Specialist service provider increases profits 25% in the face of fierce competition


Our client, a carrier-class hosted service provider, was facing increasing competitive pressure. They had a core service offering of fully managed servers. Decreasing server sizes and the associated increase in power and air conditioning requirements were pushing the hosting environment to its operational limits and significant investment was becoming necessary. However, falling service prices meant an infrastructure upgrade did not make business sense.

JP Reis consultants reviewed the service offering and designed an extremely dense, virtual environment which enabled a flexible product offering that could command premium pricing whilst fully exploiting infrastructure resources. By producing an infrastructure management plan, that provided only the level of support required by the application, an effective return on investment was produced.

The effect of the JP Reis plan and design was an innovative product set that delivered maximum usage of existing infrastructure. Having been in decline, our client saw a 30% increase in revenues and a 25% increase in profits which produced a rapid return on investment.

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