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Thread: Price vs Uptime

  1. #1
    Join Date
    Mar 2002
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    Price vs Uptime

    I was looking further into making my own webhosting company, but I wanted to find out which of thse customers cared more about.

    Consider the following...

    $10 for 8gbs of bandwidth on a multihomed 100% uptime guarantee

    -or-

    $10 for 10gbs of bandwidth on a single homed connection

    1. Which do you prefer?
    2. Which do you think most others will prefer?
    3. Any other comments?

  2. #2
    Join Date
    Nov 2000
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    IMHO, i don't think you can maintain your network, hardware, equipment to guarantee 100% uptime at such price. Even Rackspace can't guarantee 100% uptime (and Rackspace is not cheap).

    But if I were to choose, I will choose the fewer GB with higher uptime.

  3. #3
    Join Date
    Mar 2002
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    36
    Well, not quite a 100% uptime guarantee, but a guarantee that even if we are being attacked that we will continue to get your website across the internet.

  4. #4
    Join Date
    Apr 2001
    Location
    St. Louis, MO
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    We charge $3.00-$5.00/GB for a 100% network uptime SLA'ed network and that is pretty inexpensive compared to others.
    Mike @ Xiolink.com
    http://www.xiolink.com 1-877-4-XIOLINK
    Advanced Managed Microsoft Hosting
    "Your data... always within reach"

  5. #5
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    Mar 2002
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    So charging $1.50 per GB would be pretty good?

  6. #6
    Join Date
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    Originally posted by Seph
    Well, not quite a 100% uptime guarantee, but a guarantee that even if we are being attacked that we will continue to get your website across the internet.
    How if your server fails? What kind of fail-over mechanism do you have to prevent your client sites go down even if your server fails? Or what happened if your DNS server goes down? Do you maintain DNS servers on different servers and different network? What about if your switch fails? Are you sure there is no single point of failure to deliver 100% uptime? When a host talks about uptime guarantee, it's not just network uptime but also hardware/servers, software, and equipments uptime ...

    My point, I won't believe (or will have a hard time believing) in a host delivering 99.9% uptime and charge $10 for 8GB of bandwith ... If you are serious to deliver that uptime, increase your price by at least 3 times ...

    just my two cents

  7. #7
    Join Date
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    Minneapolis
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    Maybe their just talking about network uptime.
    Dot Simple LLC
    aim: johna11en | yah: johna11en | msn: [email protected] | e-mail

  8. #8
    Join Date
    Jul 2001
    Posts
    889
    people care about price when they are buying and uptime when you have the unexpected outage.

  9. #9
    Obviously, I don't buy web hosting since I work at a hosting company, but if I were to buy web hosting today, here is how that decision would be made:

    1. How much money will I make from the web site needing the hosting service? $0 to $500 a month, I'd probably go buy some $10 a month account somewhere that has all the features I "need." Higher than that, I'd seriously start looking at not only SLA's, but whether that SLA is just a compensation agreement or does it actually mean that there is going to be great up time.

    2. If up time was important, I wouldn't take the sales person's word for it. I'd check in forums like this (use the search function) to see how many people whine about that company. That process is prone to error, however, because the more customers a company has, the more bitchy people are going to be whining about it no matter how great the company is. To mitigate that, I'd ask the sales person how many customers and/or domains the company hosts and compare that to the number of complaints (ratio of complaints to active customers or domains) to get a better picture.


    I'm a very educated user of web hosting, however, and am far from the average buyer of hosting.

    Our experience is that people buy based on price and reconsider that decision later if there is down time.

    When you think about it, it makes perfect sense for people to behave that way. If they've had (or heard) no bad experiences with a company, they have no first hand basis upon which to reject a low price offer. So, they sign up.

    Of course, then if the company sucks, they come to this board and whine about it. That is often the case, but not all low price offers equate to down time. That depends on a huge number of factors that only a few companies are able to master, but some do.
    Sincerely,
    Andrew Kinney
    CTO, Advantagecom Networks
    http://www.SimplyWebHosting.com

  10. #10
    Join Date
    Nov 2001
    Location
    California
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    1,991
    I wouldn't chose either... The prices are way too low. If you expect 100% or near uptime, you need to pay a little more. Look at furtureqwest. Their prices aren't cheap, but their servers have 100% uptime... In the end, you get what you pay for.

  11. #11
    Well I agree with IamDave. it took us almost 2 years to be close to 98.9% everyone has to start somewhere. try to balance it best you can. I am not sure if you are Reselling or trying to build a datacenter. asuming you are trying to build a datacenter, Try to get a few Cheap T1's From your local ISP. it is usally Great Quality as they have Teir1 and most Dial in Providers have Really Good Upstream Data transfer(their business is all downstream). when buying Servers the GOLDEN RULE is make sure the E-mail servers are ROCK SOLID the fastest way to piss off a customer is to have the e-mail be shaky.
    Don't Stack Tons of Sites on one or 2 boxes Stager them buy mid range boxes Not Compaq. always remeber your Quality is in your uptime. ***** has downtime all the time and they pay GOB loads for hardware. if you have to Cram a lot of sites on one box, then make sure they are you low end accounts.

    that is my 3 cents worth

    sam

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