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Well I can tell you it was not easy. It took almost a year and hundreds of hours of negotiations with dozens of suppliers/designers to develop a system that would enable us to give free business websites to our customers. The Magic Formula: Exclusive Supplier Rebates: We negotiated low bulk bandwidth and hosting rates from our suppliers and then required them to subsidize the cost of making our customers’ websites. Work After Hours: We contract large design firms to design websites for us after hours when their regular work is done and when their designers and computers are not in high demand. Take Advantage of Excess Labor: We have standing agreements with dozens of designers at cut-rate prices to make websites when they are in between jobs. |
Make A Website Building Machine: Unlike typical designers that build every website from scratch, we pre-built dozens of high powered features (like ecommerce, shopping carts, newsletters, auto-responders, guest books, message boards….) that we can load onto the websites we design for our customers. Ok, I understand how I can have a free website, but how do you guys make money and stay in business? Only one way – Volume. From an annual hosting contract we make just a couple of dollars a month. Once we've paid our designers, that number shrinks to almost nothing for the first year or two. However, multiplied by tens of thousands of customers, it turns out to be a pretty good business. Looking back it was definitely a chance we took at the beginning, but 5 years later it has proven itself well worth it. |
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