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Since we've just past the holiday seasons a few days ago, I thought it would be great to discuss how hosting companies goes through during this time period. It's the holidays and every company is trying to benefit off of it and same goes for hosting companies. Hosting companies don't only try to benefit off of the holiday seasons in the winter seasons but all throughout the year.

A huge promotion that I've seen in the past that a hosting company had done throughout a holiday would be the One Love promotion which was hosted by Surpass Hosting and lasted 26 days! There are plenty of others but this had to be the most shocking one for me. You could of literally purchased any shared hosting plan for only $1 a year. I'm pretty sure they've attained many new customers through that promotion and was a great marketing strategy to gain more exposure as it was talked about all over blogs and websites. Who would've thought that a hosting company would run a promotion for Valentines Day and have it that successful?

With every promotion in any business model, there will arise some good and bad sides of it. Listed below will be some advantages and disadvantages of running a promotion as the one Surpass Hosting had hosted. It's mainly based on hosting companies rather than all businesses in general.

Advantages:

1. A massive increase in the amount of hosted websites you host. With the more customers you, as the owner, can benefit from receiving a lot more word of mouth traffic. If you haven't already knew, word of mouth traffic is the probably the best traffic that you would ever want to get. Who do you think your future customers would want to hear about your service from, you or your current customers?
2. Strengthen or weakened your brand! With all that in thought, you really have all the potential to strengthen or weaken your brand. In most cases, you will always be working to strengthen your brand and by doing this, you have more people talking about you. You can easily weaken your brand by providing the promotion to your new customers and not providing the best support possible.
3. Clients receives the best discounts possible! It's all for your customers to take a huge benefit with and save a lot of money. That extra cash that they saved from hosting can go to promoting their website and building it. Everyone loves saving money!

Disadvantages:

1. Something that you can expect in this type of promotion is the amount of users that will spam and trash your servers. You're providing a service that if one person messes up, then it affects everyone else or you can say everyone that's hosted in that server. One person can literally crash your server so you would have to prepare for that. Customers aren't too happy when their sites are down at all either.
2. A loss in a lot of money by giving it all away to your clients and loosing money at the same time but you can always benefit from this in the near future. You will loose tons at first but benefit at the end. Consider that all the money loss is money that you spent for promoting the hosting website. This sort of promotion is a lot more effective than placing the same amount of money in banner ads all over thousands of websites. The news of your discounts will be spread among the visitors.
3. You got so many new clients and they benefited off the discount and got a year of cheap hosting. Now after that year is over, you can guarantee that not 100% or even probably 50% of them will not renew their plan even though you provided the best service but you definitely will keep a few customers.

The hosting business is quite hard to get noticed and it's strategies like these that helps you get noticed. Next time you think of starting your own hosting company or business than consider these advantages and disadvantages to your use. You can always make it happen but just know that you're going to a very difficult avenue that can be an instant failure or an instant success.

If you have a website it means you have a host too. If you don't have a host that means you don't have a website. Two major option available for web hosting are shared and dedicated hosting.

Website that uses dedicated hosting has a server for it site. Full server resources to a website besides a shared host is split amongst more customers.

Servers are simply computers that been set to respond to data request from the Internet. Each server has an Internet Protocol address (IP) i.e. 10.10.1.100

Shared Hosting
One server is shared with many websites and resources are also shared with all accounts on that server. All sites sharing same disk space, bandwidth and IP address of that server. Host limit each site to a specified amount of disk space and bandwidth to be used by per user per month and also limit to not to use more server resources. Site that exceed their limit may temporarily closed down for that month.


Dedicated Hosting
With this type of a server, all resources of the server, as well as the IP address, are unique to that website that uses that server and you can use as you want. You can host as many site as you want. All bandwidth is yours, you can use as much disk space you needed for your sites.

Big websites that receives lot of traffic really need a dedicated server. Hosting big website on shared hosting is not good thing. Your will be slow and sometimes your hosting company that giving you shared hosting will also advise you to move your site to a dedicated server. As full resources is yours so you can run any script you want.

On shared accounts you are not allowed to run all type of scripts. They don't allow scripts that use lot of server resources.


The main different between them is their cost. Shared hosting is more cheaper then dedicated server. You can get shared hosting account as low as 1$ per month while dedicated account can cost more them 75$ per month.

There is a very big risk in shared account. As there is more then 1 account in same server if other user run a script that goes bad, the server could be affected. In some conditions your site could down for a while. If your member do somethings wrong with search engines like using proxy and other things. SE bans server IP address so your site on that server that will be also banned from SEs.

How To Choose Between Them
Small companies with small sites are better with shared accounts. The cost is very low. Make sure to choose a host with good reputation who protect your site from other that could put your site at risk.

Large site needs dedicated server. Its also good for developers and researchers who test new technologies.