Denver Data Center Colocation Blog

To be a successful web hosting provider presently and in the future, Jay Sudowski, CEO of Handy Networks, stresses the importance of selling higher margin services.

For SMBs to compete with their billion-dollar hosting rivals, they must differentiate their offerings and build value for their existing and new client base.

Today, pure web hosts are diminishing, and to survive in this relatively saturated market it’s about developing a list of professional services that add value to your clientele.

As a small web hosting provider, it becomes increasingly difficult to compete within the industry. The only way to rise to the top in this type of competitive environment is to add value in other ways.

This means that you must sit down, look at the numbers, and draft some new ideas for services, which will add value for your existing and potential clients.

As a web host, how do you add value to your client base?

Throughout the past decade, we have experienced major advancements in the technology industry; especially, in relation to the variety of software programs available to maintain strong client relationships and attract new clients and top talent.

Previously, finding clients was a relatively simple process. All you had to do was set up a website and use Google AdWords; that was a wrap! Of course marketing efforts have become more difficult and costly due to increased competition.

As mentioned on one of our recent webinars, most hosting related keywords on Google AdWords are well over $40 per click which makes the cost to acquire a client astronomical for web hosts.

Got your laundry list? As a web host, a number of items will be of prime importance when looking for a hosting service provider and platform for your business. You know what your own customers want when they choose your company to host their websites. Performance, reliability, security, and service are all must-haves, to be provided at a competitive price.

So, as a minimum, you’ll expect those things from a data center or any other entity providing you with system and networking infrastructure. They’re table stakes for doing business with you, but what more should you be looking for?

It can be tough to get out of a downward web hosting price spiral. Competitors offer more and more space at lower and lower prices. Customers urge you to do the same, with the unspoken threat of moving to other providers if you don’t comply.

Web hosting is a multifaceted business. Performance and cost are two factors that come readily to mind, but reliability and scalability are key aspects too.

Your web hosting business may be just starting, expanding, or already a recognized name in the industry, but there’s more to choosing between a physical or virtual web server than just the size of your enterprise.

Every end-customer dreams of the perfect website. They have visions of traffic, engagement, sales, market share, and other business benefits they hope to achieve. Web hosting is a vital part of making those dreams come true.

Customers often take perfect web hosting for granted, although they are quick to complain if the hosting services they use have problems in any of the following areas: 

Recently at HostingCon 2016 in New Orleans, our CEO Jay Sudowski was part of a panel discussion about threats to web hosting companies and how to handle those threats and the regulations that govern them.

The discussion was titled, “Five Immediate Threats to Your Business and How to Handle Them.”

Joining Jay on the panel were Dakota Graves, Community Manager for i2Coalition, Jane Shih, Assistant General Counsel for The Endurance International Group, Inc., and David Snead, General Counsel for cPanel.

Recently at HostingCon Global 2016 in New Orleans, Handy Networks CEO Jay Sudowski was on a panel moderated by Michele Neylon of Blacknight Internet Solutions, a web host based in Ireland. 

The topic was, “How To Build Relationships And Save Money With Better Abuse Reporting.” 

Abuse is something that violates terms of service which can include unsolicited email messages or SPAM, phishing, botnet command and control, malware, and IP infringement. Abuse also includes any other illegal content within the jurisdiction of the hosting company.