Enhancing Hosting Services: The Importance of Differentiation
In the competitive landscape of hosting services, standing out from other companies is crucial for attracting new users and improving retention rates.
Current Differentiation Strategies
- WordPress Specialization: Offering hosting services tailored specifically for WordPress users is a common strategy. This specialization caters to the large community of WordPress website owners.
- Security Enhancements: Strengthening security measures is essential. Users seek reliable hosting providers that prioritize data protection and safeguard against cyber threats.
- User Experience: An easy-to-use control panel gives users instant access to services and prompt support.
- Cost Optimization: Building a control panel with a tool like cPanel or leveraging an existing cloud platform (like Google Cloud or WP Cloud) can reduce costs while maintaining quality of service.
- Infrastructure Upgrades: Improving hardware and infrastructure to deliver high-speed performance is a standard practice across the industry.
The Challenge of Differentiation
Despite these efforts, differentiation remains challenging. Many hosting companies adopt similar strategies, leading to a crowded market where distinguishing one service from another becomes difficult.
Speed as a Key Differentiator
High speed continues to be a critical factor for end users. Here’s why:
- SEO Effectiveness: Faster websites rank better in search engine results, driving organic traffic.
- User Experience: Speed directly impacts user satisfaction. Visitors expect quick page loads and seamless interactions.
- Conversion Rates: Speed affects conversion rates. Slow sites lead to higher bounce rates and lower conversions.
- Sales Boost: A fast website contributes to increased sales and revenue.
Moreover, users perceive slow-loading sites as problematic. If they encounter delays, they might switch to a competitor’s service.
Overcoming Speed Limitations
While upgrading hardware and infrastructure can enhance speed, there are limitations. Often, companies end up with similar specifications. Additionally, cost considerations must align with service pricing.
WEXAL® Page Speed Technology®:
Revolutionizing JavaScript Optimization
JavaScript remains a primary culprit behind sluggish website performance. While eliminating JavaScript altogether might theoretically speed up load times, its ubiquity and intricacy make this approach impractical. Delaying JavaScript execution is a common strategy, but pinpointing which scripts to delay poses a significant challenge—especially as site layouts evolve.
Enter WEXAL® Page Speed Technology®:
AI-Powered Optimization: Effortlessly optimize JavaScript execution using artificial intelligence. Dynamically determine which scripts can be delayed without compromising functionality.
Result: Lightning-fast websites without manual intervention.
Patent-Pending Innovation: WEXAL® stands alone with this cutting-edge technology. No other hosting provider can replicate it.
By embracing WEXAL®, hosting services transcend the limitations of traditional speed optimization methods, gaining a distinct advantage in a crowded market landscape.
Effectiveness of WEXAL®
PageSpeed Insights Performace Score: 20 to 30 points → 60 to 70 points
Loading Speed: 5 to 10 seconds → 2 to 3 seconds
Sessions: A remarkable 130% increase in sessions was recorded.
Conversion Rates: Conversion rates saw a positive impact, improving by +23.5%.
Hosting Case Study
Differentiation through WEXAL® PageSpeed Technology®
Customer: GMO Internet Group, Inc.
Target Services: ConoHa WING,Onamae.com Rental Server.
The Challenge
Shared servers in Japan were facing fierce competition with similar specifications and service offerings. Differentiation from other providers was a difficult challenge.
Pursuit of Speed
The goal of further speeding up the front end was clear. But how could this be achieved in a crowded market?
ConoHa is differentiating itself by aiming for the No. 1 position in web performance, but there was still room for improvement in terms of front-end speed and SEO optimization. We felt that this would be a key point of differentiation, as competing services had not yet tackled this issue.
Since we were introducing this as a differentiating feature, we thought it would be more beneficial to our customers and have a greater impact as a measure if it were made available to all customers. In addition, since the two brands, Name.com and ConoHa, have different target groups, we wanted to incorporate WEXAL‘s new technology and compete as a group.
The Impact
By implementing WEXAL® , the GMO Internet Group has achieved the following outstanding results.
Improved user experience: Users can now significantly speed up their websites with a single click.
Unprecedented differentiation: WEXAL® was the first shared server offering in Japan, giving WEXAL a powerful differentiation weapon against other hosting services.
Significant growth: Within the first year of service, the number of active users exceeded 10,000, with strong new subscriptions and retention rates.
https://www.prime-strategy.co.jp/en/licensing-offer/wexal-license-gmo-internet-group/
Implementation Approach
Provided by KUSANAGI VM
KUSANAGI is a VM that runs WordPress at high speed and is provided as a VPS. WEXAL is bundled with the top edition of KUSANAGI.
Only WEXAL components are installed on the infrastructure
- It can be installed as an infrastructure rather than individually for each user.
- By utilizing existing infrastructure, the system can be offered to a wide range of users with little investment.
- The number of end users can be controlled on the hosting service side.
- Not charged by the number of users or usage volume like WAF or CDN.
Licensing Structure
- Enterprise : Annual License*
- PAYG : Base fee* and pay-as-you-go based on number of domains
*Include patent royalties
