
03-20-2008, 02:34 PM
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Junior Guru Wannabe
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Join Date: Jun 2005
Posts: 32
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Depreciating Hosting Prices = Trouble?
Web hosting can be purchased now for $.50/month, $6.00/year... when does hosting completely lose its' value?
Does it bother some, that my 10 year old brother makes more selling a cup of lemonade in the summer than some do by selling a web hosting account? You spend hours setting up your server, installing software, setting up automated billing systems, while he mixes water and artificially flavored lemon powder in minutes, and profits instantly.
...He doesn't even offer 24/7x365 phone support, FAQ's, or trouble tickets!!
How about the fact that he makes three times as much ((in a week)) than some of these hosting companies do in a year?
Maybe lemonade is just where it's at...
Don't get me wrong, my brother is very smart, and business savvy... BUT... when do we call it quits with these ridiculously low prices? When does it become more trouble than what it's worth?
__________________
Cole Winans - CEO/Founder
Syneticus, Inc.
www.Syneticus.com
"Hosting Services at Their Finest!"
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03-20-2008, 02:37 PM
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Web Hosting Evangelist
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Join Date: Feb 2008
Location: Scranton, PA
Posts: 549
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The hosting business is very competitive and will always be this way. This is probably one of the cheapest types of businesses in the world to open ($300-400).
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03-20-2008, 03:06 PM
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Web Hosting Master
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Join Date: Nov 2007
Location: New Jersey, USA
Posts: 3,022
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First they say prices are too high now they say prices are too low. What do you guys want!!  Just kidding. Well everyone is looking to attract costumers so they will do anything.
- Daniel 
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03-20-2008, 03:10 PM
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Web Hosting Master
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Join Date: Jun 2007
Posts: 573
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The turnover rate in this industry is quite high, many hosts that startup during summer break are done by Christmas vacation.
Despite the downward price trend, we've increased our pricing to provide a better service...it's all about finding the right niche.
__________________
:•: iMountain.com Solar Powered Hosting - Same location for 20 years
:•: Clustered, HSphere, Webhosting, VPS, Dedicated and Luxury clusters
:•: Specializing in Database clustering and optimization for vBulletin, Joomla and Wordpress sites.
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03-20-2008, 03:16 PM
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Heaven is a Beach and a Girl
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Join Date: Jan 2004
Posts: 1,183
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Quote:
Originally Posted by Sentric
Web hosting can be purchased now for $.50/month, $6.00/year... when does hosting completely lose its' value?
Does it bother some, that my 10 year old brother makes more selling a cup of lemonade in the summer than some do by selling a web hosting account? You spend hours setting up your server, installing software, setting up automated billing systems, while he mixes water and artificially flavored lemon powder in minutes, and profits instantly.
...He doesn't even offer 24/7x365 phone support, FAQ's, or trouble tickets!!
How about the fact that he makes three times as much ((in a week)) than some of these hosting companies do in a year?
Maybe lemonade is just where it's at...
Don't get me wrong, my brother is very smart, and business savvy... BUT... when do we call it quits with these ridiculously low prices? When does it become more trouble than what it's worth?
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I too was thinking in goin into the "farm" biz, the people in the world are getting too damme ungly to deal with (to say the least).
I was looking at tv other day and saw that a guy had a small grape farm that was worth US$40Mi.
And I said ****! This guy life most be real hard....!!!
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03-20-2008, 03:30 PM
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Disabled
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Join Date: Jul 2005
Location: Buffalo, NY
Posts: 2,626
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Quote:
Originally Posted by imountain
Despite the downward price trend, we've increased our pricing to provide a better service...it's all about finding the right niche.
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Ditto. Not everyone has decreased their prices and not every customer is looking for the same service. This is a huge industry and I believe the customer will always have a choice.
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03-20-2008, 03:33 PM
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Web Hosting Evangelist
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Join Date: Mar 2004
Posts: 458
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Those type of host that offer that amount usually don't last. Like others said, it's all about your niche.
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03-20-2008, 03:53 PM
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The Geek is coming
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Join Date: Aug 2004
Location: Toronto
Posts: 7,103
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One day web hosting will be free, and I will have the first data center on the moon 
__________________
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03-20-2008, 03:54 PM
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Is our children learning?
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Join Date: Aug 2003
Location: Chicago, IL USA
Posts: 2,496
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How would you know how much a hosting company makes in a year unless they disclose their earnings?
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03-20-2008, 03:58 PM
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Web Hosting Guru
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Join Date: Dec 2007
Posts: 271
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Quote:
Originally Posted by WN-Ali
One day web hosting will be free, and I will have the first data center on the moon 
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Put me on the mailing list. I want my site hosted from the moon.
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03-20-2008, 04:58 PM
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Junior Guru
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Join Date: Mar 2002
Location: Atlanta
Posts: 180
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Quote:
Originally Posted by WN-Ali
One day web hosting will be free...
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Yes, and it will be called Geocities.
Quote:
Originally Posted by WN-Ali
...and I will have the first data center on the moon 
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Not a bad idea actually. If I remember my astronomy correctly, the dark-side of the moon is always dark, and on the light-side of the moon there is always light.
This would be a great place for those "green hosts" to set up 100% solar powered data centers. As an added bonus - no clouds.
On the other hand, I would imagine the server response lag time would be a bitch.
__________________
~ But that's just my opinion, I could be wrong...
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03-20-2008, 06:34 PM
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Web Host Extraordinaire!!!
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Join Date: Dec 2007
Location: Indianapolis, Indiana USA
Posts: 14,316
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Quote:
Originally Posted by tjthayer
On the other hand, I would imagine the server response lag time would be a bitch.
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Inter-planetary optical transmissions... Fibre optics without the fibre... Radio waves would take a while, but if it were lasers or some form of light, and you got good reception it wouldn't take long 
__________________
█ Michael Denney - MDDHosting, LLC - Professional Hosting Solutions
█ LiteSpeed Powered - Shared, Reseller, Semi-Dedicated, and VPS
█ For high-end shared accounts ideal for business, check out our Semi-Dedicated offerings!
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03-21-2008, 02:47 AM
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Junior Guru Wannabe
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Join Date: Jun 2005
Posts: 32
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Haha, great posts... I really have to agree with imountain... we've pretty much done the same thing. You just have to do something to give yourself a bit of an edge, and find a niche. Maybe we can't say our prices are the lowest... but we can certainly take great pride in their value... with customer support/hardware/software as our focus, we price our services accordingly.
I just thought it was a little humorous to see some of the wild prices today, and wanted to see what everyone else thought... I'm not alone 
__________________
Cole Winans - CEO/Founder
Syneticus, Inc.
www.Syneticus.com
"Hosting Services at Their Finest!"
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