Web Hosting Talk







View Full Version : Charge Montly or Yearly


UktopHost
05-14-2002, 09:05 AM
Hi,

What do you suggest as the best pricing policy.

Most host's charge monthly but we have found that a lot of customers would rather pay up front for a whole year rather than a DD every month. But then there is a call for monthly billing so you can break the price down.

David

dynamicnet
05-14-2002, 09:10 AM
Greetings:

For shared hosting our parent company typically bills quarterly with a discount for annual.

Virtual private servers (AKA VPS, VDS, virtual dedicated servers) along with dedicated servers and managed services are billed monthly with the option for pre-payments for discounts.

We've found over the course of seven years to try and find a balance with our customers and the revenue streams needed to grow the business.

Thank you.

ToastyX
05-14-2002, 11:51 AM
You should offer both, with a discount for yearly.

UktopHost
05-14-2002, 12:39 PM
Hi,

Thats what we are thinking of doing to be honest but its just a case of balancing out the books when paying the supplier (VO).

(SH)Saeed
05-14-2002, 12:56 PM
I think customers should have the option to pay monthly and annually for plans that cost about $10 or more per month. However, a plan that costs $3 per month, can be charged annually only.

Avail
05-14-2002, 02:42 PM
Would there be any reason to not offer both?

1q1q1q
05-14-2002, 04:28 PM
Originally posted by Avail
Would there be any reason to not offer both?

Yes.

If you think your business will only stay for a few month, then yearly payment is prefer.

If you want to prevent fraud, then you will prefer monthly payment.

AcuNett
05-14-2002, 09:51 PM
"If you think your business will only stay for a few month, then yearly payment is prefer."

Wouldn't that be cheating your customers?