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  1. #1
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    Getting new Client - Price or Features?

    The hosting market seems to be saturated with lot of hosts offering plenty of dedicated features. Also the price for the hosting services has their set of the competition around. I am wonder how new reseller of say VPS and Dedicated hosting is competing in the market. And how they are acquiring new clients? Do they compete on the features ? Or do they compete on the prices? And which works the best in general? Though If I were to be owning such company I'd compete on the features and then price. What's your observation how new client acquisition works in hosting market?

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    If starting from nothing no amount of features or marketing will help you. Everyone is already offering packages with unlimited everything for under $5 a month.

    A lot of pricing from many providers does not add up to profitability but they do it anyway just to get a sale, that's how saturated a competitive this industry is.

    Client acquisition for us comes from existing customer recommendations which are around 60% of all new sign ups.

    Getting new clients is all about reputation, no amount of low prices of features will help as everyone else does the same.

    Customer service and building a good trusted name is the only way to succeed in the hosting business these days imo.
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    I'd say more than anything, there is a random mixture of efforts in all categories, when it comes to new-client acquisition. I feel a healthy mixture of effort, salesmanship, SEO, marketing efforts, quality of service, and connection to the client are all equally responsible 99% of the time...

    Never listen to anyone who claims to have the secret to new-client acquisition, as that is someone who has a lot of frustration and reality ahead of them.
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    In order to get new clients you have to be competitive in both price and features, or any other aspect that influences costumers decision to buy a service. It's not easy buy with hard work you can gradually get there, remember don't focus on just 1 aspect and neglect others .
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    I am saying this based on my experience as a customer. Price and features both are important. However, client compares price vis a viz features. For example, when I chose shared hosting, I also compared what features I was getting for the price. I paid $1 for one month hosting and I got 1 GB bandwith and 20 GB diskspace. If I was paying $3 I would have consider more bandwith and more diskspace.

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    Quote Originally Posted by vinaya View Post
    I am saying this based on my experience as a customer. Price and features both are important. However, client compares price vis a viz features. For example, when I chose shared hosting, I also compared what features I was getting for the price. I paid $1 for one month hosting and I got 1 GB bandwith and 20 GB diskspace. If I was paying $3 I would have consider more bandwith and more diskspace.
    Thanks in such case do you compare the hosting price and features with established companies? Or do you compare the price and features with the hosting that has similar prices and features? Reason I am asking is because when many small host set their prices, they want to get clients who can choose on the basis of prices and features. Their focus is usually on retention. So that's one thing I wanted to know.

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    I really dont know..because a lot of client want the moon (i dont know if exist this example in english) in very cheap.

    Other think it's too low cost not trust about service...

    the reality say everything want what money can buy
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    Quote Originally Posted by ServerOutlet View Post
    I really dont know..because a lot of client want the moon (i dont know if exist this example in english) in very cheap.

    Other think it's too low cost not trust about service...

    the reality say everything want what money can buy

    That seems to be issue with almost every product in any industry. You price it too low and people don't consider value of it. Some do consider value but those are the customers who can't pay at first place. Too high price and you'd have to justify the price. And very few set of the people can pay for your products. So it all comes down pricing it right. That's why I wanted to discuss this topic and learn from others.

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    I think anyone has the solution...only try to do your best and try to create your market in what you believe
    CaygriWEB VPS | VPS Cloud | VPS KVM | Storage VPS | VPS Managed | Dedicated Server Managed&Unmanaged | Custom Server

  12. #10
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    Quote Originally Posted by CaygriWEB View Post
    I think anyone has the solution...only try to do your best and try to create your market in what you believe
    No, I don't think building the business based on what you trust is right and doing according to your personal option, it has to depend on what clients needs and you need to know which is trending now like this question is asking about pricing or features, which one your client will want when deciding to buy your hosting plans.

  13. #11
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    I think I don't translate good! Xd

    Of course improve features but need your public who needs your product
    CaygriWEB VPS | VPS Cloud | VPS KVM | Storage VPS | VPS Managed | Dedicated Server Managed&Unmanaged | Custom Server

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    According to me, a reseller hosting package is a win-win solution for both the reseller and the parent host. Let's you imagine a while; a large hosting company have millions of customers with different kinds of problems. Most o large web hosting companies have more than one million customers, means there would be millions of hosting problems too. Can you imagine how a large hosting company handles the support for those millions of users? It's impossible for them to deliver a quick support to each o their problems.

    So, a reseller hosting package is a chance for web-savvy people who are eager in marketing to offer quick support to their customers. I, myself prefer to purchase a hosting package from a reseller hosting as it's a more quick support. However, before deciding to buy a hosting package from a reseller, one should learn how the reseller serves the customers first.

    Briefly, a reseller hosting plan is a strategy of a large hosting company to market their web hosting plans by taking the advantage of the resellers and minimizing the human resources to provide the support for their customers. Most of the resellers can handle the support without bothering the parent company. So, offering quick support to the customers would be an opportunity for every reseller to complete the other web hosting companies. Besides that, you may also offer a specific service, such as "We help a newbie to build a beautiful website, plus free 100 quality backlinks!" So, you can charge them even more!!! But make sure you head straight for your promises.

    You can search on Google about any large web hosting reviews regarding hosting support, most of them are disappointed in the late support. A reseller hosting package is a tantalizing, yet if you really understand how to market a web hosting.
    Last edited by Januar; 07-26-2017 at 04:35 PM.

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    To start a white label reseller program seems to be the way to go.
    Large companies often outsource the support level 1 and 2 elsewhere, exemple https://bobcares.com/
    I believe most new comers are individuals selling ( or overselling ) hosting as part-time activity. Before you mae a living of that, you will have to struggle for clientes.

  16. #14
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    Quote Originally Posted by overcast View Post
    The hosting market seems to be saturated with lot of hosts offering plenty of dedicated features. Also the price for the hosting services has their set of the competition around. I am wonder how new reseller of say VPS and Dedicated hosting is competing in the market. And how they are acquiring new clients? Do they compete on the features ? Or do they compete on the prices? And which works the best in general? Though If I were to be owning such company I'd compete on the features and then price. What's your observation how new client acquisition works in hosting market?
    Features and price are both factors which are considered by the new clients. The features must be amazingly different from the others. It should work in a unique way that people will be attracted and be opted to buy. On the other hand, your price will matter too. A cheaper value will be highly regarded by your new prospects who will later on decide to purchase your offer.

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