Hey there, you all probably know that we sell VPS in various locations around the world but one particular region isn’t gaining any customers. I have VPS regions setup in France, Germany, Singapore, Canada and US and all of them are getting good amount of customers to handle the expenses as well as get profits except Canada.
We tried decreasing prices but that also didn’t worked. People just don’t wanna explore the Canada region and get ready for US. Due to this, we had to decrease our rented hardware until it came to just 4 nodes. It’s still not covering the expenses. The company is profitable and we’re handling the burden for 6 months now but it still isn’t seems that the VPS region might attract customers.
We do not want to just close a region and cause inconvenience because that isn’t how this works. What are my options here? One of my employees also suggested using it for mining but I have prevented it in our whole infrastructure.
My Australia location did horribly. It just wasn’t appealing to enough people, didn’t fit their needs. It has remained a net negative for quite some time, probably 7 years or so? I just reduced it to bare minimum, stopped selling, and I’ll finally sunset it when there’s only a few customers left there.
It is what it is. I’d spend more time focusing on what the thing should be which subsidizes what remains in Canada and generates much better profits. Reseller, for example, has subsidized everything that isn’t profitable and generated profit on top of it.
As someone in the US, I like locations near Toronto and Montreal as these are pretty close to major US cities.
For example, Toronto is (I believe) the closest city to Chicago that has a lot of nodes (excluding Chicago itself). It’s also near Buffalo and about as close to NYC as Virginia is.
People outside the US may not know this. They’re thinking that they want to enter the US and Canada is a different country. The US is already large. So Canada is far away from much of it.
I have noticed that CA servers are often in stock longer than other services. So, this is an interesting perspective to hear.
That’s interesting. Do you think they have different preferences or did they have local providers that were too entrenched? Fastmail is there, but don’t think they actually have any servers there.