Hi:

with tons of hosting providers out there and some reviews that state that low prices are equal to downtimes & bad support, etc

I was thinking about the right price for the right service; I mean, what amount do I need to pay in order to receive a reliable service and a timely support response?

why a company offering reseller hosting for 4 dollars/month can't offer stable and good service to clients? Why to exist as a company that way? Is it better to increment prices and get a good level of service? or stay cheap with bad reviews here at wht?

By the way, high price providers worth the price?

what do you think?

It really depends on the market you are targeting. If you are targeting a low cost market you will not want to have high prices, but in the same respect it is expected that some of your services will be more limited than a high cost provider. A high cost provider has the ability to put less clients per server, provide more support per customer etc. Though they can do this, not all will.

What I suggest is be upfront with your clients, if you are going to be a low cost provider make this known. You don't want to be promising 30 minute ticket resolution if you really have no intention on keeping it. If you tell your clients the truth, and are upfront with them you shouldn't have a major issue.

As they always say, you get what you pay for so make sure you let people know exactly what they are paying for so they aren't upset down the line.

As they always say, you get what you pay for so make sure you let people know exactly what they are paying for so they aren't upset down the line.

well said man

Hi:

with tons of hosting providers out there and some reviews that state that low prices are equal to downtimes & bad support, etc

I was thinking about the right price for the right service; I mean, what amount do I need to pay in order to receive a reliable service and a timely support response?

why a company offering reseller hosting for 4 dollars/month can't offer stable and good service to clients? Why to exist as a company that way? Is it better to increment prices and get a good level of service? or stay cheap with bad reviews here at wht?

By the way, high price providers worth the price?

what do you think?


Lower pricing usually does equate to bad support. Keep in mind you now see "resellers offering reseller accounts" :eek2: Think of the channels on that as far as "waiting" for a support response. As long as you have providers that are willing to SELL at dirt cheap pricing the problem is going to continue on. For every one that goes OUT of business at least 10 or so are opening.

Well, when you see a dentist charging 1/3 of what another dentist charges for the same service, what somes to mind? Yet people expect the same service from hosts that have 1/50 price ratios.

why a company offering reseller hosting for 4 dollars/month can't offer stable and good service to clients?It can offer service fit for certain purposes. But if a new (or old) hosting business can only afford $4 to pay for the reseller hosting package, something's probably wrong with its business plan and financial capabilities.

Anyway, back to your question, think about it this way. How much of your time could $4 buy? (that's without even counting that the $4 must pay for all sort of other costs) :)

Most very low priced packages makes sense only as loss leaders.

It is best to keep your prices at a level that are sustainable or down the road you will have a big headache.

So, what is the goal for those cheap hosting providers? Make money fast and then run? Do they have a business plan for a long term?

I believe that all kind of hosts, cheap or not, have to be honest with clients, say if I offer a cheap service I am obligated to tell the customer that I cannot give a 24/7 support, but you will be happy and serious to support them within a schedule.

be generous when ur satisfied with the service, move away when ur not , u shouldnt and canot count on the price = level of satisfaction rule.

So, what is the goal for those cheap hosting providers?To make money, one way or another, sooner or later. :) At least some of them are getting as many customers as possible as fast as possible, with the aim to sell the business later on, to a bigger provider. Others (the big players with lots of resources and funds) are going for the market share fight. Others are just plain stupid. :D

What do you define as the right service? For some, a 25 minute response time is incredible for others its mediocre. Everything is relative to your requirements and only you can determine what type of host you need.

Yes indeed.

I used to be hosted for $3/Month, but every support response was "We'll Contact our provider". And took hours to respond.

Now I pay $10/Month for a decent plan, but I receive amazing support usually within minutes.

Thanks

Just kind of depends if a "host" is actually just a reseller account and in that case it's possible they don't have much more privileges than you do. I've seen resellers not even be able to restore backups etc..

Low price doesn't always equate to bad service but on new hosts it is very possible they start off offering these low prices without knowing that they may have to actually provide what they are offering.

Of course, I'm talking about true reseller hosting providers, not reseller of the reseller of the reseller :)

Well, maybe the right price is a relative thing, as someone said before, but if you are paying 5 dollars/month for a reseller plan and support responses are within 25 minutes, I think that's wonderful. The mediocre thing is if you are paying $35/m and wait that time for an answer.. :s

It would be nice to hear more contributions of reseller hosting providers (cheap or not) to know what they think about this.

The answer depends really on what type of features are important to you. With hosting, the decision many times is a personal one. IE there are some clients who won't signup or use a host who doesn't have phone support. As, I'm sure you are aware, phone support is quite expensive to provide 24/7, so naturally a host who has 24/7 phone support would be more expensive (generally speaking) than a host who doesn't offer it. A host who has an SLA on response times, would also be more expensive, and I can give many more examples, but you get the point. Also, there are other factos like control panel, support response times, feature sets, that all play a key role in pricing. I like to go by a general rule of thumb, if I can't buy a hamburger at the end of the month on your account, it's generally not worth it :)

-Steven

for a good reseller plan, look at something $20+ and dont expect unlimited diskspace or bandwidth :p

Overselling is a killer in my opinion

for a good reseller plan, look at something $20+ and dont expect unlimited diskspace or bandwidth :p

Overselling is a killer in my opinion


Don't read a book by it's cover. You can get lower pricing by buying in bulk or getting a dedicated server. It costs you more in the short term, but in the long term it's much cheaper than a reseller plan.

Overselling is only a problem on cPanel, when you try to cram all your clients into 1 WHM, 1 IP number and 1 server. That doesn't work. Overselling on a dedicated server where you have 500 IP's, adequate capacity, you know it's current performance and add new servers as necessary is fine. It is the only efficient use of the space. The problem is not overselling, it is the way WHM and cPanel work that makes it a problem. Other platforms don't have the same limitations.

For example, if you run out of bandwidth on our servers, we just add more to the package that exceeded it's quota, and charge a small fee for the overage that you can mark up to your customer. We don't suspend your entire account and all of your client's websites. As typically happens with WHM.