How to sell hosting?

vip-ip · 09-13-2005, 04:38 AM

Let's say you have a $90 server, and you sell $8/mo. packages. That's $96, subtract PayPal fees, etc, and you have around 1 month's worth of payment from that person in a year.

Question: is it easier to find 12 people in 1 month to pay you $8 so that the server pays for itself, 24 people in 1 month to pay $4/mo or 1 person to pay $100 for the whole year up front?

BurninDragon08 · 09-13-2005, 03:22 PM

Not to be mean but, you shouldn't sell web hosting with a $90 server.

vip-ip · 09-13-2005, 04:12 PM

Originally Posted by BurninDragon08

Not to be mean but, you should sell web hosting with a $90 server.

That doesn't make sense, taht's what I said above

Jako · 09-13-2005, 05:11 PM

I think he means you shouldn't, just guessing because he said "not to be mean."

But anyways, it not about how much the server costs, it how you run and manage it. Just starting your first month in the hosting industry will be hard to even get 12 people at a few bucks a month. I suggest slowly getting customers here and there. You may loose money at first, but with good support, word of mouth will work wonders. Wish you the best of luck

CenixHOST · 09-14-2005, 01:31 AM

$8/mo = how much spaces and bandwidth? If more than 1GB spaces, you'll loose the money.

"Question: is it easier to find 12 people in 1 month to pay you $8 so that the server pays for itself"

It'll be easier if you have 24/7 support and word of mouth etc.

vip-ip · 09-14-2005, 04:28 AM

Originally Posted by CenixHOST

$8/mo = how much spaces and bandwidth? If more than 1GB spaces, you'll loose the money.
????: NamePros.com http://www.namepros.com/web-hosting-discussion/123356-how-to-sell-hosting.html

"Question: is it easier to find 12 people in 1 month to pay you $8 so that the server pays for itself"

It'll be easier if you have 24/7 support and word of mouth etc.

At $8/mo with 1GB space that's an 80Gb server sold out for $640 which isn't bad. Bandwidth-wise? At 1TB per month allowed by the server, 12.5GB per account. Round it up to 12GB to make up for any overusage, and there you have it

PolurNET · 09-14-2005, 12:27 PM

Which datacenter, vasiliy?

vip-ip · 09-14-2005, 12:38 PM

I'm just wondering

135791 · 09-14-2005, 01:07 PM

its best to plan a head, learn what your getting into first, also note that with so many hosting companys out there and so many kiddie hosts doing stupid deals its ahrd to get customers these days, id stick to a reseller if i was you and get a few customers then maybe move up to a dedicated

do you even no how to run a dedicated server??

bfrizz · 09-14-2005, 01:28 PM

The reseller plan is the smarter way to go. Get some experience and build a small base before doing a leap. Expertise and skill will eventually drive more people to you than ridiculously low prices that you'll not be able to sustain.

If this is your profession, you can't get by on $50 profit a year.

jmweb · 09-14-2005, 03:22 PM

Originally Posted by bfrizz

The reseller plan is the smarter way to go. Get some experience and build a small base before doing a leap. Expertise and skill will eventually drive more people to you than ridiculously low prices that you'll not be able to sustain.

Well Said!

Veolus · 09-14-2005, 11:31 PM

It's pointless to start out with a dedicated server because you don't know if you will even get enough clients to keep paying off your server. Your better off buying a reseller and gradually upgrading

135791 · 09-15-2005, 01:50 PM

i have 3 reseller plans currently and plan on moving to a large VPS, then one day a dedicated

walk before you can run

slantednet · 09-15-2005, 02:18 PM

"How to sell hosting?" - Simple, sell service. When you sell service, the hosting will sell itself.

And you're already on the wrong foot if your calculating how many packages you can sell into your XX GB's of hdd and XX GB's of transfer. To provide good service you need to balance based on avg CPU loads... Storage and bandwidth are secondary.

You can fit 100's of clients on a box when all or 99% of those clients are utilizing little/no CPU and they'll pretty much all get responsive service. However, get a few heavy hitters on there and you've just ruined the service for all clients on that box.

If you're going to start with one box, make sure you watch the accounts you put on there, and know when to start selling into another box, even if your jumping off your first box with a monthly loss (i.e. oversold to heavy hitters, not enough account income to cover cost of lease). Otherwise, you'll get branded as crap before you ever get off the ground.
????: NamePros.com http://www.namepros.com/showthread.php?t=123356

There's more to hosting than just throwing up a box and gaining accounts, you have to be a sysadm and maintain a reasonable system load. Too low, and the box is underutilized, you're losing money. Too high, and the service will suffer.

Good luck with your venture,
Mike

135791 · 09-15-2005, 02:24 PM

well said ^^

whm wont do everything for you

Veolus · 09-16-2005, 05:31 PM

Originally Posted by 135791

walk before you can run

nice one!

Amano · 09-17-2005, 12:16 PM

You shouldn't have bought it before knowing what to do...

vip-ip · 09-17-2005, 02:10 PM

Originally Posted by Amano

You shouldn't have bought it before knowing what to do...

I haven't ...

09-13-2005, 04:38 AM	THREAD STARTER #1 (permalink)
vip-ip Account Suspended Join Date: Jan 2005 Location: root@localhost Posts: 4,011	How to sell hosting? Let's say you have a $90 server, and you sell $8/mo. packages. That's $96, subtract PayPal fees, etc, and you have around 1 month's worth of payment from that person in a year. Question: is it easier to find 12 people in 1 month to pay you $8 so that the server pays for itself, 24 people in 1 month to pay $4/mo or 1 person to pay $100 for the whole year up front?

09-13-2005, 03:22 PM	#2 (permalink)
BurninDragon08 NamePros Regular Join Date: Sep 2005 Location: Renton Posts: 510	Not to be mean but, you shouldn't sell web hosting with a $90 server. Last edited by BurninDragon08; 09-16-2005 at 06:37 PM.

09-13-2005, 05:11 PM	#4 (permalink)
Jako NamePros Regular Join Date: Jul 2005 Location: Michigan Posts: 445	I think he means you shouldn't, just guessing because he said "not to be mean." But anyways, it not about how much the server costs, it how you run and manage it. Just starting your first month in the hosting industry will be hard to even get 12 people at a few bucks a month. I suggest slowly getting customers here and there. You may loose money at first, but with good support, word of mouth will work wonders. Wish you the best of luck __________________ Soccer Surfer \| Top 10 Soccer Players

09-14-2005, 01:31 AM	#5 (permalink)
CenixHOST NamePros Regular Join Date: Mar 2005 Location: Australia Posts: 251	$8/mo = how much spaces and bandwidth? If more than 1GB spaces, you'll loose the money. "Question: is it easier to find 12 people in 1 month to pay you $8 so that the server pays for itself" It'll be easier if you have 24/7 support and word of mouth etc. __________________ ▌TRIBOLIS.COM : Linux Shared & Reseller Web Hosting Solutions : Since 2004 └ PHP 5 \| WHM/cPanel \| 24x7 Support Now \| Daily Backups! ▌WeLoveCSS.com â€¢ XHTML & CSS Forum for everyone! â€¢

09-15-2005, 02:18 PM	#14 (permalink)
slantednet NamePros Regular Join Date: Aug 2005 Posts: 214	"How to sell hosting?" - Simple, sell service. When you sell service, the hosting will sell itself. And you're already on the wrong foot if your calculating how many packages you can sell into your XX GB's of hdd and XX GB's of transfer. To provide good service you need to balance based on avg CPU loads... Storage and bandwidth are secondary. You can fit 100's of clients on a box when all or 99% of those clients are utilizing little/no CPU and they'll pretty much all get responsive service. However, get a few heavy hitters on there and you've just ruined the service for all clients on that box. If you're going to start with one box, make sure you watch the accounts you put on there, and know when to start selling into another box, even if your jumping off your first box with a monthly loss (i.e. oversold to heavy hitters, not enough account income to cover cost of lease). Otherwise, you'll get branded as crap before you ever get off the ground. ????: NamePros.com http://www.namepros.com/showthread.php?t=123356 There's more to hosting than just throwing up a box and gaining accounts, you have to be a sysadm and maintain a reasonable system load. Too low, and the box is underutilized, you're losing money. Too high, and the service will suffer. Good luck with your venture, Mike __________________ OnlineGames.net

09-14-2005, 12:27 PM	#7 (permalink)
PolurNET Senior Member Join Date: Jul 2004 Location: I ♥ Business Law Posts: 3,082	Which datacenter, vasiliy?

09-14-2005, 12:38 PM	THREAD STARTER #8 (permalink)
vip-ip Account Suspended Join Date: Jan 2005 Location: root@localhost Posts: 4,011	I'm just wondering

09-14-2005, 01:07 PM	#9 (permalink)
135791 Account Closed Join Date: Sep 2005 Posts: 202	its best to plan a head, learn what your getting into first, also note that with so many hosting companys out there and so many kiddie hosts doing stupid deals its ahrd to get customers these days, id stick to a reseller if i was you and get a few customers then maybe move up to a dedicated do you even no how to run a dedicated server??

09-14-2005, 01:28 PM	#10 (permalink)
bfrizz NamePros Member Join Date: Sep 2005 Posts: 40	The reseller plan is the smarter way to go. Get some experience and build a small base before doing a leap. Expertise and skill will eventually drive more people to you than ridiculously low prices that you'll not be able to sustain. If this is your profession, you can't get by on $50 profit a year.

09-14-2005, 11:31 PM	#12 (permalink)
Veolus Account Closed Join Date: Dec 2004 Location: Australia Posts: 4,308	It's pointless to start out with a dedicated server because you don't know if you will even get enough clients to keep paying off your server. Your better off buying a reseller and gradually upgrading

09-15-2005, 01:50 PM	#13 (permalink)
135791 Account Closed Join Date: Sep 2005 Posts: 202	i have 3 reseller plans currently and plan on moving to a large VPS, then one day a dedicated walk before you can run

09-15-2005, 02:24 PM	#15 (permalink)
135791 Account Closed Join Date: Sep 2005 Posts: 202	well said ^^ whm wont do everything for you

09-17-2005, 12:16 PM	#17 (permalink)
Amano NamePros Member Join Date: Sep 2005 Posts: 174	You shouldn't have bought it before knowing what to do...

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