3 years back (2003-2004) two hosts : SplashHost.com and MCHost were the "Star" Reseller Hosts in WHT ... something like what JaguarPC is today ... anyone looking for new Reseller or VPS, were going to open account with them.

I had an account with SplashHost long back and in fact Alan refunded my money for one month, which I paid in advance but shifted to another host before the contract ended.

There were so many complains against MCHost even then too, but, there were members who used to still post in MCHost's favour.

Everyone over here wants to get their order-boxes filled like what SplashHost and MCHost used to have at that time.

Today, SplashHost doesn't even has a home page, and MCHost doesn't exist.

Just curious to know, what 'mistakes' did they do that they had to close down their so flourishing hosting business? It's always better to learn from mistakes....

I don't really remember those hosts or the pricing structure..

One reason could be (based on entirely just what you have said), is that that they were never really successful in the first place. They could of been operating at a loss all this time and taking out more loans to in hopes that they will eventually break even and start seeing profits. Maybe that day came but the profits were not enough to make web hosting worth while. The pricing structure could of been so low it did not account for sufficient reinvestment for growth...

So many factors could of caused them to leave the industry...it may not have been mistakes that were obvious. For example customer support etc. could of been great and servers worked great, just the financial planning and future business planning weren't great...

SplashHost has been purchased by Voxtreme, I believe...

http://www.webhostingtalk.com/showthread.php?t=424655&highlight=splashhost.com :smash:

SplashHost has been purchased by Voxtreme, I believe...True (http://66.249.93.104/search?q=cache:Nu7r6FuXkOIJ:www.splashhost.co.uk/+splashhost&hl=en&ct=clnk&cd=1), and now Voxtreme is going through some major changes (http://www.webhostingtalk.com/showthread.php?t=504186), which is probably the main reason why the Splashhost website has fallen into disrepair.

Growing pain, those host grow too fast, they were unable to manage that grow.
BTW, JaguarPC is older than Mchost and SplashHos.
Also, I remember that Alan, 1 or 2 years after their start, told in this forum that he was bored of this industry.

Bored with hosting. Not much time to be bored.

-Jay

Those that live by the forums seem to die by the forums.

Totally agree, if they get most of their customers from a forum like this, once they get an small problem, you multiplicated x 100 on this forum, which will dismay possible future customers.

Getting bored with hosting is understandable. Some people, who have not read 'Rich Dad Poor Dad', like to work hard 24x7 to earn money.

But this does not mean that one should ruin an earning business and make its customers suffer. He should sell it to someone at whatever price.

You cannot ignore forums as viable means of earning a living. Else we wouldn't be here. But what Jedito correctly says that one also must understand the implications and responsibilities. Getting customers is much easier than retaining them.

There are many hosts getting most of the business through forums like WHT and they are successful in retaining their reputation.

Cost Accounting and Financial Planning are the most important in any business, as stealthdevil says.

It's always better to invest in better hardware managed by industry leaders. That reduces the cost of customer service. IMHO, customers play the most vital role of making my business success or a failure. One good post about my hosting company can lead to get a few newer customers. Similarly a single bad remark can take away most of my customers.

While setting-up a plan, the urge of 'giving something extra' without cost accounting, sometimes drive web hosts crazy. Giving something extra without announcing it, makes customers more secure. Customers always like if a host goes 'that extra mile', to help or to train a customer in case of difficulty. These are priceless added value, IMHO.

Customers always like if a host goes 'that extra mile', to help or to train a customer in case of difficulty. Yet customers don't always like to pay the money that such a level of service requires and deserves. :)

agreed. That's why it's called 'extra'. ;)

Those that live by the forums seem to die by the forums.
And yet others thrive. :D

Both SH and mchost were also owned by very young people. I don't think either Marc or Alan are in their 20s yet, so they had success, but didn't have the maturity to handle it.

agreed. That's why it's called 'extra'. My point was that the "extra" can't be done if the host doens't make a profit at the end of the day. Providing that extra that you mentioned comes with a certain cost, which must be included one way or another in the final price. :)

Here on WHT, people continually search for budget hosting with premium level service. Once their expectations are not met they easily start writing negative reviews. Sure, the hosts are often at fault as well, as the advertising buzz used by all hosts is rather similar. They all present thmselves as wonderful hosts, fulfilling every need one might have. :P

Getting bored with hosting is understandable. Some people, who have not read 'Rich Dad Poor Dad', like to work hard 24x7 to earn money.
Excellent Book, it's definately worth a read for those of you who havent.