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Hosting fees strategy1544

CKC private msg quote post Address this user
Hi all,

Just curious how you guys handle hosting fees with clients?
Do you charge them per year or on a longer team deal like 3-5 years? Or even monthly?

Mentioning a hosting fee could be a big turn-off for most clients so just wanted to get some input on how you deal with this...thanks so much!
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tommy_1800 private msg quote post Address this user
We usually charge on the order of about $2.00 per model per month for hosting. The real cost of hosting is about $0.50 per model per month, so anything above that you're making money on.

If you only have one or a few models then it makes sense to do it yearly, but if you have a lot of models then we usually do monthly. We usually also give the option to the client to do it annually, and give them an incentive to do so (for instance we reduce the yearly price by two months worth.

We have it on automatic, so it's not a headache on our end, but it's usually more of a headache on the clients end if they end up being billed more often than they like.
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pixelray private msg quote post Address this user
I charge per year on business listings as they will be up indefinitely. I do free hosting for a year on real estate listings - once they go over a year, then they get the same hosting fee charged to them as I would my business customer.
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alx3D private msg quote post Address this user
Just my opinion but if you are going to charge hosting i think you need to mark it up a little because you are going to run into alot of problems that 2/ month won't cover.

Imagine sending a 2 bill for every model every month. Imagine collecting, keeping track of, and processing those payments. Are you going to freeze or delete the model when someone doesn't pay on time? How many phone calls/ emails are you looking at over $2? You are going to pay .35/ per transaction so that really cuts into your profits already.

If you plan on charging $2 don't even mess with it. I would recommend start at at least $10. If a client has a lot of scans with you can bring it down. For real estate don't even worry about it, just say you will host it until it sells.
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pirusan private msg quote post Address this user
We charge for hosting of Models and Single Prop Websites.

90 days free, After that: $14.95 for the first model / $4.95 ea. additional / $24.95 Unlimited. All values per month.

Once they go Unlimited I bill them the first of the month.

Businesses do not complain. Realtors do,they always do. If they complain I throw in a 2D drawing floorplan.

My idea is to give perks, never discounts.

Gus
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pixelray private msg quote post Address this user
Great Plan Gus - I like that!
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APN private msg quote post Address this user
This may be a dumb question but if I'm on a plan that gives me seven models free for a month and I do 10, I will be charged $19.95 for each of those 2 scans that are over seven but that is a one time fee correct? If those scans stay one the server for 5 years I only pay a one time fee of $19.95, that is how I have been billed, am I correct on this? I've only had the camera since October and I've only done 85 scana so I'm not sure if I'm correct on this.
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manolohk private msg quote post Address this user
@APN You are correct, as long as you don't host more models than your limit.

When a MSP charge for the hosting is to leverage the fixed amount that is charged by Matterport. The 19 USD is a one time processing fee.
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manolohk private msg quote post Address this user
Question: What would you think about this hosting model:

- 1st Year for Free

After that:

- $29 USD for one year per Model

This first option is targeted to Realtors.

or

- $149 USD for one year - Unlimited Models

This second option would encourage Businesses to ask for more models, while not getting scared about the annually fee. (e.g. Architect or Developer Portafolios with 10+ models).

** My prices are based in the Mexican Market.
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joooowan private msg quote post Address this user
6 months free. After that I'll charge something like $5/month per model, just to show them it's not free to keep these things running. But it's highly unlikely that a house stays in the LA market for more than 6 months and they usually have no problem agreeing to this term.
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CKC private msg quote post Address this user
Thanks guys for all the great info and input.

Wondering when dealing with hotels/fitness centers, how do you charge especially these clients always want longer term deals?
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pirusan private msg quote post Address this user
@joooowan My 2 cents. The value of the hosting fee is not in "how long a house will be on the market" rather on how much these models will help a Realtor win more listings over their competitors.
$25 per month to show themselves as the most tech savy Realtor in the area is very reasonable and those are the Realtors I want to work with and for.
Those Realtors who mainly think on selling the next house, in my experience, are not long term customers.
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Metroplex360 private msg quote post Address this user
Hosting fees for Matterport is silly IMHO.

Out of curiosity, if you guys were able to setup sub-accounts under my.matterport.com wherein your clients were billed by Matterport and you didn't have to worry about it, would you opt for that instead?

As it stands, if they get a collaborator account and are (now) able to view stats and all that, it kind of makes sense. If there was a billing system in place in the same screen it would be perfect.

I'm not into Matterport photography to collect money on hosting. No hosting fee would amount to more than chump change compared to what can be made on doing the tours - so it just seems like an administrative hassle and a hassle for the customers. Plus, not charging hosting offers me a competitive advantage over those who do charge.

Remember, when we pay Matterport, they also give us free processing. Therefore, it's also a pre-paid processing fee. As long as you're still doing 3-7 tours a month (depending on your plan), the hosting fee pays for itself until you hit your hosting limit. Then it's awkward.
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