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Tarak from Mumbai

Discussion in 'Introductions' started by tarak_desai, Aug 27, 2012.

  1. tarak_desai

    tarak_desai New Member

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    Hi Guys,

    My first post actually should be here :) Just saw this thread.

    From Mumbai, was working for different IT companies earlier as Project Lead, now since last 8 years run my Web Hosting company.

    Earlier use to invest on basis on magazines, broker and equitymaster.com. Lost a lot in Marksan Pharma, Varun Industries and couple of other cheap stocks however gain handsomely in lot of other good stocks. My capital have increased over a time however I am like a lost traveller, asking 'so call experts' for destination at every step.

    I want to change this and wish to take command, I hope in this journey technical analysis will help me :)

    Money can be earned easily however growth of this money atleast @18% to @25% is essential to survive at latter age, stock market is one of the vehicle to achieve this. Wish me luck :)
     
  2. shabbir

    shabbir Administrator Staff Member

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    Hi Tarak and welcome to the forum and really nice introduction.

    Being in Internet Marketing good to see an IT company project lead is running a web hosting business but don't you think it is too competitive.

    Regarding your analysis that you need returns in between 18 to 25% is absolutely right and the inflation being at elevated levels, 18% becomes bear minimum.
     
  3. tarak_desai

    tarak_desai New Member

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    Shabbir, yes very competitive and in last 3 years for small companies, WH business is very tough.

    Fortunately we have a niche market (more of managed dedicated servers, load balancing solutions and custom server configuration rather than shared/reseller hosting)

    Talk to you soon :)
     
  4. shabbir

    shabbir Administrator Staff Member

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    Yes I agree that shared hosting and reseller hosting is just not a business anymore. I have shared the same on my blog sometime back - http://imtips.co/web-hosting-business-opportunity.html

    On top of that shared hosting company pays twice or even thrice the money as commission which is beyond any mathematics.
     
  5. tarak_desai

    tarak_desai New Member

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    Hi Shabbir,

    Thats a nice article with links to popular hosting cos.

    Actually its feasible to have cheap pricing and match those big hosts in pricing even now, if you have your own servers at right datacenters. The only challenge is volume and 24x7 customer support.

    With right target audience and patience you can achieve the same, (for us strating out in year 2002 was possible and quiet easy - almost 20-25 signups per day) - Later with good volume too we were finding margins not enough, a loooot of hard work on customer satisfaction (I hate hard work :)) and frankly amount of time/work ratio to reward was just not enough. We eventually shifted to higher margin products like dedicated servers, load balancing setup and any custom config that most of the hosting provider dont provide - as they are not technically capable or just dont want to involve themselves in complex server setups.

    As mentioned earlier, we were fortunate to have/develop niche market - better to handle 50 corporate customers with good margin rather than handling 10,000 shared/reseller hosting clients.

    But yes as of now year 2012 - with no professional contacts and to start from gound zero is very difficult for WH business.
     
  6. shabbir

    shabbir Administrator Staff Member

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    Yes 2002 was nice start into hosting and definitely not 2012. Glad to see that you found your niche hosting.

    Niche hosting is something that is coming up in 2012 like WPEngine which is more of a Wordpress hosting.
     
  7. kamat79

    kamat79 New Member

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    Guys,

    Now you have brought this point of web hosting, my 2 cents worth :)

    Have a look at Amazon's AWS. Now, you can host your sites or I would say , you can acquire infrastructure of any size in less than 10 minutes. You can release the instance whenever you want, so no depreciation etc. Amazing concept, very secured, reliable.

    BTW, that's cloud computing!

    cheers,
    Keshav
     
  8. shabbir

    shabbir Administrator Staff Member

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    Completely agree with you on this Keshav.
     
  9. Suresh_Sinha

    Suresh_Sinha Active Member

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    Two techies at discussion and I will just welcome the new member.