Sunday, April 17, 2011

The Dangers of Overselling Web Hosting

Some cPanel web hosting companies lure customers in by offering unlimited features and other ludicrous offers, such as unlimited disk space and bandwidth. They use this to attract customers in knowing that they will not use many resources, however they will suspend or begin to limit customers when they do infact start to take advantage of the offer and use a high amount of resources.

Many overselling companies track CPU usage and inode files, and then limit these so that you cannot use much space or bandwidth without being suspended. This is just one of many shady tactics these type of companies employ to get you to spend money with them, later having to explain that "unlimited" is not really unlimited.

At some point, you will require help from their support department. This can be a nightmare for hosts who are overselling their services, since they are usually not making a high enough profit margin to have an adequate ratio of support staff to support requests. At the very least, they will have a higher amount of ticket requests due to there being more issues from overselling their servers.

Network is another area that these types of hosts usually skimp on. To save money, they usually only have one or two low end bandwidth providers, which usually results in high latency or poor routing of traffic, which ultimately will make your site and downloads from your site slower.

Web page loading speeds is a very important aspect for both website visitors and search engines. Slow performing sites may not rank as high in search engines, and visitors may be put off by how long it takes to load different pages on your site. This is especially important for an eCommerce website, or any website that is selling something.

This isn't to say that all of these companies are evil, it's just a poor business model for a hosting company. In the long term, customers are likely to experience issues that they normally wouldn't run into with a company who does not use the overselling business model. With all that said, there are some successful companies employing this business model, so just be careful, keep in mind everything that has been said in this article, and do your research before signing up with one of these companies. If you are going to go with one of these overselling cPanel web hosting services, then I would recommend at the very least to go with one that offers cPanel hosting, since it is a reliable control panel.