Originally Posted by techto
As i said product you should offer a product that no one offers in your niche or on any other site lets take a example
if you offer vps for $5 and any other company offers it for free or $1 they are obviosly gonna go to that site.
Web hosting is a business of similar product categories. There are virtually very few things that you can differ or compete on, so an argument of providing a product no one offers in your niche goes out the window.
Your example advocates competing based on price, which I find is the wrongest approach you can attempt. By pricing yourself lower the next lowest priced product, you might as well be pricing yourself out of business. What good does pricing yourself at $1/month will do if your cost of that package is $1.50/month?
In addition to knowing your costs, you will always be better off if you compete based on support. With most companies offering the same range of products today, support is the only real differentiator. Why not make that your competitive advantage. The word of month will follow, the traffic will increase and customers will follow.