Yes, business is always tough. The advantage of DriveHQ is we have the best products and technologies (which is because we have the best people in this industry). This differentiates us from the low-end free service providers. Ultimately, businesses need to generate positive cash flow; and good customers don't mind to pay for good services.
When a company starts to offer free service, usually it is because it cannot compete in the real market place. They thought by offering free services, it will help them gain competitive advantages. This is very risky and more likely will fail. The reasons? the company will lose revenue stream, and it has to scale down spending. However, the cost will sky-rocketing due to the increased free users. Eventually, the service quality will degrade, and company simply cannot afford to lose money forever.
So DriveHQ's business model is simple. We have always been a technology and service oriented company. We spend little money on marketing. You cannot easily find us on search engine or anywhere. We leverage on our good products and technologies, we rely on our existing user base, we rely on our partners. We are still little known, but we have become one of the largest online storage service providers. The largest digital media software company, Sonic Solutions/ Roxio (NASDAQ: SNIC), is our co-branded partner. We have signed up more and more partners. At the core of our business, we want to create value to consumers and businesses; and we are very willing to work with partners.
If business is tough? yes, sure it is; more than 90% of companies in this sector will be out of business in a couple years. We are confident that we will be the last few companies to survive. If you don't have competitive advantages, then exit this market now might be a wise choice for you. If you have access to big user base or big marketing channel, then work with us, leveraging on what we have. You can make a lot more profit! contact me at firstname.lastname@example.org.