2005, 12:04 PM i just notice how come most people here don't offer DirectAdmin but i read good things about it here ?
Captian_Spike 03-22-2005, 03:04 PM DirectAdmin is starting to pickup slowly, give it another year and you should see alot more of it around.
mc-2000 03-23-2005, 12:23 PM hey guys..im still havnt decided...
anyone can give me some experiences or knowledge which hosting that have an active support forum..thanks.
lasse 03-24-2005, 11:45 AM Originally posted by u2mike
DirectAdmin is starting to pickup slowly, give it another year and you should see alot more of it around.
Yes, I agree
webaid4u 03-27-2005, 08:37 AM Look for hosts that have been recommended by the most people
and that offer large amounts of webspace and bandwidth don't sacrifice one for the other. Also look out for hosts offering unlimited bandwidth this is because they will charge you extra if you go over a certain limit.
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