Is Budget Hosting Going to Last

“Is Budget Hosting Going to Last?”

What will be the longevity of budget hosting companies?  Will companies like GoDaddy, HostMySite, Hostway, and 34sp have the staying power of larger hosting company solution providers? 

Will the budget hosting companies show that they have what it takes in the long haul to remain competitive and provide quality service at a low price?

In an October 2009 article titled “Budget Hosting and Longevity” and featured on HostingNews.com, Derek Vaughan states that while some companies have been successful with budget hosting, many other companies have failed.  He states the reason for the success of some companies was the result of several factors:

• Initial use of traditional advertising venues such as TV, magazines, and search engine marketing.

• The utilization of leased servers that offered inexpensive dedicated servers.

• Quality customer service and professional support.  This level of quality has been an important factor, especially in the early years when the customer service of other companies was poor.

• The development of areas of expertise.  For example, HostMySite.com has gained expertise in several areas, including VPS and dedicated server hosting; continued development of onsite service centers, and Adobe ColdFusion platforms.

• The upgrading of servers.  For example, 34sp.com upgraded servers from Cobalt RaQ servers they initially used to the Quad core systems they use today.

The factors mentioned above have proved in the phenomenal success and longevity of several budget hosting companies:

• GoDaddy.com has been in operation for over 11 years and currently has 30.9 million domains under its management. 

• HostMySite.com currently has a longevity of 11 years, boasts 250 employees, and manages 65,000 websites.

• Hostway.com has served its customers for 10 years, hosts 400,000 domains, and provides service to such notable companies as Sony Music, JVC, Coca Cola, and McGraw-Hill.

• 34sp.com has been in operation for over 8 years and has expanded its role in VPS hosting in Europe. 

In closing, budget hosting companies, following guidelines and factors mentioned above, can prove to be a valuable and cost-effective means of growing your company through the services they provide.