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What is a E-Commerce Web Hosting?
You might ask. With that in mind
StealADomainName.com
went on a quest to answer that question for our prospective customers and customers without all of
the technical stuff getting in the way.
The results of our quest to answer the question "E-Commerce
Web Hosting"
is listed below to help you better understand the meaning and importance of each aspect of Web Hosting.
Choosing an E-Commerce Host
Most small and mid-size online businesses aren't
candidates for hosting their own sites in-house -- the setup costs for
server hardware, bandwidth capacity and software development are beyond
the means of most. And once the server is set up, ongoing maintenance
can be challenging and costly.
Fortunately, there are alternatives. Companies
specializing in Web hosting abound, and enable even the smallest
e-business to gain an online presence quickly and inexpensively. But as
an online business, you have a number of special needs that someone
running a personal home page does not. That's why free Web hosting
bundled together with your basic monthly fee from your ISP, or free home
pages through services like Tripod or Yahoo! are generally poor choices
for sites that generate transactions.
Ten key issues should be on your
checklist as you select your e-commerce host:
1) Bandwidth
"You need your site to be easy for people to
download," says New York-based e-commerce consultant Jon Bednarsh. "And
you need to capture information that your site visitors send to you --
like registrations, orders and credit card data -- as quickly as
possible." That means that you need a host with bandwidth to spare. Your
best bet is to find a provider with a minimum of one T-3 (45 mbps) line
connection to the Internet's backbone, or to an "upstream" provider.
This is 28 times faster than the T-1s used by many smaller providers.
"Don't be fooled by the sheer size of the
connection," says Bednarsh. "You'll also want to find out what
percentage of their bandwidth is being utilized by existing demands on
the system. The average bandwidth utilization should not be greater than
30 percent of the available total, and peak bandwidth should be no
greater than 60-70 percent." Beyond that level, performance across the
network begins to deteriorate. You might even want to write in a
guarantee of bandwidth utilization limits when you prepare a contract
with your host.
2) Proximity to Backbone
Many hosting companies connect to larger Internet
connectivity providers, running a commercial phone line "upstream" to
the larger company, who in turn might be running a connection to yet
another "upstream" provider. The further "downstream" your provider is,
the more chances there are for things to go wrong, as your data is
handed off with each upstream connection.
Ask potential hosts: "How many hops are you to the
backbone?" A "hop" refers to each server or router location Internet
traffic must travel through before continuing on to its destination.
Ideally, you want a host with few hops -- or whose machines actually sit
on the Internet backbone itself. Don't discount companies based on size
-- even small companies can pay to "co-locate" their computers at a site
that feeds directly to the Internet's backbone.
3) Server Setup
Make sure the host you choose is using
top-of-the-line hardware, preferably multi-processor server machines.
Bednarsh points out that they don't have to be name brand; in fact, many
of the best Web hosts build their own equipment.
4) Redundancy and Reliability
"As we all know from experience," Bednarsh says,
"nothing ever works right all of the time. A vital measure of a reliable
host is its preparation for the unexpected." Your host should have
multi-homed Internet connections. This means connectivity provided by
more than one backbone provider to ensure maximum reliability.
Hard drives should be backed up daily and you
should have access to them at any time. Your host should also have a
back-up uninterruptible power supply onsite, like a generator, that is
programmed to kick in immediately in the event of any power failure or
flicker.
5) Disk Space
As a general rule, you won't need as much as you
think. Most hosting packages start at 25 MB of hard disk space -- enough
for 500 typical Web pages. But the important thing to inquire about is
the ability to easily increase your disk allocation.
6) Site Creation and Commerce Tools
Many commerce hosts incorporate easy-to-use
software for building online catalogs. This will enable you to maintain
your storefront without the need of an outside developer. Some of the
most widespread and easy-to-use packages are:
· SoftCart, by Mercantec
· ShopSite, by ICentral
· Commerce Publisher, by iCat
Be sure to find out which software packages your
host recommends and supports.
7) Security
The current standard for the security of online
transactions is Secure Sockets Layer (SSL) encryption. This protocol
encrypts the transaction data as it passes over the Internet. However, a
digital certificate is needed to verify the merchant's identity. You
will most likely want to obtain your own certificate from one of the two
largest and most widely supported issuing authorities -- VeriSign and
Thawte. Verisign's pricing schedule is somewhat higher than that of
Thawte, but the VeriSign certificate is supported by a larger number of
older browsers.
8) Payment Processing
To accept credit cards online, you will need to
acquire the service of a payment processor. A payment processing service
handles credit card transactions between a Web business and merchant
account in real time. Your payment processor choice will depend on which
shopping cart solution you choose, since most have at least one payment
processing component built-in. Three of the most popular payment
processors are:
· 2CheckOut
· Segue Systems
· ICVerify
Also check with your merchant bank, as it may have
relationships with one or more of the above processors. Important: You
will need to apply for a merchant account on your own, as any business
accepting credit cards must. These companies will help you use your
merchant account for your site, but they are not banks, and cannot offer
accounts themselves.
9) Back-End Integration
Many site owners will want to feed data from their
Web sites directly to their existing accounting, inventory and consumer
database systems. A top-shelf host will offer some degree of integration
assistance. While you might not consider this an important issue as you
start up your site, if you succeed in building a business online,
integration of your systems will become a significant issue, so inquire
about the scalability and service a potential host offers.
10) Cost
Last, but certainly not least, is the cost of
getting started and maintaining your online presence. Many smaller site
owners receive excellent service from their hosts for as little at $100
per month. But the more success you have, the more support you'll need.
Large companies often pay their hosts as much as six figures per month.
How much will you have to pay? Here are a few ballpark costs to keep in
mind:
Expect to pay anywhere from $50-$150 for setting
up a plain vanilla commercial hosting account.
If you don't already have your domain name
registered, you will most likely pay between $100 and $200 for your host
to register it for you, as well as $70 for the first two years' fee to
Network Solutions, the official registrar of .com, .net and .org
domains.
Software licenses for e-commerce catalog
applications range from $249 to $3,500 at the low end, and can cost many
times that if you need customization, or serve a very large number of
customers. (Some providers have negotiated special agreements with
software vendors -- it's worth asking about).
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