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Posted On: Sat 1 May, 2004
Asked By: Anonymous

How is it there are so many web hosts that can offer low prices that seem totally unrealistic?



Posted On: Sat 1 May, 2004
Answered By: Anonymous

With the prices of bandwidth falling, the low overhead of entering the marketplace, and web hosts competing fiercely with each other, some have resort to “over selling”. Over selling is a term that often describes how one service provider assumes that existing clients will never theoretically use all his or her available data transfer quota, and so, offer web hosting plans at low prices to fill this inventory in a way.

Over selling is a not a bad strategic move unless it is badly calculated.



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