The inception phase
Flashback to the 1980s… the era when hosting was a relatively unknown concept. Computers, mobiles were mere babies or should we say giants! There were just one or two big names to go to if you needed a website, supposedly a fancy page on the computer at that time.
That was the beginning phase for websites. For instance, this movie that was made in the 1998 that had its story spun around the mail notifications, was promoted through this website. Minimalist.Eh! 🙂
Then in the 1985 came the dotcom and there was this internet boom in the next decade whereby in 1995, the restrictions were lifted from the internet to carry commercial traffic. Thus, from mid 90s till today, there have been revolutionary changes in the ways we communicate and conduct business – all thanks to the internet- and thanks to it the emails, internet messaging, VoIP and now with smartphones coming into the scene and making all of it a very big picture.
At that time, in the beginning, hosting meant managing expensive servers in your office. This was the time when hosting market had just started coming into proper existence. Then with the advent of open source Linux and free database system MySQL, few more hosting companies came up. But still, there were no major players and no international brands and web hosting simply meant either hosting your server at your place or shared hosting by small web hosts that catered to the local businesses.
That was party time for web hosters! 🙂
The transition phase
Came 2000 – the last year of the 20th century, that brought with it the virtualization boom. And with that came the consolidation of the hosting market where nearly top 5 players emerged with time, with ZNetLive being one of them.
At this time, web hosting market began to mature with both Indian and international players investing heavily into different digital marketing strategies. With time, people starting realizing the importance of getting an online presence and the vital role it can play in helping them reach out to a global customer base and thus, enhance their business revenue.
However, with increased awareness, came a number of local web hosts and resellers that started catering to the small and local businesses. Within a decade, the hosting market began to saturate as more and more customers started getting online and with their increased awareness and demands for specialized and customized infrastructure and services, there was the need for better technology.
The period between 2005 to 2008 witnessed the cloud taking a strong foothold in the IT industry. As per wiki, “By mid-2008, Gartner saw an opportunity for cloud computing “to shape the relationship among consumers of IT services, those who use IT services and those who sell them”.
And with it came the confusion of whether cloud or web hosting should be the one businesses should go for.
The cloud revolution was finally here!
The cloud boom
The above image clearly shows that the market share of cloud is increasing at a much faster rate than the traditional hosting services.
Cloud presents a huge untapped opportunity for service providers to enhance their profitability. In images below, there is a summary of revenues for cloud platforms, applications and business services from 2008 to 2020 per Forrester research.
Why service providers and small players should sell cloud?
With the emergence of big cloud players and their heavy marketing investments, little players started losing out their market but they had the hosting expertise – the much needed technical expertise of installation and migration to cloud.
Albeit big cloud players having all the technologies, know-how and resources, they need the ground level support – the technical competence for deployment of cloud that hosters has in abundance. So, this has created space for a symbiotic relationship between the big cloud players and small IT service providers.
Moreover, since small companies are more familiar with the regional market and understand the needs of the local customers, they are better equipped to sell cloud to the local market.
So, cloud has actually provided a good opportunity for the small service providers to start selling cloud by partnering with big cloud sellers. By selling cloud with traditional IT, service providers can enhance their revenue streams manifolds.
If you are an IT service provider and still wondering how you can sell cloud to remain relevant to your customer base today, you can join our cloud partnership program. We help our partners tap the cloud opportunities and earn handsome recurring revenue by selling cloud solutions.
Top 4 benefits of selling cloud by partnering with us
- We are the cloud industry veterans, so you get to sell all the latest and greatest cloud solutions – Microsoft Azure, AWS, SoftLayer, OpenStack, Office 365 etc.
- We provide you with personal hand holding – sales, marketing, support, CRM – all right guidance at the right time.
- You’ll be able to club and sell cloud with your existing services to offer a broader range of IT solutions to your customers.
- And most importantly, you’ll be able to ride the cloud wave and offer cloud products that are the future and are in huge market demand. 🙂
Please let me know about your feedback on this write-up in the comments below.
Services ZNetLive offer:
Latest posts by Munesh (see all)
- Industry Transformation from Hosting to Cloud – an ongoing journey - May 16, 2016
- The Need of Launching Cloud Server Hosting and How We went about it - February 27, 2015
- Understanding ZNetLive’s Dedicated Account Manager System and Web Hosting Support - August 6, 2014