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Pricing... why... how... BAH

shizzle

shizzle

WOw I have a title
NLC
I was reading the Web Hosting Requests forum at WHT and something caught my eye... People are requesting dedicated servers for prices much less than ANYONE will be able to afford as a host, and hosts are actually giving them this. Of course, small hosts, not big ones. Now... I would never trust these prices, however I see that people probably do as they post requests requesting 2Ghz servers with 1GB RAM, 500GB BW, and much more for $120/m. This is total crap. This is an EXTREME example. There are less extreme ones, but I still don't think those hosts will last. How can they offer such immensely low prices? I cant help but think they wont be around long. I would advise people not to use them... any ideas?
 
Everyone said that when UCG was offering 1.6ghz Celeron with 512MB ram and 100gb transfer for $49 a month. They're still around.

Specials do exist in the world...
 
My personnal oppinion on sucg stuff is that the host gives the guy the webspace he wants, lets say 100gb, but rather then a 2gb ram with p4 2.6, he gives a used p3 500 with 256ram.

The customer will never visit the host center anyway to verify...
 
That is a poor practice that can ruin a host's reputation.

but I'm sure it happens.

I think that they are banking on the fact that most customers will not use their full alloted bandwidth
 
Originally posted by Wojtek
My personnal oppinion on sucg stuff is that the host gives the guy the webspace he wants, lets say 100gb, but rather then a 2gb ram with p4 2.6, he gives a used p3 500 with 256ram.

The customer will never visit the host center anyway to verify...
Click to expand...

You don't need to visit the NOC to verify the information, you can verify the information via the Internet with some simple scripts that tell you the specs of the system.

I was reading the Web Hosting Requests forum at WHT and something caught my eye... People are requesting dedicated servers for prices much less than ANYONE will be able to afford as a host, and hosts are actually giving them this. Of course, small hosts, not big ones. Now... I would never trust these prices, however I see that people probably do as they post requests requesting 2Ghz servers with 1GB RAM, 500GB BW, and much more for $120/m. This is total crap. This is an EXTREME example. There are less extreme ones, but I still don't think those hosts will last. How can they offer such immensely low prices? I cant help but think they wont be around long. I would advise people not to use them... any ideas?
Click to expand...

I don't understand what's wrong here? RS offers 400GB-500GB for $99/mo. To build a computer (server) is cheap now a days. a 2Ghz Intel server with 1GB of ram and a 60GB hard drive is about $500 dollars. Purchase parts in bulk and you have a nice deal.
 
I see this normal, nothing special about it. This is a very competitive market, sometimes you just give away a little bit in order to sustain in the market.

Most people are always complaining "small host" while at the same time the so-called "big host" does the same thing.
 
I find the "Requests" section for customers to be even more unbelievable at WHT. Hosts tend to offer stupendous amounts for bandwidth at measly prices.

Dedicated Server prices are low at RackShack, but so is the support. We have dealt with many providers and have to admit that we the best support/DC/configuration usually sets us back by around 200$ a month.

We have used top notch datacenters including the world renowned FOONET. Have to admit, quality comes at a price and so does support.

It is for the customer to choose.
 
Originally posted by NW-Allwin
I find the "Requests" section for customers to be even more unbelievable at WHT. Hosts tend to offer stupendous amounts for bandwidth at measly prices.

Dedicated Server prices are low at RackShack, but so is the support. We have dealt with many providers and have to admit that we the best support/DC/configuration usually sets us back by around 200$ a month.

We have used top notch datacenters including the world renowned FOONET. Have to admit, quality comes at a price and so does support.

It is for the customer to choose.
Click to expand...

Now that I agree on.

But some hosts have no idea of prices.

I've seen some hosts (even on this forum) offer a tremendous amount of space (500mb) and bandwidth (10GB) for $2.95/monthly.

Sure they are getting many signups, but with price comes support. $2.95 minus CC fees or Paypal Interest and leaves the host with less than lunch money.

Remember, the honey may be sweet, but the sting is nasty.
 
Hello Robert,

Support and Reliability always win. Yes, it takes time to build up a customer list who thinks like you do, but when it happens, you can rest assured they will stand by you.

I by no means want folks who pay $2.95/month on my servers. What if they run to a new provider who charges $2.94/month :D

Work hard, charge right and provide the best hosting experience to your clients. I am sure they'll tell others and allow your business to grow in due course
 
Originally posted by Robert

I don't understand what's wrong here? RS offers 400GB-500GB for $99/mo. To build a computer (server) is cheap now a days. a 2Ghz Intel server with 1GB of ram and a 60GB hard drive is about $500 dollars. Purchase parts in bulk and you have a nice deal.
Click to expand...
That's what I was wondering. If Rackshack offers dedicated servers (of questionable quality, but dedicated servers, nonetheless) for a hundred bucks a month, what is so surprising about people asking for dedicated servers of $120/month? :confused:
 
As many of these hosts are finding out, the people who pay more are much less of a problem. The lower class people who want everything in the world for $2.95 per month are also your biggest complainers and think they are paying a huge amount of money. In their minds, it seems that gives them the right to make your life miserable over every detail.

Those who have a little more money tend to understand that you get what you pay for. They also tend to be less problematic and actually read documentation available on your site before emailing you.

Another thing is that these hosts selling way too much for too little are going way out on a limb to gain customers. Unfortunately, if they ever have any major problems, that host will probably have to shut it's doors. Our primary dns server was hacked and ruined one time. Between the normal monthly bill, onsite tech costs, and lost clients and damages (refunds for downtime).....we paid out over $9,000 that month for only one server. Can most of these other hosts handle that? Not unless they are making good profit and have the money saved up to get thru any major issues.

So I dont concern myself with the $1.95/month hosts, nor do I try to compete with them. They are bringing on their own headaches with clients from the bottom of the barrel, and they rarely last. I also dont want any clients like that. They can eat fast food at least twice a day, but cant pay $5/month for decent hosting :rolleyes:
 
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