More Profits in Your Website Hosting Business

by: Raynay Valles

If you run a website hosting business, you already know the challenges in the business. Thousands of competitors are just a click away, ready to undercut your price.

Potential customers see hosting as a commoditiy and shop by price. Several directories like Hostreview, Acehosts and Hostindex make it easy to comparison shop.

How can you get more profits from your business under these conditions?

FIRST, GET THE CUSTOMER

Calculate the lifetime value of your customer. For example, let's say the average customer stays with you for 15 months and pays 16.95 a month. That means their lifetime value to your company is $254.25. So every customer you acquire makes your business (on average) $254.25.