how do you calculate prices?

W

wise

New member
Ok - after being told that my prices are unrealistic and unsustainable because they were too HIGH, I thought I'd ask how other hosts calculate their prices?

IE Normally I work out server costs, addon costs (ie licenses, extras like rvskin, CE etc) to give a figure that needs to be covered. . . I then factor in tech time per server that may be needed so that there is always available resources.

Genrally this means my clients gets better support and more handholding if needed - but they do pay higher prices for it. I then try to give clients added extras for free that they love - like new webmail clients etc.

I don't compete in the $5 for 1GB/20GB reseller packages - so how do you guys figure pricing?
 
Remember back in the days you are paying 10 dollars per gig or even close to 20 for ONE GIG? Now the kiddies have come in turned that around 20 gigs for 1 dollar. If you are respectable, great tech support, great servers, etc.. You should be able to compete in the 500MB - 1 GB for $10-15 range. I still charge 20+ for domain names and 100 MB is Five dollars...
 
Wise,

You are probably doing the best thing. Overall set a base price on each resource that you have whether it is bundled or considered a single solution then set your margins on top of that. I learned early that competing with people that charge pennies for a dollar service is not the market I want to be in. There is always a buyer for your product, the support behind the product is what people are paying for. Keep up the good work and choose your clients wisely! :)
 
Its true you pay for what you get, And the cheapo deals are just really a non-starter, The support and all.
If your provding quality services asswell as support your pricing can reflect that. I couldnt really say how much per 100MB but im sure you can work something out that suits you. Just remember its your own market not all with fall for the 500GB bandwith for 10 dollar deals.
Regards
 
It all depends on where you market your services. When I had my first company in the mid 90's, most clients were local and I charged from 25-$50.00 per month formaybe 100-200 MB account. Even on the net those days were very good. I have found that even now, my local clients expect to pay more for good quality service and they can't believe that our prices are 5.95 to 39.95 for shared. Alot has changed but local clients who are not interested in finding a host online but would rather stay local are more then willing to pay a premium for top notch service. These are just my findings but I see alot of other hosts report the same thing. :cool:
 
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