A discussion this community needs to have.

[peeVpee]

Hi everyone, I am the brand owner of peach hosting (an RX Group LLC brand), you probably know us for our cheap price, and with all the $1/GB host around I was thinking of something.

We are creating a problem ourselves, and that problem is these awfully cheap prices, obviously clients love cheap prices, As an example, we offered budget hosted at $0.50/GB and premium at $1.25/GB the premium was twice as fast as budget, the difference in sells was 50 to 1 in favor of budget.

And you see, this isn't good for this community, at these budgets host, we are all barely breaking even just to provide the community with affordable services, but does it need to be that dirt cheap to where we barely break even?

I don't think so, I believe if every one of us hosting providers in the community keep lowering prices (price matching etc) we will simply kill the community, and it is kinda creating a society where everyone expects these awfully cheap prices, honestly $1/GB and below, is way actually way to cheap, and something somewhere, is making it that cheap, whether it be bad specs, or over allocation, either way, it's not good.

I think we need to change the community mindset, so we don't kill this community because right now we are killing it at this current state, we are.

How can we fix this? should we all raise our prices, to try and stop the community from getting saturated by all the $1/gb host?

If you have any better ideas, please comment.

I wan't everyones opinion on this, because us budget host can't deny this is an issue.

 

[1337]

Hi everyone, I am the brand owner of peach hosting (an RX Group LLC brand), you probably know us for our cheap price, and with all the $1/GB host around I was thinking of something.

We are creating a problem ourselves, and that problem is these awfully cheap prices, obviously clients love cheap prices, As an example, we offered budget hosted at $0.50/GB and premium at $1.25/GB the premium was twice as fast as budget, the difference in sells was 50 to 1 in favor of budget.

And you see, this isn't good for this community, at these budgets host, we are all barely breaking even just to provide the community with affordable services, but does it need to be that dirt cheap to where we barely break even?

I don't think so, I believe if every one of us hosting providers in the community keep lowering prices (price matching etc) we will simply kill the community, and it is kinda creating a society where everyone expects these awfully cheap prices, honestly $1/GB and below, is way actually way to cheap, and something somewhere, is making it that cheap, whether is be bad specs, or over allocation, either way, it's not good.

I think we need to change the community mindset, so we don't kill this community because right now we are killing it at this current state, we are.

How can we fix this? should we all raise our prices, to try and stop the community from getting saturated by all the $1/gb host?

If you have any better ideas, please comment.

I wan't everyones opinion on this, because us budget host can't deny this is an issue.

If some honorable budget hosts agree to this, that won't stop the influx of flash hosts selling at 30c a gigabyte just for the sake of underselling you. I do wish you luck in this endeavor and hope this works out.

 

[peeVpee]

If some honorable budget hosts agree to this, that won't stop the influx of flash hosts selling at 30c a gigabyte just for the sake of underselling you. I do wish you luck in this endeavor and hope this works out.

I appreciate the kind words, I'm glad someone agrees.

 

[Focus.]

In favour of the clients, we settle for whatever price we can achieve. "If it's cheap and it works, it's great" - that is what we hear from them, and that is the feedback we always receive. Certain providers have gone as low as $0.15/GB and still make a massive profit, due to clients constantly migrating from host-to-host. Just two years ago, we had no reliable $1/GB Hosting providers. Just last year, we had a shift from clients going for $1/GB to $0.50/GB, and today, from $0.50/GB to $0.15/GB. We settle for what is the cheapest option available, as long as it works. We do not often check the specifications of the nodes we are offered or the amount of storage we receive. Another unnamed hosting provider is selling "$4.99 for 32GB RAM + Unmetered Storage" Servers, which seem to be selling fast. I am not here to make negative accusations against budget hosting providers, but there is no visible way to prevent clients from purchasing them.

 

[Nitrogen]

What's funny to me is as a consumer, I don't buy anything at the rate of $1/GB. You know why? Quality. Whenever I do certain things, I make sure I do them right. I think what each company has to look at is what the end client wants. I'm supportive of having two tiers of service but some companies are deceptive with their practices.

 

[peeVpee]

What's funny to me is as a consumer, I don't buy anything at the rate of $1/GB. You know why? Quality. Whenever I do certain things, I make sure I do them right. I think what each company has to look at is what the end client wants. I'm supportive of having two tiers of service but some companies are deceptive with their practices.

I understand that, and I agree, at peach host we have as good quality as host more than twice our price, but that's the issue, is we are creating a community that expects the best specs for a pathetic cost.

 

[Huhhoo]

In favour of the clients, we settle for whatever price we can achieve. "If it's cheap and it works, it's great" - that is what we hear from them, and that is the feedback we always receive. Certain providers have gone as low as $0.15/GB and still make a massive profit, due to clients constantly migrating from host-to-host. Just two years ago, we had no reliable $1/GB Hosting providers. Just last year, we had a shift from clients going for $1/GB to $0.50/GB, and today, from $0.50/GB to $0.15/GB. We settle for what is the cheapest option available, as long as it works. We do not often check the specifications of the nodes we are offered or the amount of storage we receive. Another unnamed hosting provider is selling "$4.99 for 32GB RAM + Unmetered Storage" Servers, which seem to be selling fast. I am not here to make negative accusations against budget hosting providers, but there is no visible way to prevent clients from purchasing them.

Boy XD, get out of here. Ain't nobody making a massive profit off of 15 cents.

 

[Focus.]

Boy XD, get out of here. Ain't nobody making a massive profit off of 15 cents.

Huhhoo is the type of client who proves my exact point.

 

[Huhhoo]

Let's all go back to $5 a GB [DOUBLEPOST=1521953261][/DOUBLEPOST]So we can start paying the sales reps actual livable wages!

 

[peeVpee]

Let's all go back to $5 a GB [DOUBLEPOST=1521953261][/DOUBLEPOST]So we can start paying the sales reps actual livable wages!

I completely agree actually. maybe $2.50 though

 

[Focus.]

Let's all go back to $5 a GB [DOUBLEPOST=1521953261][/DOUBLEPOST]So we can start paying the sales reps actual livable wages!

Heh heh, nice fantasy you have there :tup: - Sales Reps are never paid at budget service providers. I wish as well. There was once a time where $14/GB was the most popular price, and sales reps were paid by the hour.

 

[peeVpee]

Heh heh, nice fantasy you have there :tup: - Sales Reps are never paid at budget service providers. I wish as well. There was once a time where $14/GB was the most popular price, and sales reps were paid by the hour.

If we got $14/GB we could pay sales reps easily a living wage, that's my point proven, no one needs to work slave wages.

 

[DylanH]

Like Fox said, there's no reasonable way we can collectively stop summer/kiddie hosts from starting up and undercutting all the people trying to make something legit out of this. I think the best thing we can try and do is educate the consumers somehow. There are a LOT of expenses that kiddie hosts don't take into account and thus either fail or end up running an illegal+unethical operation. Unfortunately a lot of times the members (especially younger members) of this community don't know what goes into operating a business and running their servers smoothly and so they don't think $0.50/GB is unreasonable. Can't blame them too much really, they're young and don't have very much money. It just always ends shitty for them which sucks because they loose trust in the legit hosts.

I think it's awesome you recognize this issue with the community. If you ever figure something out I'm sure I'd be willing to back you along with a bunch of other people in this community. :tup:

 

[Huhhoo]

Huhhoo is the type of client who proves my exact point.

First of all, don't call me a client. That pisses me off. I don't pay anyone for MC hosting.
and secondly, there's a reason my McProHosting makes $500,000+ a year and pays everyone livable wages.[DOUBLEPOST=1521953654][/DOUBLEPOST]

Like Fox said, there's no reasonable way we can collectively stop summer/kiddie hosts from starting up and undercutting all the people trying to make something legit out of this. I think the best thing we can try and do is educate the consumers somehow. There are a LOT of expenses that kiddie hosts don't take into account and thus either fail or end up running an illegal+unethical operation. Unfortunately a lot of times the members (especially younger members) of this community don't know what goes into operating a business and running their servers smoothly and so they don't think $0.50/GB is unreasonable. Can't blame them too much really, they're young and don't have very much money. It just always ends shitty for them which sucks because they loose trust in the legit hosts.

I think it's awesome you recognize this issue with the community. If you ever figure something out I'm sure I'd be willing to back you along with a bunch of other people in this community. :tup:

The real solution is drop MCM all together and switch to a forum that can regulate what hosts post. That's the real solution here.

 

[peeVpee]

Like Fox said, there's no reasonable way we can collectively stop summer/kiddie hosts from starting up and undercutting all the people trying to make something legit out of this. I think the best thing we can try and do is educate the consumers somehow. There are a LOT of expenses that kiddie hosts don't take into account and thus either fail or end up running an illegal+unethical operation. Unfortunately a lot of times the members (especially younger members) of this community don't know what goes into operating a business and running their servers smoothly and so they don't think $0.50/GB is unreasonable. Can't blame them too much really, they're young and don't have very much money. It just always ends shitty for them which sucks because they loose trust in the legit hosts.

I think it's awesome you recognize this issue with the community. If you ever figure something out I'm sure I'd be willing to back you along with a bunch of other people in this community. :tup:

I agree with you completely, and appreciate the kind words.

Sadly, alot of big host *some very often on mcm* run these illegal operations, aka not being registered, and not paying taxes, and it hurts us trying to be legitimate, so kiddie host aren't even the only problem.

 

[peeVpee]

lol creating a hosting provider cabal on minecraft market this is going to be interesting

Haha, we'll see.

 

[Huhhoo]

I agree with you completely, and appreciate the kind words.

Sadly, alot of big host *some very often on mcm* run these illegal operations, aka not being registered, and not paying taxes, and it hurts us trying to be legitimate, so kiddie host aren't even the only problem.

It's not illegal to not be registered... And you don't have to claim taxes until you reach a certain income.

 

[peeVpee]

Huhhoo is the type of client who proves my exact point.

No one is profiting off $0.15/GB he is right.[DOUBLEPOST=1521954362][/DOUBLEPOST]

It's not illegal to not be registered... And you don't have to claim taxes until you reach a certain income.

Last I checked, in most places, to run a business, especially making $5K+ monthly (some host with 10+ nodes aren't registered) is illegal.

 

[Gatto]

I remember when $10/GB was the standard price.