I personally think that the best place to advertise a hosting company is on webmaster forums and word of mouth. I see that as the best because you are getting out to the people that are going to need hosting, so it works in your favor.

Have you had any experience with advertising on forums? If so, would you care to share which ones have worked for you?

I have found word of mouth generally produces long term clients.

Word of mouth definitely works for me. I do frequents a few forums and it draws some customers as well. Truthfully, I think ranking high on the search engines would yield the most responses as far as new customers. I'm not ranking high on search engines, but, we are working on that.

Good service and support will really multiply your clients. Get them in, keep them happy and any advertising you do will create the word of mouth and your money will be well spent.

i am sure that forums help. I think one to one advertsing helps here. A visitor posts his requirements ...an hosting company replies to his requests and engages him into a discussion and inturn gets a new client. Well thats how I had got my hosting a year back for my site

anyone do link trading? find it works?

I would prefer to select few loyal customers and reward them by offering gift hamper or something that can motivate them to bring customers, by referring others.