Tag Archives: EIG

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Arvixe Web Hosting Reviews

I'm pleased to announce in our effort to maintain the best web hosting reviews, we've added yet another company to our database here at Review Signal. Introducing Arvixe Web Hosting Reviews. They are one of the few companies we track that offers Windows web hosting. They also offer nearly every type of hosting: Shared, Reseller, VPS, Cloud, and Dedicated.

Arvixe was purchased by Endurance International Group in October 2014. EIG is the parent company of many brands listed on Review Signal: A Small Orange, BlueHost, HostGator, HostMonster, iPage, JustHost, and NetFirms. EIG brands span the gamut in terms of ratings at Review Signal. A Small Orange is one of the top rated companies we track. Unfortunately, Arvixe joins the majority of the EIG brands on the lower half of our ratings.

See Arvixe's Overall Rating over the past year below:

Arvixe_march_2015

Check Out Arvixe Web Hosting Reviews

 

GoDaddy Media Temple

GoDaddy Acquires Media Temple: The Good, The Bad and The Business

If you are following the tech or web hosting world at all today, you've probably heard about GoDaddy [reviews] buying Media Temple [reviews] which Tech Crunch announced earlier today. The news is evoking some very strong emotions and reactions from the community.

But emotions are only so interesting. Let's talk about the implications of this acquisition and how people might actually be affected by it.

The Good

The obvious winners here are the owners of Media Temple: Damian Sellfors and John Carey.

One of the biggest concerns that I've seen is that Media Temple will now go downhill. I don't know that this is guaranteed and it seems unlikely to happen overnight. I only have a few years of data, and only one company jumps to mind as a good comparison: A Small Orange [reviews].

A Small Orange - trends - sep2013

A Small Orange were acquired by Endurance International Group (EIG) in March 2013. EIG, for those who don't know is the conglomerate that owns many major web hosting brands including BlueHost [reviews], HostGator [reviews], Host Monster [reviews] and more.

Most of the EIG brands do not have a great reputation. A Small Orange has had one of the best reputations since Review Signal has launched. So, I've been keeping a close eye to see what happens to their ratings as time goes on. They've continued to operate independently and their ratings have gone up in the past few months. That is the exact opposite of what many people would expect based on the acquisition.

I only have 6 months of data to look at so far, but the trends looks good for them. There may be a decline at some point, but the idea that a company that gets acquired immediately becomes bad isn't necessarily true. Which is good news for Media Temple customers.

The Bad

 GoDaddy.

When the second question in your acquisition FAQ is "What about GoDaddy’s reputation in the tech community?" you have a problem.

The answer sends some confusing messages too:

GoDaddy has been transformed in recent months and is essentially a new company. If we did not like what we have seen, we would not have joined the GoDaddy family. They have overhauled their leadership team and attracted tech talent from the best-of-the-best. We love “the new GoDaddy” that CEO Blake Irving and his team have created, especially their new approach with advertising, product focus and UX.

Though neither GoDaddy’s brand nor operations are being integrated into ours, we are excited to be a positive influence on them with how to make even more improvements to better serve the Web pro community.

It's a new company, they are great, but we won't be integrating any of that greatness. In fact, they turn around and say they hope to influence GoDaddy positively, so Media Temple is better? All the data we have would agree with that argument.

As far as GoDaddy being a new and great company?

GoDaddy - trends - sep2013

Not seeing it. It looks fairly stable at a mediocre level. Maybe more time will change that.

Virb and Founders

Another bad signal is both co-founders are leaving. They are also buying back Virb. There are a lot of flowery words about growth, dreams and better serving customers, but the actions seem to speak louder.

The Business

The web hosting industry continues to see consolidation. There appears to be two major players for the consumer market now: GoDaddy and Endurance International Group. They both seem willing to spend massive amounts of money to buy valuable brands.

Last year Media Temple had $52 million dollars in revenue [source]. So I would expect they sold out for 100's of millions considering growth, the cost of customer acquisition in the web hosting industry and low attrition rates.

Neither seems to be aggressively pursuing the growing developer market. There is a whole different set of competitors in the space like Amazon, RackSpace, Linode and Digital Ocean. Media Temple says they specialize in serving web professionals, but that's a slightly ambiguous term. This may be a slight push in the developer direction for GoDaddy, but I am not sure that the GoDaddy brand has much of a chance at making a headway in the developer space. It seems to evoke a lot of strong emotions (both rational and irrational). Using the Media Temple brand may be their only chance at getting any type of foothold.

For Consumers

I don't expect any dramatic changes right away. Media Temple should be on their absolute best behavior considering they know how bad the GoDaddy brand is and any legitimate reason to sow doubt would be amplified by the acquisition news.

A lot of people want to move on moral principles and that's reasonable. I would suggest taking a look at our web hosting reviews.

For those on the fence, locked-in or unable to afford a move, I wouldn't worry too much. We have yet to see any change in performance, it's likely to remain stable for a while.

Keeping an eye out for warning signs of declining performance at your web hosting company is always a good idea. This applies to any company, because over time, service and quality will vary at any company.

Graph of Web Hosting Ratings at Review Signal Since Launch

Happy Staturday!

I didn't quite finish porting the D3 / Rickshaw version of this to WordPress, so that users can explore the data themselves. So that will probably be next Staturday. However, I wanted to share a preview visualizing how the rankings at Review Signal have changed over time.

A few interesting points are this month, August 2013, you can see the four major EIG brands we track drop (BlueHost, HostGator, HostMonster, JustHost). We see WPEngine come down to mortal levels. We see the rise of DigitalOcean. I will do a more thorough investigation when the interactive chart gets published.

 

[Click Graph to Enlarge]

web_hosts_overall_rating_monthly_changes

Post Mortem of the EIG Outage (August 2, 2013) That Affected BlueHost, HostGator, JustHost and HostMonster

I first wrote about EIG's major outage as it was occurring and had to speculate on a few things before I had the data to support those guesses. This post is a more complete picture of what happened.

Recap

EIG had a major outage on August 2, 2013 that lasted for many hours because core switches in their Provo, Utah datacenter failed. This failure caused customers of BlueHost, HostGator, JustHost and HostMonster to be taken offline.

I speculated as to what would occur after the outage. How would the brands of the affected companies be perceived after such a catastrophic failure? I looked for a comparable event: the GoDaddy DNS outage in September 2012. What I observed from that event was a very quick return to normal volumes of messages and sentiment. GoDaddy regressed to the mean. 

GoDaddy

The charts I used in my original post were lacking. I didn't have time to really collect and analyze all the data, especially sentiment. I could eyeball the historical data and see the ratings bounced back to their original levels but it wasn't a granular look.

godaddy_dns_outage_full

This chart shows the actual outage, tweet volume and sentiment. It's immediately clear that negative sentiment has a huge spike. I also suspect that a lot of the positive messages are actually mis-categorized; Review Signal isn't perfect and things like sarcasm are one of the hardest things for the sentiment analysis algorithms to categorize. The unusual volume lasts three days and then quickly drops back to a normal looking pattern with perhaps a slightly higher baseline volume. The actual rating goes back to hovering around 50%, which GoDaddy's long-term graph hovers around as well.godaddy_chart

Let's get back to the EIG outage and the affected brands. I am only going to talk about two of the brands, BlueHost and HostGator, in this post because on a granular level, the other two, HostMonster and JustHost, didn't have enough data. The brands without enough data will take more time to develop a clear picture about the effects of the outage.

BlueHost

bluehost_sentiment

I was wrong. So far at least. BlueHost had an overall rating of 57% before August 2. It hasn't broken 50% since the outage. BlueHost did not, or has not yet, regressed back to the mean. What's interesting is that the volume of tweets about BlueHost's outage was more than double in quantity to the similar GoDaddy outage, but they both quickly dropped back to normal volume within days of the event.

I will explore this a bit more, but to do that I need to show you the other brand.

 HostGator

hostgator_sentiment

HostGator's outage looks almost identical to GoDaddy's outage. Around 1000 negative messages on the day of the outage and back to normal within days. HostGator appears to have regressed to the mean as quickly as GoDaddy, its rating has been over 60% two days, which are pre-crash levels, where its average rating was 62%.  HostGator behaved exactly as I predicted.

Weird Conclusions and Speculations

Why hasn't BlueHost regress to the mean? One explanation, which I was alerted to by a kind reader (Thanks Linda!), is that not all of HostGator's customers were in the Provo, UT data center. So the outage may have disproportionately affected BlueHost customers compared to HostGator customers. BlueHost is also the larger hosting company by number of customers, although not domain count.

That explanation may explain the volume difference, but I don't think it explains the regression to the mean for one brand and not the other. Presumably the affected customers of both brands should be equally upset. Those lingering feelings should last equally long for both groups of customers.

I can't explain why we haven't seen BlueHost regress, but I can point out a few differences between this outage and the GoDaddy comparison which may be factors. One important factor is duration. GoDaddy's outage lasted 4-5 hours according to reports. The EIG outage lasted from the morning of August 2 until 9 PM. They were reporting 'intermittent instability' into August 3 according to their official website.

I could speculate that the combination of severity, duration and size of the affected brand has caused some sort of more permanent brand damage to BlueHost, but I think that's premature. BlueHost hasn't regressed yet, but I still think it will eventually. A company that large, with such a huge brand and marketing infrastructure will probably recover. I will be watching BlueHost carefully for the next few weeks or months along with the smaller brands to see if it happens. If it doesn't, this will be an interesting case study in branding, communication and perhaps social media.

 

Thank you for reading and if you have any ideas, feedback or suggestions please leave them in the comments below.