Hello,

Do you think its better to offer web hosting accounts monthly or yearly or both ? Because i was thinking if you offer yearly you get the the payment in one go then thats it for a year. But then you have people who dont have much money and prefer paying monthly do you think you would get more custom if you offered both monthly or yearly packages.

Also do you think people are more likely to buy if you have more than one package. I have a hosting site and offer just one package, 250gb webspace, 2500gb webspace do you think i should try selling different packages and with monthly and yearly options ?

Would that work better ?

Does any body know which is best, thanks.

Does any body know which is best, thanks.

No. I can only share what I have seen. For a semi-annual prepay the discount is about equal to one month. For a yearly prepay the discount is 2 months on average and a few discount it 3 months. The quarterly discount is never more than the processing fees discounted.

If my mental pounds to $ conversion is correct your prices are about right for a yearly plan where you deliver what you promise. There will always be some one selling it for less for a short period of time.

Edit: both is a good option, but the monthly should be more.

When a person comes to buy hosting from a new company, he's likely to pay for a month, and when he's sure he'll stay there he may want to buy semi-annual or annual contract, but I also think you should have both and just see what works more for different categories of clients.

Originally Posted by Jeyce

When a person comes to buy hosting from a new company, he's likely to pay for a month, and when he's sure he'll stay there he may want to buy semi-annual or annual contract, but I also think you should have both and just see what works more for different categories of clients.

I fully agree with you. But yearly paymant mean discount.

You will want to get a discount, only if you're sure you want to stay. It's like buying some expensive cheese or sausage you haven't tried before, you buy a small piece just to try iot, and then if you like kilos.

Originally Posted by RNWEBHOSTING

Hello,

Do you think its better to offer web hosting accounts monthly or yearly or both ? Because i was thinking if you offer yearly you get the the payment in one go then thats it for a year. But then you have people who dont have much money and prefer paying monthly do you think you would get more custom if you offered both monthly or yearly packages.

Also do you think people are more likely to buy if you have more than one package. I have a hosting site and offer just one package, 250gb webspace, 2500gb webspace do you think i should try selling different packages and with monthly and yearly options ?

Would that work better ?

Does any body know which is best, thanks.

you must offer both.
1) monthly
2) yearly (with 10% discount for example when paid yearly)

hope this help

Use both payment methods; however, charge more to those clients who pay monthly and offer a discount to those who pay in advance. Sometimes there can be hesitancy to offer the option to pay in advance because of budget fears, but an important feature to any business is a yearly budget.

It's never to late to learn fiscal resonsiblity and this is one way to learn to do so.

Originally Posted by RNWEBHOSTING

Hello,

Do you think its better to offer web hosting accounts monthly or yearly or both ? Because i was thinking if you offer yearly you get the the payment in one go then thats it for a year. But then you have people who dont have much money and prefer paying monthly do you think you would get more custom if you offered both monthly or yearly packages.

Also do you think people are more likely to buy if you have more than one package. I have a hosting site and offer just one package, 250gb webspace, 2500gb webspace do you think i should try selling different packages and with monthly and yearly options ?

Would that work better ?

Does any body know which is best, thanks.

Number 1: selling such a package is never going to get you customers or a good name for your business. most servers dont even come with 250gb space and 2500gb bandwidth and your trying to sell off 1 package probably costing less than $20 per month

i suggest you choose to more suitable package that will attract protential customers.

eg:

1 Gb Space
10 Gb bandwidth
unlimited feature etc.

Number 2: i would never buy a hosting package yearly unless i had tested that compaines services for at least 3 or months. then i would consider buying the package yearly.

Number 3: i would suggest you create 3 or 4 packages maximum and no more. keep it mind that 95% off most websites never use more than 1Gb off space.

you can also offer 1Gb disk space addon so if a host out grows your top package he can purchase a addon. this way you can ensure your clients that you can offer more space or bandwidth when required.

you also need to work out your costs for creating packages as you need to ensure you will make profit every month.