Making a reseller's service offering sticky
Deploying "sticky" services is a main goal of any Web hosting reseller. By
attempting to build services that are extremely useful and captivating to
the consumer, resellers can increase their customer retention rate.
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Unfortunately, due to the large number of competitors within the SME hosting
segment, many resellers find that their percentage of customer churn is
high. With many other hosting companies and resellers offering basic
hosting services at "bargain basement" prices, most typical firms will only
retain 80 per cent of their clientele over the course of a fiscal year.
Most of these customers will be lost to competitors who offer a better or
cheaper roster of service.
Resellers can combat high levels of customer churn by providing their
clientele with services that impart a tremendous amount of added value.
Value in the form of time and cost savings are highly appreciated by Web
hosting customers and encourage them to "stick" with a hosting service
provider due to their added functionality. Some customers will even pay a
premium in order to obtain and retain the extra services a reseller
provides.
One of the most popular "sticky services" that Web host resellers offer is
online Web page authoring tools. Larger Web host reseller operations will
obtain and integrate private-label Web site publishing tools into their
hosting offerings to help their customers create professional sites.
An extremely popular selection for larger service providers is the Trellix
Hosting Platform. The Trellix platform allows service providers to offer
small businesses and individuals a suite of tools that lets them easily
create and promote Web sites through the use of a click-in-context, Web
browser-based editor, which allows anyone to build compelling Web site
without knowledge of HTML or graphic design. Such a service is sticky
because most end-users find it compelling.
According to user surveys, Web site building platforms have a 92 per cent
satisfaction rate among builders. Small business users become attached to
using the platform, accessing it at least seven times a month, and spending
over 30 minutes per building session, generating at least 8 pages of
content. Individual consumers also enjoy such services: publishing their
sites over 5.6 times a month, and spending over 28 minutes per building
session.
This continued use of the online Web building platform encourages an ongoing
relationship with your Web host reseller operation's brand, promoting higher
levels of customer retention.
Control panels can also be considered "sticky" services that entice your
customers to select and retain your hosting services. Most consumers will
demand sophisticated browser-based tools to manage their hosting account.
Consumers want the option to create new e-mail accounts, aliases, and
auto-responders and manage their system resources at will in real-time.
Control panels give users the opportunity to obtain valuable site traffic
information; control, upgrade and modify their sites; and even establish a
turnkey e-commerce operation.
Indeed, the capacity to access a Web-based control panel along with Web site
publishing tools on a single, integrated Web hosting platform can be
considered the best method to make a reseller's service offering sticky.
Such technologies should be pursued by larger hosting reselling operations
in entrench customer retention.