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View Full Version : cant decide where to spend money
build-a-host 03-01-2006, 08:14 PM Hello all. I run a new web hosting service that has experienced extreme growth in the short time we have been open, so I feel it's time to expand, but where?
Right now I am only using about %10 of my available disk space, and not coming anywhere near my bandwidth limit, but I still feel then need to upgrade.
BUT
I also think it might be wise for me to invest more in advertsing my brand.
BUT
I also think that investing more in support might be a usefull investment.
As you can see, I have quite a delema. I want to do whats best for my buisness, but right now all of the above sound equally important. What would you suggest I do?
XeHSean 03-01-2006, 08:32 PM Id recommend you invest into advertising or support - both are always good!
Have you planned out exactly what you would be doing in all of those options?
Why upgrade the server? Do you mean adding value to the service through things like a Raid array or just an upgrade of the processor/ram/HDD?
As for investing in the brand - try and maintain a steady growth rate so the business can adapt with the change in client base and size.
How exactly would you be investing in support? Writing tutorials, FAQ's, etc. are things you can do and don't need to spend money on.
leeware 03-01-2006, 08:54 PM I'm going to agree with the other posters. I would put my money on advertising and continued growth. I wouldn't waste any money on capacity upgrades until I reached 80% utilization of available resources.
build-a-host 03-01-2006, 09:03 PM Have you planned out exactly what you would be doing in all of those options?
Why upgrade the server? Do you mean adding value to the service through things like a Raid array or just an upgrade of the processor/ram/HDD?
As for investing in the brand - try and maintain a steady growth rate so the business can adapt with the change in client base and size.
How exactly would you be investing in support? Writing tutorials, FAQ's, etc. are things you can do and don't need to spend money on.
No I havent planned out each option, but I have done some in depth research for a dedicated server, and also for a good support company (outsourced). I am currently using Bobcares.com, but with the growth I am experiencing, I am going to need more soon ( A bigger Support Plan).
As for upgrading, yes thats exactly what I mean, more ram, bigger proccessor, faster connection.
Thanks for all the replies, keep them coming!
mactopsuit 03-02-2006, 04:40 AM Definitely money into advertising and marketing for now. I wouldn't wait till 80% though, if you are hitting the 75% mark soon then you should start the upgrade process. So the best thing to do is to research on where and how you'll upgrade (it'll help when you actually need to budget for the upgrade) whiles you put money into marketing your services for now.
mrzippy 03-02-2006, 04:44 AM Ok.. here's the question..
Let's say you put all your money into advertising, and then you get a lot of new customers.
And they need support.
But you did not invest any money into hiring support staff...
:)
My advice is to keep some money aside, just in case you need to hire some emergency help. Spend the rest on whatever you feel is needed to make SURE that your EXISTING customer stay happy and content. (That might be better support, better servers, better bandwidth, or whatever.)
Spend the rest on marketing and advertising.
Good luck!
Aussie Bob 03-02-2006, 04:46 AM Hello all. I run a new web hosting service that has experienced extreme growth in the short time we have been open, so I feel it's time to expand, but where?
So you've got this "extreme growth", and you're thinking of more marketing, because you "feel it's time to expand"? That makes no sense. :)
If you need to expand, due to "extreme growth", then the last thing you need is more marketing and more growth. You need to shore up your support, because it seems you already have the growth.
build-a-host 03-02-2006, 01:41 PM Ok, I decided to go ahead and get a better server. I choose LiquidWeb because of their support and uptime. Now I am also upgradeing support to ensure I have enough staff members to cover any additional growth.
I guess i'll throw a few bucks on advertising too though.
Thanks for all your suggestions.
Swelly 03-02-2006, 03:56 PM I would say save the money the company pulls in. The more the marrier. Advertising a company the correct way takes a quite of bit of money, and time invested in doing it right. If you pulling customers regardless of little advertising, why not take advantage of it, and keep saving for something better, this way atleast you know your doing it right.
VintageHost 03-02-2006, 07:13 PM I'd buy a ferrari
bqinternet 03-02-2006, 09:51 PM I would invest in advertising, but make sure that you're also ramping up your support ability at the same time so that you can handle the new growth. Invest your money wisely, and don't throw money at something just for the sake of spending money.
Mark S 03-02-2006, 10:10 PM just FYI,
http://webhostingtalk.com/rules.php "[Signatures] May not contain any pricing, plan, sales, etc. details."
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