MountedWeb
03-09-2008, 11:37 AM
Hello,
Soon we will be running all of our servers from London Docklands. The prices are MUCH higher than in America.Therefore the prices are near double. Do you think we will be able to sell?
Thanks
AmyWilliams
03-09-2008, 12:38 PM
Whether or not you make a profit depends on how well you stand out from the competition. You could be charging a lot, but if you market yourself well, you will succeed.
mrzippy
03-09-2008, 01:07 PM
In my opinion, the price you are asking in return for your service/product is only important if you are trying to attract people who care about price more then anything else.
If you have a niche product/service, or if your service is extremely high quality (so you can justify a high price), then you will be targetting a competely different market... and price becomes a secondary concern for your customers.
For example, we have one brand that charges about 5x the "average" price of most discount/budget hosting companies. The customers who sign up for this brand are not interested in the price. They are more interested in whether we can actually deliver the promises made regarding reliablity/uptime/service/support.
If you are running a low-cost budget hosting company, then yes.. you will have lots of problems because right now it is "cheaper" to purchase from anyone selling in USD.
grandad
03-09-2008, 01:32 PM
Not hard to improve on the quality of service offered by most UK companies, give good service and your real competitors will be few.
MountedWeb
03-09-2008, 02:27 PM
Thanks for the support everyone.
MMH-Moe
03-09-2008, 03:34 PM
Is it me or has any US based hosting companies noticed Europen and UK customer signups increase over the past year.
Perhaps it is the currency if US Host charge 10$ USD it is equal to 6 Euros or 5 Pounds. Vs, if they went to a local based host that charges 11 Euros or 10 Pounds.
So it makes sense to me to keep operations in the US if you want to get European based customers.
AL-Benjamin
03-09-2008, 08:02 PM
You're not expensive for what you do. It depends how you pitch yourself (as said above).
You provide a service specifically that a US company can't provide, as server / service based in the UK.
There is little point trying simply to compete on cost with US hosts because the exchange rate stops you dead.
antman99
03-10-2008, 11:51 AM
if you only host a small amount of websites US should be fine and then when you can host enouph to need to move to Uk you should be able to afford it anyway.