I firmly believe that customers nowadays, the real ones, do not look for cheap hosting packages, they just need a solid home to found their ventures online. Instead of lowering the monthly hosting price tags, which may sometimes seem rather odd, try offering better, more solid web hosting products to your clients who will turn into loyal customers in the future, think long term and work on uptime.
If you sell a hosting shared hosting product for twenty dollars a month but works like a charm for companies, many of them spending thousands on their monthly advertising campaigns, you will manage to establish a brand, or a solid memorable name among them, and they will spread the word about your business soon. Offering hosting for cents is like shouting to everyone not to buy services.