Over the last year and a half, we’ve received a lot of requests to increase the maximum prices for many of our hosting solutions.
Initially, we were hesitant about implementing such changes, but after careful consideration, we determined this adjustment was necessary and beneficial.
Therefore, effective immediately, we have launched updated maximum price limits for you to configure.
What are the revised maximum retail prices?
Web Hosting Plans
- Starter – Max Price: $75.00 -> $83.00
- Corporate – Max Price: $205.00 -> $210.00
- Enterprise – Max Price: $255.00 -> $300.00
Semi-dedicated Servers
- Semi-dedicated 2 – Max Price: $60.00 -> $67.00
OpenVZ VPS plans
- OVZ 1 – Max Price: $6.50 -> $9.00
- OVZ 2 – Max Price: $13.00 -> $18.00
- OVZ 4 – Max Price: $21.00 -> $28.00
- OVZ 8 – Max Price: $48.00 -> $56.00
- OVZ 16 – Max Price: $84.00 -> $112.00
KVM plans
- KVM 1 – Max Price: $11.00 -> $12.00
- KVM 2 – Max Price: $23.00 -> $24.00
- KVM 4 – Max Price: $47.00 -> $48.00
- KVM 8 – Max Price: $95.00 -> $96.00
- KVM 16 – Max Price: $115.00 -> $192.00
- KVM 32 – Max Price: $210.00 -> $384.00
What led to increasing price caps?
We’ve received multiple tickets and feedback messages asking us to increase the maximum pricing limits to make it possible for you to charge potential clients more for the services.
We were initially skeptical, believing much higher prices would push away customers, but the opposite has been proven true.
Our analysis shows that while the majority of clients naturally gravitate toward less expensive options, certain customers actively prefer the premium price range.
So we have decided to give you, our partners, even more freedom in crafting optimal pricing for your specific market segments.
Balancing profit margins with market competitiveness
While higher profit margins are desirable, it’s crucial to balance them with market competitiveness. In our experience, finding this balance is key to long-term success.
Here are some considerations in this regard:
- Pricing strategy – ensure your prices are competitive while still allowing for healthy margins;
- Value proposition – clearly communicate the unique value your product or service offers to justify higher prices and margins;
- Market positioning – consider whether you want to compete on price or quality; premium positioning can allow for higher margins but may limit your market size;
- Customer perception – be aware of how pricing decisions affect customer perception of your brand;
- Competitor analysis – regularly monitor competitor pricing and offerings to ensure you remain competitive;
- Market trends – stay attuned to market trends that might affect pricing power in your industry.
Remember, the goal is sustainable profitability.
Sometimes, accepting slightly lower margins to maintain market share or fuel growth can be the right strategic decision.