Is it wise for a virtual host to lose profit and win customers?

Years ago the world www.72e.net with the help of other IDC business years ago Inertia syndrome Advantage, a change of traditional http://www.aliyun.com/zixun/aggregation/6524.html "> Sales model, the introduction of virtual host, e-mail to buy 2 years to send 1 years, buy 3 years to send 2 years, buy 5 years to send 5 years of bold measures, magnet-like absorption of a group of customers.

Years later, other IDC service providers, despite a slow step, but also realized that this year to buy years of virtual host sales model is very attractive, have grabbed the market. The new network also launched a host to buy 3 years to send 1 years. and other domestic top ten virtual Host service providers still do not see movement.

Industry experts believe that such a move is too ruthless, not the average small company can afford to play, because let off is profit, there may be even the cost of letting go out, this model is actually to spend money to buy customers.

Many people have questioned whether it would be wise to do so. In fact, we might as well spread out to analyze the pros and cons of this approach can be known

Lee Department:

1, to ensure that 100% of the continued rate, reduce risk! At present, the industry for a variety of reasons, the continued rate issue has become the most headache IDC service providers, the user one-time purchase for many years, the merchant one-time can be collected for many years of costs, in fact, to avoid the back of the customer does not renew the risk, in fact, continued to increase the rate.

2, effective access to quality users, general purchase for many years the user is basically very stable consumption, but also intends to long-term development and promotion of the site's customers, if the late service, this batch of customers will become IDC service providers the most loyal generation of speakers, viscous very strong

3, effective reduction of after-sale costs, one-time purchase for many years users can reduce the number of sales, such as the expiration of the product renewal notice, and good service, later users will be a one-time renewal for many years.

4, can get Word-of-mouth spread, bring free Word-of-mouth marketing, if these users use well, with friends around the recommendation, it will be said, this is my use of a certain service provider space, and one-time purchase for many years, will naturally increase the trust degree.

Disadvantages:

1, low profits, or even no profits, years of delivery, is actually reduced the virtual host one-year price, to the current service providers of single-year pricing, in fact, is unprofitable.

2, a one-time after the cost of collection, the next few years of poor performance support, only new development, which for small enterprises to maintain a steady increase in turnover has a certain degree of difficulty.

3, continuing unprofitable, small business capital turnover difficulties, not conducive to the operation, unless there are other business will return profits, otherwise it is easy to fall into mismanagement.

To sum up: Years of purchase, in fact, is not suitable for all IDC enterprises, especially not suitable for a number of single sales model, a single product model of the small IDC enterprises, and for the large IDC service providers have product line rich services providers, is indeed a good sales model, experts believe that Domestic can afford to play the service provider is not many, the new network, million nets of course no problem, to remove these two established businesses, but also can not afford to play, linkage world, the Western Digital products such as the rich variety of enterprises, or have the potential to play, although they do not make money in space, there are other additional products can be pulled back profits. and strengthen the user's stickiness can also pull other product consumption, although it is to buy customers, but this batch of customer follow-up development potential is very strong, upfront is unprofitable, but the late true value unlimited.