Is this price OK?

[asgsoft]

I am starting a web host company I want to know whether these prices are sensible and whether i will be able to attract customers.

Here they are:

50 MB - 0.75GB Bandwidth - 50 extras £0.99
75 MB - 1.125GB Bandwidth - 100 extras £1.99
150 MB - 2.25GB Bandwidth - unlimited extras £2.99

I will offer 20% discount if you sign up for a whole year.

If they aren't then what do you recommend

 

[NeoGen]

It seems slightly on higher side.

I would recommend you to drom 50 MB category, and may consider to have prices like

100 MB - 2GB Bandwidth - 100 extras £1.99
200 MB - 4GB Bandwidth - unlimited extras £2.99

My 2c

 

[Senad]

Prices depend on your business plan you have made for the company. Your pricing seems ok to me 1 GB bandwidth can be purchased lower than .30/GB at the current going price. Also selling .75 GB of bandwidth will eventually turn customers away. Usually keeping the space and banwidth ration at 100's, 250s, 500s, 1000s for bandwidth or 5,10,15,20,25,30 (by fives) for bandwidth makes it easier for customers to look at and even compare plans.

 

[hrishi11]

i personally think its a bit too high. I saw a person selling 100MB/2.5GB for 50NP (around 50 cents US)

 

[dev99]

Yep, agreed, slightly too high.

 

[asgsoft]

OK i have 5GB storage and 75GB bandwidth monthly. I will offer free hosting along side paid. I want to make some money out of it. What is the best thing i can do?

 

[hrishi11]

OK i have 5GB storage and 75GB bandwidth monthly. I will offer free hosting along side paid. I want to make some money out of it. What is the best thing i can do?

get a bigger account.

 

[asgsoft]

what seize is good?

 

[hrishi11]

As a reseller, you need a HUGE account. I'd say around 20-30GB diskspace and 1000GB bandwidth.

 

[asgsoft]

how much is thet per year?

 

[PolurNET]

As a reseller, you need a HUGE account. I'd say around 20-30GB diskspace and 1000GB bandwidth.

Not sure where you're getting that information. 5Gb/75gb is fine to start out as a reseller to host multiple domains. But don't start a 'company' out of it; just call it a webhosting offering, since a real company requires more than just an account to resell. We've got too many people thinking otherwise unfortunately.

 

[Senad]

Not sure where you're getting that information. 5Gb/75gb is fine to start out as a reseller to host multiple domains. But don't start a 'company' out of it; just call it a webhosting offering, since a real company requires more than just an account to resell. We've got too many people thinking otherwise unfortunately.

Nailed it right on the dot there polur. 3GB space 50GB bandwidth is more than enough as well. Most companies never even reach that amount of space/bandwidth (ocassional the ones that are successful do but by that time they move on to a VPS or their own dedicated servers). Be prepared to lose sleepless nights and answer support questions as much as possible (meaning a life will be your company until it grows more and more and additional staff are hired).

 

[asgsoft]

so how can make suitable packages for suitable prices

 

[inspiration100]

who to recommend? Polurnet.com - the dude who posted up 3 posts owns it. Good stuff.

 

[Senad]

so how can make suitable packages for suitable prices

Highly recommendable you view first have a business plan. Do you want to have more customers with a smaller profit margin (IE: oversell more) or less customers with a bigger profit margin?

The next step after that is comparing prices with your competition.

 

[PolurNET]

Thanks there, Senad for the comment before.

asgsoft, like Senad asked, who is your target audience? Is it your friends, or you're actually planning to undertake an advertising campaign? I can tell you from experience, these both have different demands, and even then you can't satisfy everyone. Offering packages too cheap may make people suspicious over the quality of service; too expensive, then you're not going to get any results. Try looking at the Webhosting offers section for other's posts and ads on their service offerings; you'll get a better idea perhaps on the demands and pricing people think are ideal.

Nevertheless, don't forget all the support and technical issues, so I suggest you start small and target your own local audience before jumping on an advertising campaign.

PS: thanks inspiration100

 

[vslevin]

As a reseller, you need a HUGE account. I'd say around 20-30GB diskspace and 1000GB bandwidth.

For that kind of bandwidth, you'd need a dedicated server, no reliable host would offer 1TB of bandwidth for a reseller.

 

[asgsoft]

I want to make some profit, not a few pennies but not thousands. I want to aim this to bussinesses who will stay for a year or so.

 

[Senad]

Yes but what is your target audience? Businesses? People hosting websites (IE. Blogs)? Spammers (yes some hosts specifically cater to Spammers)? Shoutcast? Kids? Adult websites? You also have to be very careful with spammers (I just had a client sign up and after 10 seconds after his account activation he uploaded a script and attempted to spam tisk tisk tisk).

I'd highly recommend you get a cheap reseller account and start your business off that way (that's how I began 5 years ago and that's probably how many others began as well...and now I eventually got my own servers as my client base grew/grows).

 

[asgsoft]

Well i want my target audiance to be bussinesses. I have the hosting space i mentioned above but i don't know what size packages to make and the prices. I need some advise from an expert someone like you with alot of experiance to explan to me.

 

[Senad]

Your hosting plans should be run based on what you think you will provide. Some hosts offer the standard 5 GB Bandwidth for $5 (1:1 price ration based on Bandwidth). Some offer lower prices by taking outlooks at future technology and current technology capabilities (for instance banwidth can be purchased under .30/GB now). Offering higher prices would definetly mean that a customer would expect the best in regards to uptime, support, replies to support question, phone support, etc...

Granted there are cheaper businesses that offer such services, but then again customers may expect less. I'd take a look around an find competitors and their pricing. Then from there you can probably build up better packages that you think will fit your business model the best (IE: increase or reduce space/bandwidth).

Most hosts at the begining will more than likely change their hosting plans around, if you do make sure you either keep or increase current customers plans based on what you offer.

 

[asgsoft]

Thanks for that, what do you think of these plans:

1- space 500MB
bandwidth 5GB
extras 100
price £4

2- space 750MB
bandwidth 12.5GB
extras unlimited
price £7


3- space 1000MB
bandwidth 15GB
extras unlimited
price £10

 

[Senad]

Those look exactly like something a small/medium business might be looking at purchasing . Reasonable and if you offer the quality good support you'll do just fine .


Good luck on your hosting venture! :D

 

[asgsoft]

well i will try to do so but are the prices ok i will offer technical support and also development help and also live support.

 

[Senad]

Yes the prices seem fine to me.