Fear Outweighs Cost Concerns With Business IT Needs
Back Published 2009-07-13
Philadelphia – July 13
When the economy tumbles, budget review is something every business must do. Analyzing a company’s spending on IT solutions is currently an unfortunate necessity for many businesses, according to new survey results released by Fasthosts Internet, a reseller Web hosting provider.
While focused on finding out just how and why servers are used today, the survey seems to show that now, more than ever, companies and individuals are forced to re-evaluate their IT systems and question what they really need due to the unsettled economy. In these difficult times, one-third said they still hesitate to consider a replacement server even if it is necessary. At the same time, 53 percent of business owners are becoming more involved in decisions relating to their IT needs in light of the challenging economy.
When times get tough, a company’s budget spending strategy can seriously affect the quality and quantity of the company’s technology resources. The Fasthosts survey showed 29 percent of respondents have reviewed their budget for servers in the past six months. Nearly twice that many (54 percent) have analyzed their finances during the past 12 months.
However, for many people, the fear of what might happen when they replace their server looms over their decision. About 1 in 3 survey participants (33 percent) said they would be fearful of switching to a new provider because of a potential disruption to their service. Perhaps bound by this fear, 22 percent have not updated or changed their server solution in at least three years even though at least 25 percent said they want to lower their external server costs.
Stephen Holford, chief marketing officer of Fasthosts Internet, says the company understands where its customers’ fears lie and hopes it is able to clear up questions about servers.
“Fasthosts products are offered by the leading provider for reseller Web hosting in the U.K., and one that is making a strong mark in the U.S.,” Holford said. “We try to emphasize that a background in IT isn’t necessary to use and profit from our servers and reseller solutions so that smaller businesses can better understand their IT needs. If given a closer look, they will see the top-of-the-line solutions that Fasthosts offers at very competitive prices.”
Getting the most value for their money is a concern many have when deciding how much should be spent on their IT provider, especially regarding servers. Almost half (45 percent) of survey participants said they felt overcharged for costs, including monitoring fees, server management, additional memory and IP addresses, backup space, consultancy fees and server traffic. One-third of the respondents, however, pay more than just their provider to upkeep their server.
Holford added, “Balancing a budget is difficult, especially when there is uncertainty concerning necessary versus peripheral costs. IT solutions, like servers and online services, are important to any company. It seems that people must realize that there are providers out there like Fasthosts that can alleviate concerns by offering solutions that exhibit both quality and value for a reasonable cost.”