Pricing up Hosting Customer Server

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networkn

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#131086 8-Oct-2013 13:38

A Customer has approached us asking us to put their server at our premises for 6-12 months as they undergo renovations.

They are happy we have no redundant power or Internet services and it's a best efforts service.

How does once price this stuff normally?

I thought I'd just work out our per unit power price, multiply that unit price 24x7 x 130w which is the power consumption according to the UPS.
We then would work out they need around 40GB of data a month, so priced that up.
They want us to change the tape which we do for our own backups.

Anything else I should consider?

I wouldn't be keen to do this too much but this would be a sort of favour for this valued customer.

Mattmannz

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#909864 8-Oct-2013 13:54

You will also have physical storage assuming it's an actual box and you will need to look at catering for adhoc requests ie power reset it etc.

You will need access to a screen and keyboard etc as well, network ports, all those things.

Probably the most costly item though is your time so don't forget to map all that out properly as these things can snowball, become longer term etc etc.

Matt.

networkn

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#909866 8-Oct-2013 13:56

Mattmannz: You will also have physical storage assuming it's an actual box and you will need to look at catering for adhoc requests ie power reset it etc.

You will need access to a screen and keyboard etc as well, network ports, all those things.

Probably the most costly item though is your time so don't forget to map all that out properly as these things can snowball, become longer term etc etc.

Matt.

Yah I have the physical room, a KVM etc etc so all good there. Yes I will need to cater for some time I guess.

Mattmannz

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#909881 8-Oct-2013 14:17

Even though you have all those things your costings should include an apportionment for those - if it goes longer than expected or you need to add another box of you own or whatever you might run out of ports, need to expand etc.

Whilst they are a valued client they shouldn't expect it for free and low pricing might well have the opposite effect intended in that they don't want to leave :-)

Matt.

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#909882 8-Oct-2013 14:17

networkn:

They are happy we have no redundant power or Internet services and it's a best efforts service.

How does once price this stuff normally?

Typically around ~$100 for 1U, around $175 for 2U, $225 for 3U etc in NZ (dependant on what's included in the plan of course).. half rack about $500-600. Usually will include something like standard power usage, fair use un-metered bandwidth and use of a small public ip range/subnet.

Tower servers usually get charged 3U or 4U rates.

Extra for higher than standard peak power usage, multiple public ip addresses, high bandwidth usage of course.

networkn

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#909883 8-Oct-2013 14:19

Mattmannz: Even though you have all those things your costings should include an apportionment for those - if it goes longer than expected or you need to add another box of you own or whatever you might run out of ports, need to expand etc.

Whilst they are a valued client they shouldn't expect it for free and low pricing might well have the opposite effect intended in that they don't want to leave :-)

Matt.

Thanks. This customer isn't really worried about the costs, but I still want to be relatively competitive.

We have a lot of spare space so I am not worried about expansion. We could potentially host perhaps 8 servers here at a push if required.

wasabi2k

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#909906 8-Oct-2013 14:46

I guess just make sure everything is spelled out and agreed (and signed).

1. Cost per month and exactly what is included
2. Hours of Access/Service
3. Call out fee/cost to do stuff
4. Liability - what happens if your location is flooded/burns down
5. Uptime agreements - best effort

I strongly suggest this stuff get written down and signed. The last thing you want is for something to go wrong and have nothing to go back on.

mattwnz

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#909909 8-Oct-2013 14:53

Also backups, whther they are local, or they are backing up remotely. Personally I would get them to use a datacentre, as too many potential liability problems. Not unless you have insurance that will cover these things. Insurance though could be expensive.

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benmurphy66

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#909921 8-Oct-2013 15:16

don't forget AirCon / cooling costs.

mattwnz

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#909939 8-Oct-2013 16:01

Also are you hosting it in a proper commercial office, or just a home office. If a home office, you want to make sure your house insurance will cover any problems, such as if the server causes a fire to your house etc. You don't want your own insurance to be void. Although these things may sound rare, look at all the insurance problems down in Chch.

networkn

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#909958 8-Oct-2013 16:29

mattwnz: Also are you hosting it in a proper commercial office, or just a home office. If a home office, you want to make sure your house insurance will cover any problems, such as if the server causes a fire to your house etc. You don't want your own insurance to be void. Although these things may sound rare, look at all the insurance problems down in Chch.

Thanks. I have a commercial office.