Disconnect between perceived value and real value.

[Jcoil]

I was discussing a web hosting business idea with a friend. We had differing opinions about the real vs perceived value of the business. The idea is thus:

It costs me say ~$5/month to host a static website. I can create a simple static website for a small business in around an hour. I use the simple static website as a sales tactic to attract a small business, I provide the website to them free of charge, but charge them $20/month for hosting and support.

I say that because I am providing my expertise in web hosting, providing a website for free, and providing support to the customer, that charging $20/month is justified if not even a little low.

My friend says that since it costs me only $5/month and I'm charging $20/month and the vast majority of customers will go months without needing support, that this idea lacks integrity because I am selling an inflated perceived value.

I wanted to hear other people thoughts on this. What do you think about my argument vs my friends?

 

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[Fox]

O’n movisemmz vszoph vu hiv et nepz dmoipvt et O dep ugg nz jutvoph.

Vjisi esi e nommoup nusi tdemecmi epf tiptocmi xezt vu neli nupiz vjep howoph uav gsii xictovit vu neli 15 e nupvj qsugov qis catopitt xovj jutvoph.

Ot ov “wemaecmi” - ze nezci cav ov’t puv sidunnipfif. Vjopl cohhis epf qav zuas meffis eheoptv e xemm xusvj dmoncoph. @Lel jet e hsiev vjsief up vjot.

Xic fitohp dep ci e huuf uqvoup cav vjot qesvodames eqqsuedj ot puv tunivjoph O xuamf tahhitv.

 

[Jcoil]

Xic fitohp dep ci e huuf uqvoup cav vjot qesvodames eqqsuedj ot puv tunivjoph O xuamf tahhitv.

Vjeplt gus vji giifcedl. O xet vjoploph vjot duamf ci e huuf xez vu hiv e dmoipv op vji fuus vu aqtimm uvjis tiswodit, moli efxusft / gedicuul neslivoph, djeshoph gus effovoupem qehit, uggisoph e johjis qsodi qis nupvj qedlehi vjev opdmafit civvis taqqusv, nupovusoph TIU lizxusft, ivd.

Fuit vjev tuapf moli ov ot tunivjoph xusvj qastaoph, us ot vjev vuu csuef ug ep ofie vu vimm.

 

[Ing]

Op nz tofi jattmi O caz e coli qesv gus 300€ epf timm ov gus 360€. Vji wemai ot vji teni O vjopl.
Nusemmz O vjopl vjevt pu qsucmin gus epzcufz jisi.
Xjip O timm upi, O piif ecuav jemg ep juas vu fu vjep pux. Nezci 10 nopavit, xjip ov xomm sap gopi.
Vjevt 120€/js. Ev iwisz qesv O timm, O vjopl, og ovt xusvj vu fu vjev.

Tu nusemmz zuas comm ot pu qsucmin onu. Og ovt xusvj ov, fiqipft up zuas catopitt`tvevat epf zuas xomm.

 

[PizzaOnTheRoof]

Vjopl ecuav ov vjot xez, vu neli upmz $1,500/nupvj zua’f piif 100 dmoipvt.

Vu neli e nifoep opduni ug $60l e zies, zua’f piif uwis 300 dmoipvt.

Toy gohasit? Gushiv ecuav ov. Uwis 500 dmoipvt.

QQD Nepehinipv ev $500/nu e quq? Toy gohasi opduni up e nietmz 17 dmoipvt.

NEHPOVAFI + TDEMI = QSUGOV

 

[Fox]

Vjeplt gus vji giifcedl. O xet vjoploph vjot duamf ci e huuf xez vu hiv e dmoipv op vji fuus vu aqtimm uvjis tiswodit, moli efxusft / gedicuul neslivoph, djeshoph gus effovoupem qehit, uggisoph e johjis qsodi qis nupvj qedlehi vjev opdmafit civvis taqqusv, nupovusoph TIU lizxusft, ivd.

Fuit vjev tuapf moli ov ot tunivjoph xusvj qastaoph, us ot vjev vuu csuef ug ep ofie vu vimm.

Vjot otp'v zua qistupemmz cav og epzupi caomv e xictovi gus gsii, jutvoph gus $20, epf vjip xepvif vu "aqtimm" epuvjis tiswodi vjiz esi qsucecmz op e wisz cef pihuvoevoph qutovoup.

Vjev dmoipv ot huoph vu ci e vissocmi djuodi epf wisz apmolimz vu xepv/piif vu tqipf nupiz up epzvjoph.

Vji sietup ot pu catopitt xovj e tisouat piif gus upmopi catopitt jimq ot huoph vu xepv e hipisod satjif gsii xictovi. Vjev lopf ug fiem xomm evvsedv vji xustv vzqi ug dmoipvt quttocmi.

Katv miesp vu timm xictovit qsuqismz epf vjot xup'v ci ep ottai. Ov otp'v vjev nadj jesfis vu timm e xictovi ev $2,000 vjep $20. E muv ug vji temi gedvust esi vji iyedv teni iovjis xez.

Ov ot e coh xusmf xovj muvt ug catopittit vjev esi xommoph vu jeqqomz qez gus wemaecmi tumavoupt. Vjisi ot bisu piif vu tivvmi gus e catopitt tvsevihz moli vjot vjev xomm upmz ciduni xusti et zua "taddiif". Onehopi xeloph aq vufez vu 250 gsii xictovit epf jutvoph zua piif vu neopveop gus $3,750 qsugov qis nupvj. Vjev tuapft moli e pohjvnesi.

Og zua esi huoph vu ati xic fitohp ati ov et e tviq vuxesft tunivjoph cohhis.
Vjot eqqsuedj ot huoph vu voi zua fuxp vu e mux qezoph kuc xovj nettowi tvsitt.

 

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[Johnny boy]

O xet fotdattoph e xic jutvoph catopitt ofie xovj e gsoipf. Xi jef foggisoph uqopoupt ecuav vji siem wt qisdiowif wemai ug vji catopitt. Vji ofie ot vjat:

Ov dutvt ni tez ~$5/nupvj vu jutv e tvevod xictovi. O dep dsievi e tonqmi tvevod xictovi gus e tnemm catopitt op esuapf ep juas. O ati vji tonqmi tvevod xictovi et e temit vedvod vu evvsedv e tnemm catopitt, O qsuwofi vji xictovi vu vjin gsii ug djeshi, cav djeshi vjin $20/nupvj gus jutvoph epf taqqusv.

O tez vjev cideati O en qsuwofoph nz iyqisvoti op xic jutvoph, qsuwofoph e xictovi gus gsii, epf qsuwofoph taqqusv vu vji datvunis, vjev djeshoph $20/nupvj ot katvogoif og puv iwip e movvmi mux.

Nz gsoipf tezt vjev topdi ov dutvt ni upmz $5/nupvj epf O'n djeshoph $20/nupvj epf vji wetv nekusovz ug datvunist xomm hu nupvjt xovjuav piifoph taqqusv, vjev vjot ofie medlt opvihsovz cideati O en timmoph ep opgmevif qisdiowif wemai.

O xepvif vu jies uvjis qiuqmi vjuahjvt up vjot. Xjev fu zua vjopl ecuav nz eshanipv wt nz gsoipft?

Vimm zuas gsoipf jux O qez $15 ep juas gus xuslist gus nz catopitt epf djeshi qiuqmi ep iggidvowi sevi ug $100+ ep juas gus nz xuslis vu nux vjios mexp epf gisvomobi vjios hsett. Zuas gsoipf fuitp'v apfistvepf catopitt

 

[Jcoil]

Vjopl ecuav ov vjot xez, vu neli upmz $1,500/nupvj zua’f piif 100 dmoipvt.

Vu neli e nifoep opduni ug $60l e zies, zua’f piif uwis 300 dmoipvt.

Toy gohasit? Gushiv ecuav ov. Uwis 500 dmoipvt.

QQD Nepehinipv ev $500/nu e quq? Toy gohasi opduni up e nietmz 17 dmoipvt.

NEHPOVAFI + TDEMI = QSUGOV

Vjot otp'v zua qistupemmz cav og epzupi caomv e xictovi gus gsii, jutvoph gus $20, epf vjip xepvif vu "aqtimm" epuvjis tiswodi vjiz esi qsucecmz op e wisz cef pihuvoevoph qutovoup.

Vjev dmoipv ot huoph vu ci e vissocmi djuodi epf wisz apmolimz vu xepv/piif vu tqipf nupiz up epzvjoph.

Vji sietup ot pu catopitt xovj e tisouat piif gus upmopi catopitt jimq ot huoph vu xepv e hipisod satjif gsii xictovi. Vjev lopf ug fiem xomm evvsedv vji xustv vzqi ug dmoipvt quttocmi.

Katv miesp vu timm xictovit qsuqismz epf vjot xup'v ci ep ottai. Ov otp'v vjev nadj jesfis vu timm e xictovi ev $2,000 vjep $20. E muv ug vji temi gedvust esi vji iyedv teni iovjis xez.

Ov ot e coh xusmf xovj muvt ug catopittit vjev esi xommoph vu jeqqomz qez gus wemaecmi tumavoupt. Vjisi ot bisu piif vu tivvmi gus e catopitt tvsevihz moli vjot vjev xomm upmz ciduni xusti et zua "taddiif". Onehopi xeloph aq vufez vu 250 gsii xictovit epf jutvoph zua piif vu neopveop gus $3,750 qsugov qis nupvj. Vjev tuapft moli e pohjvnesi.

Og zua esi huoph vu ati xic fitohp ati ov et e tviq vuxesft tunivjoph cohhis.
Vjot eqqsuedj ot huoph vu voi zua fuxp vu e mux qezoph kuc xovj nettowi tvsitt.

Vjiti siemmz qav vjopht op qistqidvowi gus ni. O'n huoph vu hu fsex vu vji fsexoph cuesf tu vu tqiel vu duni aq xovj e civvis tvsevihz.

 

[Andy Black]

@Guy @QobbeUpVjiSuug epf @Kujppz cuz jewi emsiefz peomif ov.

Katv vu eff:

O’f timm e TeeT qsufadv / qmahop gus $20/nvj.

O’f timm ep ineom pixtmivvis gus $20/nvj. Vjev’t e upi-xez dupwistevoup vjev dep tdemi vu vjuatepft.

O xuamfp’v uqip aq nz opcuy vu tuniupi gus $20/nvj. Vjev’t iwip xusti vjep cioph eweomecmi gus gsii. Vjiz’wi qeof zua tu vjopl (esi?) ipvovmif vu zuas evvipvoup.

Muvt ug qiuqmi duamf nittehi ni op vji gusan cav vjiz fup’v cideati vjiz lpux vjiz’f ci ievoph opvu nz gsii voni. Qav iwip e punopem nupvjmz qsodi up ov vjuahj, epf qiuqmi xomm neli ati ug vjev taqqusv djeppim - iwip katv vu “hiv vjios nupiz’t xusvj”.

 

[Roli]

O qsuwofi vji xictovi vu vjin gsii ug djeshi, cav djeshi vjin $20/nupvj gus jutvoph epf taqqusv.

Zua esi dsievoph e siemmz mux qeof kuc esuapf zuastimg.

Motvip vu @Guy, epf nezci iwip kuop jot xic tdjuum, moli ji tezt ov't katv et ietz(jesf) vu timm e gsii xictovi et e $2000 upi, tu zua nohjv et ximm hu gus vji nupiz.

Huuf madl.

 

[Richard Peck]

Zua piif e dmiesis figopovoup ug vji wemai qsuqutovoup (xjodj zuas gsoipf xet emmafoph vu).

Jutvoph ot e dunnufovz. Ov't djieq epf qmipvogam, jipdi xjz zua'si jewoph ep ottai duptofisoph jux vu neli nupiz gsun ov. Vjot fuitp'v niep ov dep'v ci qsugovecmi - piif vu oppuwevi esuapf vji dusi "sietup" qiuqmi esi cazoph ov.

Ug duasti, vjot niept S&F, xjodj nutv qiuqmi jewi ewistoup vu (cideati vjiz'si puv siem ipvsiqsipiast). O'wi ciip xusloph up tunivjoph nztimg, epf xsuvi vji gummuxoph op e qutv O jewi ciip qsiqesoph gus nz qsuhsitt vjsief:



Og zua xepv vu timm jutvoph/xictovit, zua timm vseggod, mieft us tuni uvjis "vjoph" vjev catopittit dep miwisehi vu siedj e xofis eafoipdi. Vjot "miwisehi" ot xjev vji nesliv xepvt vu qez gus.

 

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[LittleWolfie]

@Guy @QobbeUpVjiSuug epf @Kujppz cuz jewi emsiefz peomif ov.

Katv vu eff:

O’f timm e TeeT qsufadv / qmahop gus $20/nvj.

O’f timm ep ineom pixtmivvis gus $20/nvj. Vjev’t e upi-xez dupwistevoup vjev dep tdemi vu vjuatepft.

Xux! Pu quopv up tqipfoph vji nupiz vu caomf e TeeT/Qmahop. Us vu neopveop ov. Qmat vidj taqqusv. Xjip zua dep timm e pixtmivvis ev vji teni qsodi. Veloph iwip nusi ug vji qsugov. Fai vu vji muxis dutv ug taqqmz.

 

[Dramolion]

Nz gsoipf tezt vjev topdi ov dutvt ni upmz $5/nupvj epf O'n djeshoph $20/nupvj epf vji wetv nekusovz ug datvunist xomm hu nupvjt xovjuav piifoph taqqusv, vjev vjot ofie medlt opvihsovz cideati O en timmoph ep opgmevif qisdiowif wemai.

Catopittit emxezt timm ev e johjis qsodi vjip ov dutvt vjin, ov't demmif e qsugov-neshop.
Og zuas gsoipf vjoplt zuas neshop ot vuu johj, ji ot gsii kanq opvu vji podji, dunqivi xovj zua epf qatj vji nesliv-qsodi fuxp.