Why pageBuzz is not
competing with Large Website Design Firms
There are so many webmasters
and professional development companies and they are not at all
competing with us. Our market is the small to mid sized business
that wants a solution for $20 a month and not $100 an hour to
develop something from scratch.
For a company to develop a
tool lets say like our drag and drop editor for their website
they might spend $10,000 just for that component and as they
develop their entire website it will continue to need work as
more ad more tools are added.
Web development companies
design very specific tools. For example, if you need a shopping
cart, you might need that cart to send inventory to another store
you have online. To do that, you need programming on both ends to
communicate and confirm that data was transferred.
We don't provide that type of
service.
Design companies charge tens
of thousands of dollars and are being hard hit by companies like
Godaddy, Web.com and 1and1 that offer a full suite of services
from building to managing your website for you. They offer
programming at discount rates and can provide a huge savings over
these smaller website design firms.
Again, we are not in that
market.
Our customers want finished
solutions. They don't want to spend $2000 to add a payment module
into a shopping cart, the want inexpensive and functional.
That is not to say they don't
need the same tools as larger companies, but their budget is much
less.
This is important for larger
companies, because they don't want to be chained to a system that
does not allow them to create custom programming. If they need to
export data to a twitter feed or an amazon store, they want th
ability to pay a programmer thousands of dollars to make that
happen.
Our customer base typically
does not spend that much on software so they expect us to create
useful tools for free. But that means at our leisure and when we
fell the market justifies it.
So we are not the first
company jumping on the Facebook bandwagon and larger companies
recognize that they need to do things while they still have some
impact.
I am constantly reminded of
what larger companies need when they call and ask if our cart can
do this and that, and I ask them, if they saw that our cart was $20
a month? There is only so much we can offer at that price.
If they need custom
programming, they could be looking at paying a programmer $10,000
or more for the hours to do what they might want.
And despite how huge our
market is, there will always be bigger businesses that need those
services.
Since our system is more like
a shared platform even though it is not shared hosting, we
operate like a Facebook or an ebay.
Facebook is not going to let
you customize your page by having a programmer install
programming in their system. Either is bay, you use the store as
is or not at all.
Now we are a little more
flexible than those companies, but the principle is still the
same.
We provide the programming,
our customers lease it for $20 a month.
And we estimate that 80-90% of
the businesses are OK with that. Only a handful of companies
actually want to be responsible for their own programming and
technology, so we feel like our market is bigger even though our
price is so much smaller we still can make much more money than
typical design firms.
Now when you look at what we
do, we do the same work as those big website design companies. We
create web based software, manage it and host websites.
The difference is, we don't
charge anyone for it. So our customers don't pay us to develop a
shopping system. We do it ourselves and they get to use it.
The big companies charge tens
of thousands of dollars each time they build a system, even
though they have done it for 100 people, they still charge for
building it from scratch. In many cases, each customer needs
something so specialized that it must be done that way. But not
always, sometimes that can used existing solutions and save
customers money.
Another big problem with
custom programming is support. Since you are the only company
using that software, you are actually your own support. There are
no warenties, not garantees or returns. If it does not work, you
eat it. If it does not work on new browers, you pay more to fix
it.
So we look at it like this.
There will always be custom
car builders making $200,000 cars for the rich and elite. But it
seems like companies like GM, Ford ad Chrysler make so much more
money by making the same models over and over by the millions for
average people.
Just like most people
don't spend $200,000 on a custom car but rather they go to a car
dealer and buy one off the lot, businesses like to buy software
off the lot.
We always keep up with trends,
have the latest models and the newest technology and it is a
fraction of the price of building it yourself.
Big companies hire vendors to
take vehicle models and add unique features such as axles
allowing utility trucks to travel on railroad tracks. Or cranes
to lift pallets onto a truck bed.
But how many ordinary people
need that?
So we chose to address the
market that does not need the custom programs, can't afford the
custom programs and probably does not even know what custom
programs are or how they work.
So as you can see, the product
that pageBuzz offers is very different than all of those design
companies and for that reason, we never really crosss paths. We
don't advertise to the same people. We don't have the same
customers.
So even though you see us on
the same Internet as website companies, we really don't compete
with many of them at all.
And it is a good thing for
them, because it would be hard to compete with $20 a month for
all that we offer.
And that is why so many big
companies contact us first, they're not idiots, they want to save
money. But when it is all said and done, we just can't support
what they need at our price point. So we usually refer them to
one of the companies we know and have worked with in the past.
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