
The host with the most: ISPs for SMEs
A recent survey by VMware found that 73 per cent of SMEs are using web hosting to increase their business performance. Clodagh Murphy, director of business ISP Eclipse Internet explores the growth of web hosting and gives her views on what SMEs can do to get the most from their online experience in 2010.
Published on Jan 25, 2010
While the world of Web hosting has yet to have such a seismic impact on the behaviour of small and medium-sized enterprises (SMEs), I believe 2010 could be the year when small businesses start to realise the great benefits that web hosting can bring. However for this to happen, companies need to spend less time on resource-heavy IT administration duties and more time on applications that are critical to the day to day running of the business.
Server and application headaches
SMEs have faced numerous problems with their online experience in the past. This included everything from complex server requirements, lack of in-house technical resources and expertise, to server payments requiring cash upfront. For example, when requirements change and more processing, memory or storage capabilities are needed it can result in a new server system being required, meaning more capital expenditure (CAPEX) and more unnecessary problems for the SME.
SMEs have also had to source programmes in order to develop websites and optimise images internally. This is a major barrier, as they are likely to outsource their web design work to a specialist agency, which is sure to come at a major cost. Overall, this has led to numerous problems in the adoption of SME web hosting, and with this in mind, it is important that SMEs consider what they want from an online experience prior to choosing their Internet Service Provider (ISP).
ISP considerations
Before choosing an ISP, SMEs should consider a number of key issues, including:
- what applications they need to drive the business forward
- what they are trying to accomplish, such as key objectives, and targets
- growth drivers and managing any IT risks that may occur
- making sure their ISP provides useful information on their website and through their call centre service, so they can be well informed before they make decisions
- making sure they choose a single supplier to ease the administrative burden
- making sure their chosen ISP is the right size for them to work with, so small enough for the SME to be treated as an important customer but large enough so the services can develop as the business grows
SMEs also need to plan their ‘hosted roadmap’: identifying the application gaps or improvements needed in their business (i.e. website, ecommerce, calendar sharing, file sharing, document version control, back-up, virtual servers, etc) and prioritise a plan of action.
2010: the year for change
With a plan in place, businesses need to consider what they require from their chosen ISP. In 2010, rather than doing everything in-house, SMEs need to be more cost effective when deploying a server environment by focusing their IT resources on adding value. In order to achieve this, SMEs should be directing their attentions towards nurturing online advocates for their products and brand. As customers continue to seek the best deal and supplier loyalty remains low, businesses can no longer afford to ignore their customer base online.
ISP + SME = ROI
For SMEs looking to adopt web hosting, an easy to use site-builder tool as part of the overall package is vital. This is important because it makes life easier and less technically bewildering when creating and altering a website. The good news is that there are hosted applications available on the market such as Eclipse Internet’s estore to make it easier for businesses to get online, as they incorporate site-builder software that does not require a laborious download process or advanced skills to create the website.
2010 is also the year that small businesses are purchasing hosted applications in the ‘cloud’ from their business ISPs. Furthermore, other hosted applications like Hosted Exchange, offer small businesses the functionality of Microsoft Outlook for email, diary sharing and meeting requests, without the technical resources and hardware needed to set-up an exchange server. In addition, an application such as Hosted SharePoint enables people to share and collaborate on internal documents, without requiring the technical skills to set up a SharePoint server. Hosted server backup enables SMEs to back-up in-house servers over their Internet connection rather than using complex tape systems.
In summary, the success of web hosting could rocket this year, but only if the ISP manages the resource-heavy server requirements of the SME. If this happens, business IT resources can focus on running and improving their business applications to add value, rather than becoming bogged down with day-to-day IT administration and costs.
Clodagh Murphy, director of business ISP Eclipse Internet says small businesses need to realise the great benefits that web hosting can bring.
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