Choosing your budget
The first step is to figure out how much money you're
willing to spend to advertising and promotion per month. It isn't
uncommon to spend hundreds, thousands, or even tens of thousands on
finding customers, but if you're unable to spend anything at all and
are looking for entirely free options, that's fine too. What you spend
is entirely your choice - it's something someone else can't decide for
you. I've heard from successful web hosts who haven't put a penny into
it ever, and I've heard from hosts who claim that the $6000
ad campaign they started really paid off.
While a healthy-sized budget will certainly increase
your chance of getting customers, if you have under $300 to spend on
starting up in the first place, there are probably at least ten other
things that you could use the money for - things that could (but would
not necessarily) benefit your business more. Think about it.
And remember: never spend so much that your entire business will fail if your sales calculations don't end up being accurate.
Getting an advertising banner
If you're a professional at Flash or Photoshop,
you'll be able to make one yourself. But even if graphics aren't your
thing, there are quite a few services that will make one for you, if
you look around a bit. I've seen many great-looking banner creation
services ranging from $10 to $35.
Free Methods
Below are a few of the most common ways to get customers without spending anything at all.
Forums and Message Boards
First, let me make something very clear - I do not
recommend signing up at a board, posting one message in the advertising
section, and never visiting again. With the number of other advertising
posts there, it would be unlikely to stand out, anyway. What can work
better is to pick several communities that you have an interest in
participating in, and placing a link in your signature. You'll get a
good reputation with old members who will then be more likely to
consider your site as an option, and new members will see from your
post count that you've been around for a while and did not sign up just
to scam them.
Host Directories
Many host directories require a fee to get listed,
and even most of those that do not will usually list their "Sponsors"
ahead of all others. Furthermore, there are going to be so many hosts
listed that you'll have a hard time standing out. Still, I would say
it's worth adding your site. There are a large number of directory
websites, and Google is a good place to start if you're looking for one.
Link Exchanges
It's inadvisable to trade links with another web host
for obvious reasons, but if there's a site similar to yours in size
that webmasters visit regularly, it could be worth it.
Word-Of-Mouth
This is probably the most effective way of
advertising anywhere, including paid methods, but it can take time to
work. The basic idea is to make your customers extremely happy, and
they'll recommend you when their friends ask if they know of a good
host.
Writing Articles
Note that this is something I would definitely not
recommended unless there's a web-related area you feel you have a lot
of experience in and you have impressive writing skills. Even if you
don't get paid for your efforts, most sites will give their
contributers a link at the end of the article, which can be
surprisingly effective in driving visitors to your site.
Inexpensive Methods
Google AdWords
Recommended, but with reservations. I have heard
multiple people say that it's not a good idea unless you have a bare
minimum of $200 to spend on it.
Banners on webmaster-related sites
Many websites offer to sell you space on them for a
wide range of prices. Take a look at the details next time you see a
"Advertising Information" link.
Flyers, postcards, and posters
I've heard huge success stories from advertising
locally. You may not think that dropping off a few information sheets
at a nearby library, school, cafe, or anywhere else with a bulletin
board would generate too many sales, but for many, it seems to work
extremely well.
Host Directories
Advertisements are normally everywhere on web hosting
directories, and depending on the size and popularity, you can usually
get a small button without spending too much. In addition to having
your site listed in them (as described in the free methods section),
this can really get people's attention.
