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Thread: Buying Clients

  1. #1
    Join Date
    Aug 2002
    Location
    Canada
    Posts
    377

    Exclamation Buying Clients

    I've begun to realize how many web hosting companies there are... I originally started in web design but I was always mesmerized by this web hosting "industry."

    So one of the issues on mind right now is whether it's more feasible to BUY web hosting clients (who will then provide my company with recurring income) or simply put all of my efforts into advertising and competing head to head against everyone else...


    JP
    Last edited by johnder; 10-06-2002 at 07:28 PM.
    JP
    Justified Existence - my blog on blogging and writing for a living.

  2. #2
    if someone has tried both ways of customer acquisitions, it would be interesting to see the comparison between them, ie cost per customer, cost per unit of revenue.

    i know ive seen some threads offering to buy clients on these fora, speak up! =]

    cheers,
    paul
    * Rusko Enterprises LLC - Upgrade to 100% uptime today!
    * Premium NYC collocation and custom dedicated servers
    call 1-877-MY-RUSKO or paul [at] rusko.us

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  3. #3
    Join Date
    Jun 2002
    Location
    long beach
    Posts
    207
    We have purchased some clients locally to help our image where we are based at. The transfer went well we paid for a year of their revenue for each customer.

    I think their are a lot of companies that would like to sell their traffic we are always looking for them at the right price $$.

    I would start locally though these accounts will give you better word to mouth and sometimes they will let you put a link on their front page so more locals will see it.

    Good luck,

    Charles

  4. #4
    dwhs,

    would there not be a cheaper way to acquire local customers? ie flyers, posters etc.

    one full year of revenue? sounds a little risky to me because of the possible churn. but as they say where i come from: 'the one who does not risk, will never drink champagne' =]

    good luck,
    paul
    * Rusko Enterprises LLC - Upgrade to 100% uptime today!
    * Premium NYC collocation and custom dedicated servers
    call 1-877-MY-RUSKO or paul [at] rusko.us

    dedicated servers, collocation, load balanced and high availability clusters

  5. #5
    Jus wondering how much per customer are pple selling?
    avverage? estimation?

    thx

  6. #6
    Join Date
    Oct 2002
    Location
    Central NJ
    Posts
    214
    I can't see how buying them would be any easier, though I could see how it would be more costly. After all you will be buying them from another host, so you are paying someone for a client and then not really making your money back right away, what if this client decides that they can find less costly hosting elsewhere after you have bought the account, then you are out the money from them continueing to be a recurring customer.

    I decided to concentrate on a niche, I am sure I have just as much competition but you don't see to many adultsite hosts out their, and lots of hosts don't accept adult sites. So I have parlayed that into my niche. I would rather have adult site clients than regular ones. So I have been concentrating my adverts in that area, and mostly rely on word of mouth from my clients who pass along that I offer good hosting and support, that is the best way to get more customers as far as I am concerned. It is slower to spread, but it works well. And has kept my client base growing steadily.
    David White
    Owner/Operator
    http://www.liftnw8.com
    Is Your Host Weak?

  7. #7
    Join Date
    Oct 2002
    Location
    Hershey, PA
    Posts
    287
    I would think that advertising for customers would be a better way to start out. If you absolultely can't cut it that way, then buying them would not be a bad idea. However, you should try to build a stable base of new customers before shelling out big bucks for people that already have hosting. I may be wrong, im new at this.....
    IQ Studio
    www.IQStudio.net
    Sales@IQStudio.net
    Create.Design.Innovate

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