Setup Fee or No Setup Fee?

[kylespringer]

I have been debating a setup fee, I finally did one for 9.95. I figured it would be a good way to weed out people whose CC's will just get declined next month. But I can't tell if it's hurting or doing better, or if the past 2 weeks in hosting have been below average. Anyone got any input on this?

 

[cats-computing]

Offer a setup fee in return for a lower monthly price perhaps?

 

[imported_Nick]

I used to do a $1 setup fee on all my hosting packages, but got rid of it. Why? Even at $1 people complain about it. Servers I have to charge setup fees (because I get charged them)

 

[PlexiHosting]

I sell shared hosting and other services, so no reseller/dedicated. With the number of people bending over backwards to GIVE things away for shared hosting (well I do too but I mean free months, etc), I wouldn't be able to compete or deal with the complaints about it.

 

[AlexF]

Well I can only speak from experience, so...
...never had them and I don't think we will start..

 

[imported_sam]

Everyone is giving FREE setups these days, better off without it.

 

[imported_Nick]

I've tried both. Personally, I believe in their first month they ask for more support than the months following, so the setup fee is warranted. But, nobody likes paying it

 

[Paladin]

I agree with Nick...the first couple of weeks after an account is activated will likely make for more support then the rest of their stay combined. But...no one wants to pay it.

 

[Gayble]

Nobody likes to pay setup fees.

 

[Sachiel]

If you are a professional web user, and want a good web hosting on your own projects, probably you dont matter setup costs. Because, if you want professional service, you have to pay for it. However in this aggressive industry environment, companies working with setup fees are finding themselves one step back. But I personally believe, one day users will realize the truth : QUALITY, QUALITY and again QUALITY

 

[eleven]

Hundereds of QUALITY web hosts offer great service and a free setup, IMO setup fees are not a good thing to offer.

 

[dotcomguy]

Yeah, setup fees can not give guarantees for qualities. It is all old stuff, mostly came from old traditional methods.

 

[SSX/Bruzen]

I use to have a setup fee only because, we really had to setup the accounts. but, since the new billing system we have now (WHMCS), it automatically creates the account, so theres no reason for it at all.

Now for dedicated servers, and sometimes resellers, there should be setup fees. (maybe not resellers)

 

[kiz9999]

don't offer a set up fee. i never purchase from a site that offers a set up fee.

 

[imported_Gareth]

Definetely no setup fee, it will lose potential customers.

 

[SSX/Bruzen]

Yea, setup fee is really bad, you will get alot less customers. Its only good for free accounts.

 

[marker]

Every customer thinks that set up fees are waste of money. So it is better not to charge them for setup. If you still want to charge them for some setup fee, show it like free and instead add the setup fee amount to the monthly / yearly bills.

 

[TheBrigade]

Now days, setup fees get frowned upon. Essentially, everything is about the customer, you're selling the services to the customer, taking the customers money, and without the customer you will not succeed, so in conclusion, no setup fee because they are frowned upon.

 

[imported_ThinkSupport]

Setup fee ...forget it as now a days its something which all hosting companys add as "free setup" no way you can get business with setup fee.

 

[celador]

I've never charged a set up fee, since it doesn't cost me anything. I hate going with companies who charge them, since you're not getting anything for it.