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  1. #1
    Join Date
    May 2002
    Posts
    200

    High-end pricing?

    I am not representing a hosting company at this point, I am just curious to get something straight. Is there really a market for high-end hosts? I know FutureQuest has succeeded. But will people pay $20 /month for 100 meg space and 5 gig bandwidth if the service is great? I am talking SCSI drives with RAID 1, including Tier 1 bandwidth.

  2. #2
    Join Date
    Mar 2002
    Location
    Chesterton, IN
    Posts
    792

    Re: High-end pricing?

    Originally posted by Derek
    I am not representing a hosting company at this point, I am just curious to get something straight. Is there really a market for high-end hosts? I know FutureQuest has succeeded. But will people pay $20 /month for 100 meg space and 5 gig bandwidth if the service is great? I am talking SCSI drives with RAID 1, including Tier 1 bandwidth.
    Yes, but it will take some time for your business to get reputable enough to do so. You will need to provide more than top quality services to charge such prices. However, there are already plenty of good hosts that are very reliable and high quality who charge much lower prices. I don't know how you would fair with those companies. In my opinion, the market has sort of died down for high-end pricing. With all of these web hosting companies competing with each other and prospects looking for the cheapest prices, it will be hard to become a real competitor in the industry.
    Matt De Leon
    GreekComm - http://www.greekcomm.com/
    Online Community for Greek Fraternities and Sororities.

  3. #3
    Join Date
    May 2002
    Posts
    200
    So, although there is no market for high-end, one coming into the business should go with mid-prices? Does that mean stick with Tier 1 but leave SCSI?

  4. #4
    Join Date
    Mar 2002
    Location
    Chesterton, IN
    Posts
    792
    Originally posted by Derek
    So, although there is no market for high-end, one coming into the business should go with mid-prices? Does that mean stick with Tier 1 but leave SCSI?
    Well, I wouldn't say there is no market for high-end pricing, just I wouldn't try to storm into the competition with $20+ prices for a not-so-large site. I would start with mid-prices with mediocre hardware and network providors, and then as you build your reputation, increase price + hardware quality + network providors. This would just be how I would go around doing it. I'm sure there are many other ideas.
    Matt De Leon
    GreekComm - http://www.greekcomm.com/
    Online Community for Greek Fraternities and Sororities.

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