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View Full Version : What percentage of your new customers do renew their accounts after 1 year?


kishforums
04-07-2009, 01:19 AM
Hi,

And how about upgrading?

Thanks,

everity
04-08-2009, 07:30 AM
I would say around 75% for shared, 85% for resellers. Then again, I target "long-term" types of customers, while trying to discourage host-jumpers from signing up. I go so far as to check domain histories, and if they have 10 hosts in the last 3 years, their account is not approved.

I always encourage people to start out low and upgrade later as needed. In the case of established resellers, I would say most upgrade within a year, but for the ones just starting out it may take a little longer.

hostingcertified
04-08-2009, 07:32 AM
We're offering windows hosting solutions and i will say that 80% of shared hosting customers and 90% of resellers are renewing their services.

EasycPanelXL
04-08-2009, 07:59 AM
Reseller & Shared Hosting clients about 90% Vps clients about 95%.... Guess you can call us lucky or just a bunch of happy returning clients.

ldcdc
04-08-2009, 12:49 PM
I go so far as to check domain histories, and if they have 10 hosts in the last 3 years, their account is not approved. And deny them the chance of getting good hosting for once? :)

everity
04-08-2009, 01:11 PM
Yes! :)

If someone has switched hosts that many times, the odds are very good that they will be a lot of trouble and then leave after a few months anyway, resulting in a net loss.

This is a side topic that is probably better discussed in a different thread, but suffice it to say that there is a lot of thought that goes into a decision like that. It is not as black-and-white as it sounds.

EasycPanelXL
04-08-2009, 02:32 PM
What is your Price Range ? Some host do offer WHMr Resellers " Master Resellers " But then agian some dont. I wouldnt pay too cheap for one because you will get what you pay for if you get what i mean :]

Not always the case

Reseller accounts can run from 12.99 - $80/month depending on what you are getting.

Also note that if a host offers software like WHMCS this is a $249 Value

You don't want to go with a reseller under $10/mo

cartika-andrew
04-08-2009, 02:36 PM
And deny them the chance of getting good hosting for once? :)

yeah exactly..

it is tough to know if a customer simply jumps hosts all the time or if a customer jumps hosts because the service has been bad.. I guess it depends which hosts they are coming from - that usually provides some insight into why they may or may not be interested in your services :)

Ethoshostingcom
04-08-2009, 03:09 PM
I'm curious the average renewing percentage for customers that purchase annually instead of monthly.

squire7
04-11-2009, 02:37 AM
You may well find those that go for the annual purchase are doing so purely for financial benefit as is often the incentive with such an account.
Given that the bargain hunter will be chasing the better price and should another host have a better price come renewal time then you have a challenge to keep their business.

EasycPanelXL
04-11-2009, 02:38 AM
You may well find those that go for the annual purchase are doing so purely for financial benefit as is often the incentive with such an account.
Given that the bargain hunter will be chasing the better price and should another host have a better price come renewal time then you have a challenge to keep their business.

That is one way to look at it, if people are happy with your service and they can save 10$ a year I don't think its worth the trouble of switching hosts, if there is a major difference that is a whole other story.

KMyers
04-12-2009, 02:10 AM
I find that my resellers either are long lasting (1+ years) or fizzle out in the first 90 days.

Standard Shared Hosting Accounts - Typically 95% renew

digiinet
04-12-2009, 03:45 PM
I find shared hosting clients renewing 98%

while resellers renew at around 85%

charlier
04-14-2009, 05:57 PM
About 90% stay.

incredible1
04-14-2009, 09:34 PM
We have around the same 90%
We just host Streaming Video

Customer service is the key. Our 10% is usually due to job changes by the client representative
or business changes for whatever reason

Current climate its a little higher this month than previous, but it should settle

StartYourServer
04-14-2009, 11:05 PM
I find shared hosting clients renewing 98%

while resellers renew at around 85%

That's odd, normally I see resellers as being more long-term customer instead of shared clients.

acco95
04-15-2009, 09:50 AM
Here's an opinion from the consumer side of it: Providers need to decide if they're competing on price or value (service).

If you're competing on price, you're going to get price-conscious clients who will jump ship if you're no longer offering the best deal. If you're competing on value, then you need to really partner with your clients and make sure you are doing everything you can to make their lives easier. People will happily pay more if they know they're getting more.

On a personal note, the way I work is I chase the best deal, knowing full well that I am making a compromise in terms of the quality of the provider. Using lower-quality providers means that I periodically experience (ahem) "lapses in uptime". :) But I mitigate that by having scripted server builds that allow me to failover to Amazon EC2 in event of a service outage.

Those scripted builds also allow me to switch hosts in approximately 90 seconds by running just one command. So if I'm your customer... yeah, you need to stay competitive. ;)

digiinet
04-28-2009, 08:00 AM
That's odd, normally I see resellers as being more long-term customer instead of shared clients.

This is being the recent trend with me. Many started out as resellers but only a few were sucessful so the rest just droped.

moonsoft
04-28-2009, 09:39 AM
I would have to say it's really BOTH, I have some clients who are price point maniacs, those are easy to deal with, if you really want to move your services because of price I hope you can do it with ZERO downtime, we cannot be responsible for any migration support if you are migrating away from us, however we can always re-evaluate your services with us and see if you really the the package you are currently on.

once someone moves to another provider they generally understand it's a headache....

On Value I upgrade my servers as often as I can if there is a better deal thats MORE POWERFUL, but same cost then i just put out an offer and let them decide if they would like me to migrate thier accounts for them.... seems to keep all of my clients happy when i do this... :)

kjawaid
04-28-2009, 05:41 PM
Well i have few hundred users only and sale shared hosting accounts, however my renewal ratio is 99% .. 1% is just if company closes its operations which is very rare case