Hosting Industry Growth

Hosting Industry Growth

Benchmarking your results against a peer group is one of the most effective ways to determine the efficacy of your marketing and sales organizations. At MaximumASP we use a basket of publically traded companies and individually reported divisions of public companies to benchmark our results. I thought it would make an interesting blog post to discuss how the hosting industry is growing. Since MaximumASP provides managed hosting, colocation and cloud computing we benchmark a combination of companies that provide these types of services. For colocation we track Dupont Fabros, Digital Reality Trust, Equinix, Internap and Savvis. For hybrid Colocation + Managed Hosting companies we track Peer1 and Terremark. I have included the most recent annual growth rates for each of these companies below all numbers are from Yahoo Finance:When analyzing these results clearly wholesale colocation companies are doing well. For the most part the larger a company is, the faster it seems to be growing. Additionally a number of companies at the bottom of the list seem to be struggling to find a way to grow. The average annual growth rate for all companies is 11.13%, which is roughly the median as well. Growth rates are a hot topic in our industry but they should be the beginning of your benchmarking not the end of it. There are number of other valuable benchmarks you can use to compare the effectiveness of your sales and marketing to the other companies in our industry. But that is fodder for another blog post.