Quote:
Originally Posted by KlenTelaris
Actually,i found it weird how dedicated server customers are more important for certain companies,when i was talking with ditlev,ceo of uk2group(100tb and other crap),he said how he more preffer shared customers beacuse then he make more money.But yes managing shared customer is much heavier then dedicated.
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That depends on how you decide to manage your resources.
I find that most companies who prefer the virtual/shared environment for running their web hosting business simply do not factor in true costs of support in regards to handling those clients. It will typically take additional support staff to handled 400 shared/virtual clients then it would for 400 dedicated servers. At least if you want to provide the same level of support in regards to response and resolution times.
Furthermore, it comes down to your business model. With a shared environment, depending on the box, you could make $600-1200+ on that single box in profit. Versus $100-300.00 (depending on the company) for a single dedicated, one client, server.
The point being, you need less staff for one over the other, which will cost more, and eat away your "profits" of virtual clients. There are a lot of other factors that go into either one of these business models, as nothing is completely clear cut as a few paragraphs on a message board.
