In your post : ""In the hosting tender post, Boonex is expecting $100 or more for each referral they provide. This is quite a high amount. If we have to pay this, we have to increase the monthly fee from our clients. So we have not listed our site there.""

I think this is not a fair statement, as depending on the business model of your hosting company, if they choose to sell you a VPS for 20.00 a month, thats 240.00 a year (that is almost 3,000.00 in market value, given its see more a x12 ,x24 evaluation) it would be a choice of there own to make if that wish to pay a commission or not.

And again, each company has its own budgets and operations to allow for promotions and commissions of this sort. If they are raising there prices to compensate for a commission, then I think that business is soon to be out the door.

If you want to discuss what caused price increases more, is the the fact that a large number of dolphin "wannabe's" HOST-HOP, this means they sign up for a month, and then jump to another and then another , etc.

A hosting companies margins (profit) are based on longevity, the longer you stay, the company can start to make some money off the customer.

And of course, in today's world, most people think a hosting company can survive off the 2.50 hosting customers. (news flash, they cant) its called a lead in or loss-leader.

Companies are willing to take a loss upfront in order to gain your loyalty and have you stick with them for the long term. If in a given market, or hosting climate, like Dating sites, etc, if the turn over starts to get too high, you will see prices go up and up.

Regards,
CyberXing