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  1. #1
    Join Date
    Jun 2002
    Location
    houston, tx
    Posts
    544

    Are we selling ourselves too cheap or what?

    I just wanted to get everyone's opinion about pricing.

    I honestly believe most of us are charging too little for hosting (DON'T SHOOT ME FOR SAYING SO!)

    My lowest plan is $5.99/mo, it is not a bad plan - you can go to my site if you need details. This is not an advertisement, but after much consideration - I don't want to be in the $5.99/mo hosting market anymore.

    The volume required to produce quality numbers is hard to comprehend at $5.99/mo. It is even more mind boggling considering at $5.99/mo, I am rather EXPENSIVE compared to some of us on WHT! You think the numbers are rough at $5.99, try running them at $1.99/mo.

    I have had good success 'converting' or 'up-selling' these entry level customers, but even at that - I really think when I upgrade my site, and launch the re-design - it will close more deals at a HIGHER price, than what I can do now at a lower price.

    Another issue is the entry level customer is also the highest maintenance customer. My $39.99/mo customers, NEVER contact me about anything. The $5.99 customer won't leave me alone... Minor point, since I am small enough to accomadate everyone's problems now - but as I continue to grow rapidly, this is an issue.

    Does anyone else feel like the sub $10 market may not be worth all the effort? I am sure you will all gladly accept my sub $10 customers, right? just kidding....
    Joe - HostingWave.Com / TXINSURANCE.COM
    http://www.hostingwave.com
    SURGEON GENERAL'S WARNING: Smoking Causes Lung Cancer, Heart Disease, Emphysema, And May Complicate Pregnancy.

  2. #2
    Join Date
    Jun 2002
    Location
    Australia
    Posts
    455

    Re: Are we selling ourselves too cheap or what?

    Originally posted by intraweb
    IIt is even more mind boggling considering at $5.99/mo, I am rather EXPENSIVE compared to some of us on WHT! You think the numbers are rough at $5.99, try running them at $1.99/mo.
    They come fast, they go fast. You will not suceed selling at $2/month.

    Originally posted by intraweb
    My $39.99/mo customers, NEVER contact me about anything. The $5.99 customer won't leave me alone...
    *stats the obvious* Thats because $39.99/month clients know what they are doing.
    - Andy
    Free browser based game:
    http://www.critticage.com
    Play in your spare time!

  3. #3
    Join Date
    Aug 2002
    Location
    London, UK
    Posts
    9,037
    Agreed, our cheapest account is $6/month and this is the absolute lowest we would go. Still feels very low for the ammount of support some of these customers require.
    Matt Wallis
    United Communications Limited
    High Performance Shared & Reseller | Managed VPS Cloud | Managed Dedicated
    UK www.unitedhosting.co.uk | US www.unitedhosting.com | Since 1998.

  4. #4
    Join Date
    Jun 2002
    Location
    houston, tx
    Posts
    544
    I am curious why this thread got moved to 'related offers and requests'.

    I just wanted to let the moderators know, I wasn't trying to offer anything - this was meant to be a discussion thread - not an offer of any sort.
    Joe - HostingWave.Com / TXINSURANCE.COM
    http://www.hostingwave.com
    SURGEON GENERAL'S WARNING: Smoking Causes Lung Cancer, Heart Disease, Emphysema, And May Complicate Pregnancy.

  5. #5
    Join Date
    Aug 2002
    Location
    London, UK
    Posts
    9,037
    i dont see this as an offer or request either, should have been left alone
    Matt Wallis
    United Communications Limited
    High Performance Shared & Reseller | Managed VPS Cloud | Managed Dedicated
    UK www.unitedhosting.co.uk | US www.unitedhosting.com | Since 1998.

  6. #6
    Join Date
    Aug 2002
    Location
    Illinois
    Posts
    847
    Well, my lowest price is 1.99 for a 25 meg account and most want a domain so I charge 12.00, most of my customers know everything very well and I do little support, but I do have techs on call 24/7 just in case. I get a tech on call, or I do it myself, my tech staff is the best and anwser most calls within 5 minutes to 4 hours.

    -Max
    Max
    Web Hosting Talk Community Guide

  7. #7
    Join Date
    Mar 2002
    Location
    Orlando, FL
    Posts
    12,200
    Just give it away for free and ditch support
    Just kidding.

  8. #8
    Join Date
    Aug 2002
    Location
    London, UK
    Posts
    9,037
    Originally posted by maxhest
    Well, my lowest price is 1.99 for a 25 meg account and most want a domain so I charge 12.00, most of my customers know everything very well and I do little support, but I do have techs on call 24/7 just in case. I get a tech on call, or I do it myself, my tech staff is the best and anwser most calls within 5 minutes to 4 hours.

    -Max
    My point was.. that for a $24 a year account.. you are willing to give unlimited help/support to that person 24/7..

    some accounts are not economically worth providing.
    Matt Wallis
    United Communications Limited
    High Performance Shared & Reseller | Managed VPS Cloud | Managed Dedicated
    UK www.unitedhosting.co.uk | US www.unitedhosting.com | Since 1998.

  9. #9
    Join Date
    Jun 2002
    Location
    houston, tx
    Posts
    544
    I provide phone support, but may be phasing it out for accounts under $20. I can not afford to give the $5.99 customer 15 minutes of phone support per month = 3 hours per year... too expensive to justify.

    Maybe I will get a 900 number for support...
    See who calls then...

    Joe - HostingWave.Com / TXINSURANCE.COM
    http://www.hostingwave.com
    SURGEON GENERAL'S WARNING: Smoking Causes Lung Cancer, Heart Disease, Emphysema, And May Complicate Pregnancy.

  10. #10
    Join Date
    Mar 2002
    Location
    Orlando, FL
    Posts
    12,200
    If you can combine tech support and phone s3x that'd be the ultimate money maker

    "Hello...this is Katrina...I am all ready waiting for you, big boy. What would you like me to fix for you? Press 1 if you need your PERL upgraded...Mmmmm yeah...Press 2 for a live chat with Valerie and Samantha, our blonde twins...sooo good! Press 3 for consultation with Timmah, our network administrator...Or press 0 for a cold reboot"

  11. #11

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