Internet Web Hosting Support - Why are we so cheap?

Why are our prices so low?

"Standard pricing" levels is normally determined by the big companies in a specific industry because it's their expensive advertisements what are seen by the general public. (It cost millions to put up these big billboards along the road and broadcast TV advertisements. Who pay for it?)

This "pricing model" is obviously structured to cover these company�s expensive infrastructure such as marketing campaigns, labour costs, top class buildings, director salaries and a huge profit for shareholers.

When they then advertise their products or services on a "reduced" basis, or advertise it as the "best" and "cheapest", it relates to themselves and is by far not the best pricing which can be offered in the specific industry.

Cheap does also not always equal low quality and the major reason why you pay more for a specific well-know brand product is rather related to the astrominious amount spend on marketing to establish such brand name than to the product itself.

For Example: How can domain REGISTRATION be of low or high quality?

Domain registration is domain registration and in most cases all the companies, big or small, use precise the same registration process to register the domain at precise the same domain registrar. But, despite this, we for example charge only R220 for international domain names while a big and well-known SA company charge R1014 for international domain name registration.

The same occur with web hosting and we can provide web hosting at nearly the same servers, same hosting farm environment and same infrastructure for only R199.00 setup and R99.00 per month while a big company charge R969.00 setup and R655.00 per month.

The speed and quality is the same or even better, the support is perhaps also far better and the hosting functionality is definitifely much better. Our package include 100mb webspace and 1500mb data transfer versus 80mn webspace and 150mb data transfer. (after the 150mb data transfer you pay them extra per mb)

Above comparisation is for our local, high speed servers. With our international servers the saving is even bigger but the speed is unfortunately much slower.

Despite above eye-opening comparisation this big corporation have thousands and thousands more clients that believe they pay for "quality" web hosting and don't mind the extreme high prices.

Website development

With regards to website development the same apply as above but with some additional factors.

You can create your own websites yourself or purchase a website template, program or script and then just further fine-tune it to suit your needs. This is far more easy and cheaper than you think and you can really obtain a high-tech and professional looking website for say between R400 to R1500.

Website design on the other hand are done by professional developers that will build your website according your specific needs. This can cost easily from R5000 up to R30 000 and are more related to the creativeness and uniqueness behind the website than anything else. With the thousands and thousands web templates and program script available this would normally only suit somebody with really specific and unique needs.

Website development in it's real meaning, is the programming of script that handles the various tasks needed to be done on the website. In this regard we refer to specialised shopping cards, customer relations software or complex database handling requirements. There is also thousands and thousands of pre-made scripts available that can be customised for your own needs but require a bit of programming knowledge.

Conclusion

Before I started the web hosting company two years ago I was quoted R3800 for the hosting of only ONE of my websites. Totay, even as client, we can host all 100 websites for less than R5 000 per month. Huge difference isn't it?

The websites cost us an awerage of R300 - R500 each so about R40 000 for all the websites. If we were to use a website designer to do our websites at an awerage of R5 000 each the total would be R500 000 plus.