I am going to run web hosting.Just the normal one.It's hard to set the price.how to balance between price and bandwidth OR price between web space?Is that any forumal?how to caculate it?THX!
:confused:

best thing I would do is browse other sites and see what they are offering for their price ... compare it w/ your business plan and who you want to target.

thx! anymore?

Basically set a price that is profitable and competitive.

Hi NBA,

First you need to decide how you will compete in the market. For example, you could compete on
Price
Cost
Reliability
Customer Service
Quality
Ease of Use
etc

Whichever 1-2 of these you pick will have a major bearing on your pricing.

You might find it useful to flesh out that list some more, and then look to compete on 1-2 which are currently underrepresented in the market. For example, Price is or will be guaranteed to become over-saturated pretty quickly, so it should probably be your last resort.

If you can identify underrepresented competitive attributes, you will probably be able to charge higher than normal for them - basically just see what the others competing on those attributes are charging.

Just don't price too low - it's much better to be in business than to have had lots of customers once :)

Btw, price can be a very handy tool to manage your growth rate too.

THX!

Realistic pricing should be your cornerstone as that's what's going to pay the bills.

From there you need to nail a great service system, with a solid background hardware/payment wise (datacenter, server setup, billing system)

The first 50 accounts are going to hurt - and take some time to get. Often the best way to get them is to look offline. Local businesses, friends, etc.. beyond that customer referrals will go a long way provided you're doing everything right by now.

Our own prices have dropped since we started two years ago as costs were reduced per customer, but they're still a lot higher than the fly-by-nights who often end up roadkill within 6 months. Underbidding the industry is a fools errand.

A lot of money can be made from additional services too. Some of our development clients who host with us pay a *lot* more for their site construction than a year of hosting. If you're good with photoshop it's a worthwhile avenue to persue. If not, look at your abilities and see what you can come up with. It'll go a long way to putting a buffer on your profits and securing your business against 'problems'

Greg Moore

in your search to compare the prices of all the web hosting companies, be sure to compare the prices with the level of service they offer. 'A' level pricing comes with good tech support and other extra features not normally found in 'B' level pricing. You can easily see the difference when 100MB space pricing varies between each host. This is because they either provide or don't provide value added services.

THX!Everybody.