I thought this was a great example on business marketing where if you can somehow get a person enrolled into your service for very cheap initially then many times they will stick around and pay the full amount yearly. When I had to move hosts originally do to my longtime provider going downhill it was tough trying to decide who to go with. I eventually tumbled upon a company called SiteGround that seemed to be one of the biggest.
They had a great initial offer too where for its highest package it allowed virtually everything I needed and was $119.88 US a year. I was paying a lot more initially trying to maintain multiple sites. As the year went on everything seemed okay so I decided to stay. But look at the regular rate which was $479.88. That’s more than three times the cost of the promotional price. Again, I decided to stay another year and no discount was provided. The service was not getting better either and at that price it didn’t seem worth it. So I decided to switch again.
That is a great example I thought on why companies work hard initially to acquire customers as a lot of people will stay long enough to more than recoup the costs. This is probably very true for things such as mobile and internet services where people initially sign great contracts just to stay on after and pay crazy high standard fees. Honestly, I probably would have stayed if there wasn’t a quality issue too. But generally speaking you should always shop around and make sure you are getting the best service for your hard earned money.