Building Websites for $99...Good or Bad Idea?

31 replies
I have a goal to build 10 simple websites by tomorrow, and I've set my price point at $99. I know that's rock bottom, but I figure that I could pull some quick (and cheap) buyers for that amount. These will be wordpress-based sites that serve the purpose of giving businesses a basic web presence. I'm not offering maintenance, updates, or any of that stuff. It's just a one time thing, and then I'll move on to the next simple website.

So, do you think my $99 price point is too low? It's cheap, but that's the point. People don't have to put too much thought into it, and I can offer a fairly quick turnaround. Most of you are probably thinking that I could make a lot more, but to solve my immediate cash needs, it's worth it.

Your opinions?
#bad #good #idea #websites
  • Profile picture of the author danielkanuck
    If the money is tight right now, then go for $99 site. But you should consider charging much more expensive sites once your cash flow problems are solved. Will you be making a 5-page site, 10-page site, or 1-page site....?

    If you have a portfolio of sites that you've created for yourself or for previous clients, be sure to use them as your marketing tools. This will give a sample of your work, and will help to close the deal with a client - since they want to see results before they invest in a project.
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    • Profile picture of the author DWolfe
      I think should host the sites for a monthly fee to help ease your cash crunch. If you come up even $25 a month for hosting 4 sites is $100.00 a month in passive income. On top of the $99 creation. If they say no thats okay ask them where they plan to host the site?
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      • Profile picture of the author BroadSky
        Originally Posted by DWolfe View Post

        I think should host the sites for a monthly fee to help ease your cash crunch. If you come up even $25 a month for hosting 4 sites is $100.00 a month in passive income. On top of the $99 creation. If they say no thats okay ask them where they plan to host the site?
        I agree with this strategy. It's okay to offer a lowball upfront offer, but if you can secure hosting at $30 per month plus email management for an extra $10 and changes to the website for an extra $? then that's a business model that may make more sense after 20 websites for a small business.

        On the flip side, if you're short on cash, then it may be a great short term fix.
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  • Profile picture of the author Steve Solem
    While that's really a "too good to be true" price, I'm sure you'll find takers, just remember that the lower the price, the more demanding your clients may be.

    Also, if you plan to try to up sell them on more expensive services later on, be sure to give them a reason why you're giving away websites for only $100, otherwise they may come to expect similar pricing for other services you may offer them later on.

    Cheers,

    Steve
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    • Profile picture of the author sjohn
      Originally Posted by Steve Solem View Post

      ... just remember that the lower the price, the more demanding your clients may be.

      Hi Steve,
      Could you please elaborate on why this would be the case? I would have thought the opposite.
      Thanks
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      • Profile picture of the author Steve Solem
        Originally Posted by sjohn View Post

        Hi Steve,
        Could you please elaborate on why this would be the case? I would have thought the opposite.
        Thanks
        I don't really know WHY this is the case, this is just my personal experience and something I've seen other designers deal with in the 12 years I've been into web design.

        If I had to guess, I'd say those that pay more are more likely to believe they're dealing with a professional who knows what he's doing and trust them to make the best decisions for them. The guy that knows websites can cost thousands but found a guy willing to do one for $99, probably thinks they're new and inexperienced and therefore the client wants to take control and call all the shots and they're usually much more demanding.

        That's just my take on things though - you experience might very well be the opposite.

        Cheers,

        Steve
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        • Profile picture of the author Amir Luis
          Once again....

          $99 per month alleviates this problem.

          If you are willing to do it all for $99... then you would think having $99 per month from each web design would be a no brainer....


          Really. You are devaluing the service at a one time $99.

          If you approached me at that price point... and weren't a Phillipine National or East Indian... I wouldn't go for it. I would think you were trying to hustle me.

          Business owners... and people in general know the cost vs. value ratio. So the value would be perceived as hella low if you came in at that price point.

          You might make some deals.... but they are going to be problem clients that want to change everything 20 times. This is just the type that would respond to that sort of pricing. You could post an ad in the pennysaver and do your prospecting. There are plenty because those are the types of clients you would receive.

          The Penny Saver Demographic.

          Not my target market....
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  • Profile picture of the author cravereplace
    The kinds of people that will take you up on that offer are not people you want to work for... trust me.

    It's better to get fewer clients but charge a little more, like $299 or something. It all balances out.
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  • Profile picture of the author fitz10
    Why do you want to offer websites for that price?

    If you're desperate for cash then it could be ok, just limit it to 3 page site or something like that. At the very least you're taking massive action which is a very positive step.

    If you're planning on building up your business in the long term I think the price is too low. The people who buy $99 sites are, for the most part, penny pinchers and you'll never get them to pay higher prices for your other services.
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  • Profile picture of the author John Durham
    Originally Posted by truly_gifted View Post

    I have a goal to build 10 simple websites by tomorrow, and I've set my price point at $99. I know that's rock bottom, but I figure that I could pull some quick (and cheap) buyers for that amount. These will be wordpress-based sites that serve the purpose of giving businesses a basic web presence. I'm not offering maintenance, updates, or any of that stuff. It's just a one time thing, and then I'll move on to the next simple website.

    So, do you think my $99 price point is too low? It's cheap, but that's the point. People don't have to put too much thought into it, and I can offer a fairly quick turnaround. Most of you are probably thinking that I could make a lot more, but to solve my immediate cash needs, it's worth it.

    Your opinions?
    I would offer it in my signature as a service to offliners who need client fulfillment services.
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  • Profile picture of the author redlegrich
    Steve hit the nail on the head, the less you charge the more headaches you will have. If you think the low price will bring them in then I would do a 3 page site for $99, you own it, you host it, you own the domain name and charge them $19.97 a month for all of that. They want more on the site then charge them market rates.
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  • Profile picture of the author tonyscott
    Double it to $199 and add a $9.99pm hosting fee. Promote it as a discount from your usual price of $699 and $29.99pm. Find a reason that potential customers will purchase, other than you need the cash and it's cheap.

    Tony
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    • Profile picture of the author enterpryzman
      Originally Posted by tonyscott View Post

      Double it to $199 and add a $9.99pm hosting fee. Promote it as a discount from your usual price of $699 and $29.99pm. Find a reason that potential customers will purchase, other than you need the cash and it's cheap.

      Tony


      Actually, double is 198. <<<< just kidding Tony. I agree that the price is too low and I promise you that the less you charge, the less desirable the client and more demanding they will be.

      The exception to that would be to hand pick 10 companies or businesses you would like for clients later and give them a 6 month trial for the $ 99. with the option to continue it at a monthly hosting fee. In this way, you can pick clients that could benefit you later and look great in your portfolio.

      Enterpryzman
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  • Profile picture of the author sconlinemarketing
    I sell $100.00 2 page site's, and charge $30.00 a month for hosting, and updating.
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  • Profile picture of the author deaner10
    I bought a site in the past and paid $500. I would of never paid $99 because I would of doubted the quality. Custom site with nothing too fancy...
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  • Profile picture of the author techlover
    I would charge a median price of around $250 with $25-$50 in domain, hosting, and maintenance fees per month.

    I think this will get you away from the cheap and rich people into the wonderful area of middle class business.
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  • Profile picture of the author truly_gifted
    Well, I wasn't thinking about it as building a business. I just wanted to offer a service to make some quick money. I don't even won't to bother with hosting other than sending them through an affiliate link.

    I'm looking at it like this, basically. I can build a website fairly quickly, and it's a skill that could make me some money. You know what people say about leveraging what you have to get what you want? That's exactly what I'm trying to do.

    And John, I just might do what you suggested. It's funny how you overlook the things that are sitting right in front of your face sometimes. Thanks for the tip!
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  • Profile picture of the author Amir Luis
    You could always do a 10 page site for FREE with $99 per month hosting.

    YellowBook does it.... so why can't you?
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    • Profile picture of the author John Durham
      Originally Posted by Amir Luis View Post

      You could always do a 10 page site for FREE with $99 per month hosting.

      YellowBook does it.... so why can't you?

      There ya go. There are people in the wso section who do 5 page sites for less than 99. (Period). If it takes you two hours and they only stay with you for 90 days then you made $150 bucks per hour....Hopefully they will stay with you for years to come.
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  • Profile picture of the author Bruce NewMedia
    Originally Posted by truly_gifted View Post

    I have a goal to build 10 simple websites by tomorrow, and I've set my price point at $99. I know that's rock bottom, but I figure that I could pull some quick (and cheap) buyers for that amount.
    It seems to me you are making an assumption which I don't think you'll find to be true. It may work, but I doubt it.

    The assumption is that many more will buy from you at $99 than $300 or $500 or $750 and on. I don't think that will be the case, as I've never seen it happen. Compare $500 to $99. You need ONE $500 site order, or FIVE TIMES THAT just to make the same money, right? ...(and you will do FIVE TIMES more work).

    So, there would have to be FIVE TIMES the demand, just waiting for a $99 site offer to open up, right? Except, there are already $99 website offers on CL and plenty of other places. For all you know, they may have already scooped up all the ready-to-go $99 buyers. ..since you're expecting this to occur in ONE DAY.

    And, I agree with comments by Amir and Steve. Many very low end clients are pia's, and Amir's idea would probably result in more net cash, and certainly initially attract the most price sensitive, if that's what you're after.
    _____
    Bruce
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    • Profile picture of the author vok
      Originally Posted by brucerby View Post

      It seems to me you are making an assumption which I don't think you'll find to be true. It may work, but I doubt it.

      The assumption is that many more will buy from you at $99 than $300 or $500 or $750 and on. I don't think that will be the case, as I've never seen it happen. Compare $500 to $99. You need ONE $500 site order, or FIVE TIMES THAT just to make the same money, right? ...(and you will do FIVE TIMES more work).

      So, there would have to be FIVE TIMES the demand, just waiting for a $99 site offer to open up, right? Except, there are already $99 website offers on CL and plenty of other places. For all you know, they may have already scooped up all the ready-to-go $99 buyers. ..since you're expecting this to occur in ONE DAY.

      And, I agree with comments by Amir and Steve. Many very low end clients are pia's, and Amir's idea would probably result in more net cash, and certainly initially attract the most price sensitive, if that's what you're after.
      _____
      Bruce
      I have to agree with Bruce on this one. Not only that, but $99 websites have low quality and scam written all over it. I personally wouldn't trust someone for that amount of money just gives them an excuse to delivery poor quality. You get what you pay for, people in business understand that more than anyone.
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  • Profile picture of the author John Durham
    Good point Brucerby... Excellent point. You can make just as many sales at a higher price point. People get what they ask for. Theres the voice of reason.
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  • Profile picture of the author enterpryzman
    I will tell you without question that my most demanding and unreasonable clients have been those paying the least. They want everything thrown in including the " kitchen sink " ( American Humor ) and want it yesterday.

    If you are trying to do something cheap or low cost to make some fast cash, why not create a WSO here.....it looks like a good way to make money if you come up with a product that is simple yet provides value.

    Enterpryzman
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    • Profile picture of the author cryptision
      How about this for the $99 special idea. Websites start at $99 per page. No mysql, No PHP, no shopping cart. All that is extra. Also, the customer is responsible for their own hosting. Although it would be a good idea to help novice customers setup a Godaddy account or point them towards a free hosting. (just make sure your customer know the restrictions and pitfalls of free hosting) Also, Also it would be a good idea to help them register their domain name. Another idea on the contract would be to offer the first or second small change for free, then charge $20 to $40 for each additional change. I would have a contractional lawyer help draw up three different type of contracts and Terms of Service. You should have a different contract for individuals,small business, and organizations. This business model would be perfect for small restaurants needing only an online menu, Event news, and personal dedication pages. I've been in the planning stages of doing this myself and researching the best policies and procedures to implement. One policy is to let your potential client know of the average time table of coding up a one page site. Also, would be a good idea of coding three potential sites and give you client a choice on which one to use. (note that the choice is binding and to charge another $99 to for another site if clients changes his mind after a set period of time.
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  • Profile picture of the author atrbiz
    I charge $500-$5k for a custom WP website and have more than enough business. I attract the right buyers and weed out the "tire kickers".

    I could never charge $99 for a website. But hey if you do you could always charge them on monthly website updates/hosting to generate profit on the backend.

    Good luck!

    Ahmad
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    • Profile picture of the author Can Tonic
      Originally Posted by atrbiz View Post

      I charge $500-$5k for a custom WP website and have more than enough business. I attract the right buyers and weed out the "tire kickers".

      I could never charge $99 for a website. But hey if you do you could always charge them on monthly website updates/hosting to generate profit on the backend.

      Ahmad
      I also take 1000+ per website on WP basis. It is easier for me to get one client for 2k instead of finding 200 clients for 100 bucks...
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  • Profile picture of the author superrooster
    You are just going to make some sites and try to sell them? Do you even know who you are going to try and sell them to? How do you know you will get buyers for those sites?

    Are you just going to call up some businesses and say,"Hey, I have a site for sale, $99, you want it?". What if they don't like the site you built or want changes?

    You haven't provided enough info to know much about this. But I would suggest that you can earn more money by securing long term clients than just busting out $99 websites. Over time you are going to spend longer and longer hunting down prospects to buy your sites.
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  • Profile picture of the author Avanyx
    I would agree with Dwolfe if you are creating the websites at such a low cost it would be great to be able to get a recurring monthly income stream from your intial work, just charge recurring monthly for the hosting and you can do it that way you get $99 up front and then monthly income to, with others sharing the hosting you would end up making more for the hosting than the actual websites.
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  • Profile picture of the author CoachMikeH
    It's a great idea if you want to be poor. If you can build a website, then you need to seek after customers that are willing to pay you for your skills. Remember that businesses have budgets and they can find the money if you sell them on a great site. You need to brush up on your selling skills and then hit the road. You can bring in the dough if you will invest some time in learning.
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  • Profile picture of the author CoachMikeH
    The going rate for websites is around $1,000. Don't start undercutting the market and bring the value of website creation down. You need to think increase instead of decrease.
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  • Profile picture of the author sbucciarel
    Banned
    Originally Posted by truly_gifted View Post

    I have a goal to build 10 simple websites by tomorrow, and I've set my price point at $99.

    Your opinions?
    I can't imagine what 10 websites built in one day would look like or how one of them would really benefit a client.
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