Web Hosting is Not Small Business

A Home Business Article Contributed by Elizabeth Fox-Wise

Although Many of the we Hosting Companies are Small Business, the Field of Web Hosting is Anything But!

Economists have noticed some distinct trends in Web Hosting, the most predominant one is that web hosting is no longer considered small business. This year alone, it is predicted that upwards of twenty billion dollars is being spent on web hosting services. And that dollar amount is not expected to decrease in 2005 but instead it is predicted that it will top close to thirty billion dollars next year.

At the same time, they have noted that the cost of web hosting services are coming down. Three years ago it was impossible to find a shared web hosting site for your small business for anything less than fifty or seventy-five dollars a month. Today, shared hosting sites can be found for as low as five dollars monthly. Dedicated hosted servers which are much more desirable to ecommerce business, historically could not be found for under two hundred a month and often ran into the thousands. Today, if you look, you can find dedicated web hosting for around a hundred dollars a month.

So What Does This Mean for the Future of Web Hosting As a Small Business?

Many web hosting companies are small businesses, often operated from someone's home office. In addition to the first layer of web hosting companies there are also a whole bunch of people starting a small business as a web host reseller. Their small business exists as a middle man in the web hosting business. They buy space from larger web hosting companies and piece it out in smaller parcel to other small business owners looking for web hosting.

The fact that the web hosting industry is booming and even though the market is growing it is still not saturated means that there is still a lot of potential in the web hosting industry for entrepreneurs looking to start a small business either indirectly as a web hosting company or as a web hosting reseller.

Although the market is not saturated this is not to say that your web hosting small business will not have a lot of competition because it definitely will! They key to success is to offer high quality service with different plan options for different prices so you can meet the needs of a larger market population.

What Does This Mean for Other Small Business When it Comes to Their Web Hosting Needs?

This means that there are a lot of choices small business owners who are seeking web hosting for their small business. No longer does the small business owner have to restrict himself to a few web hosting choices. Historically, many web hosting options were cost prohibitive for your average small business. With an influx of more web hosting companies available, the cost of web hosting services has been driven down. Making more options more affordable for more small businesses.

Keeping this in mind, when choosing a web hosting service for your small business, look around until you find a cost effective plan that meets all of your small business web hosting needs, it is out there!