Web Hosting Talk







View Full Version : How many packages to offer?


xpp1223
04-18-2002, 01:16 AM
I need some good advice! (Please note, I do NOT have a sig so this is not advertising.)

I cam planning to offer 5 packages:

1. 10MB disk / .5GB BW / $5.95 mth
2. 50MB disk / 1GB BW / $9.95 mth
3. 100MB disk / 3GB BW / $14.95 mth
4. 200MB disk / 7GB BW / $24.95 mth
5. 300MB disk / 10GB BW / $34.95 mth

(All have unlimited email, parking, subdomains, etc..)

When I set this up, my thinking was that most people would probably sign up for the plan 1. Then, they would eventually upgrade to plan 2. Very few would likely sign up for plan 3 or higher. (Please let me know if I'm wrong here..)

What do you folks think about these packages?

Should I remove plan 5, and add a plan like this instead:

1.5. 25MB disk / .750GB BW / $7.95 mth

For some reason, I get the feeling like the smaller plans are more profitable, because you can fit more of them into a server. My thinking is that removing plan 5 and replacing it with the plan above would give me another "small" plan that might sell to people too big for plan 1, but not willing to part with the money of plan 2.

Any thoughts?

Thanks for any help!

xnet
04-18-2002, 01:23 AM
I'm sure if you clicked search and did a search you'd find threads like this.

xpp1223
04-18-2002, 01:32 AM
Similar, yes. However, my question about my specs and prices is very specific. I'm looking for feedback on my own prices and specs, not someone elses.

I also did a search and checked various forums, but couldn't find anything similar enough to satisfy my question.

thanks!

avara
04-18-2002, 07:00 AM
Those prices and specs seem very reasonable. You're certainly not overselling like Aletia, which is a refreshing change. :)

2Grumpy
04-18-2002, 10:31 AM
To be honest it's probably not gonna matter much whether you have 2 or 20 packages or what you offer in those packages, but how you market them, someone somewhere will pay nearly any price for web hosting, from people who want it 'Free' to people who feel like any plan below $25 a month must be 'fly by night' your problem will be finding those people who feel like your plans and your company is the one for them.

I see people offering pricing that's dirt cheap complaining they can't get customers, and I see people with I guess "premium" pricing who have nearly more than they can handle. Figure out how to sell an ice box to an Eskimo and the rest will figure itself out :)

Incognito
04-18-2002, 08:46 PM
I would personally raise the space on plans 4 and 5 to something like 250 and 500...gives you further differentiation between the plans. Also, you will have some customers with large ecommerce sites (depending on their site construction) who will require more space. Example: I build a lot of ecommerce sites which use static HTML pages (great for search engines and spiders). Some, have as many as 5,000 pages. Use lots of space, not nearly so much bandwidth.

LinuXpert
04-18-2002, 10:00 PM
I think you should have a custom plan and let your customers buy just what they need.

GWDGuy
04-18-2002, 11:56 PM
I agree that the first three seem priced good but # 4 & 5 are too cheap. Heck at that price I might buy it :D

We do a one price hosting no plans just one price depending on how long they buy in advance.

If you give to many choice people think that they better buy the higher amount because they will think that they are not getting enough with the smaller plans which in most cases they will be.

If you give too many plans you will also make people shop to see how much stuff other companies are giving.

We tried the multi plans and we get more business keeping it simple. We don't give it away but we do give enough for people to sign up everyday.

Good luck.

Remember always give more than they expect!

Robert