Of Becoming A VISP?
Interesting Things To Consider
Fact vs. Fiction
The reason people change ISPs
is to save money, therefore the way for a virtual ISP or vISP to succeed is to offer
a low price. Fact or fiction?
In this day and age, most people already have
internet access. By far, most of the subscribers
secured by a virtual ISP or vISP will already
have internet access and switch from another provider.
A virtual ISP or vISP can not succeed without taking
subscribers from their competition. Surveys
show that there are three
reasons that cause internet access subscribers
to change ISPs. The largest
and most lucrative market share change ISPs because
they are unhappy with the
"quality" from their
current access provider. It is
interesting to note that those in this category do
not even consider service at a price less that
what they pay they current ISP as they assume the
quality will be even worse than what they now
experience. A close second
are those that move because of a recommendation
from someone that has credibility and influence
with them. The very smallest market segment change
for price. These first two market segments
account for about 90% of those that switch ISPs.
This means that only 10% or less change for a
lower price. A great resource is the ebook "ISP
Marketing Secrets - Simple Steps to Exploding
Your Subscriber Base!" available at
(This ebook is available free
of charge with our proposal.)
If your marketing strategy is based upon offering
a low price you will lose for many reasons. First,
you are marketing to a very small market segment.
Just 10% or less of all internet subscribers are
prospects for your virtual ISP or vISP. Second,
the subscribers you do secure have
no loyalty and will leave you the minute
they find someone cheaper (and there is always
someone cheaper). Third, there is no
margin left to refuel your marketing budget
once it is used. Fourth, those leaving their current
ISP because they are unhappy, will not consider
you as they perceive that the lower
price means lower quality and they are
seeking higher quality. In these cases a low
price is actually counterproductive.
If this is not the case, why then does
have over 20 million million subscribers at
$23.90 and United Online
Juno and Bluelight combined)
3 million subscribers including all of
their plans that are free, $6.95, $9.95 and $14.95? If
low price was so important, would it be the other
way around with NetZero having the most subscribers?
By far, most subscribers (90%+) want quality not
a cheap price.
The virtual ISPs or vISPs
with the largest subscriber counts retail their
access at prices between $18.95 and $23.95.
This gives them a large enough margin to secure
marketing partners that help multiply their marketing
efforts. And of course this plays into
the second largest market segment as each of these
marketing partners have a
circle of people with which they have influence
To "Fact vs. Fiction"