The price shown most prominently on a hosting plan is often not the price you will pay for it in the future. Many providers offer a lower introductory price for the first term, and a higher standard price from the first renewal onwards. Looking for the renewal price helps you compare what a plan will actually cost over time.
This is why this website compares renewal prices.
Why headline prices are usually first-term-only
Introductory pricing is a common way to attract new customers. Moving a website between hosts takes time and effort, so a provider can reasonably expect many customers to stay after the first term, even at a higher price. A cheap starter price gets people through the door, then the hassle of moving keeps them there when higher prices kick in.
The introductory price is not always hidden, as such. It is usually disclosed somewhere, but often in smaller text, a footnote, or a checkout page, or even 'help' documents, rather than next to the headline figure.
How large the difference can be
Renewal increases vary widely between providers and plans. Some renew at the same price. Others renew at two, three, or more times the introductory rate.
As an illustration, a plan advertised at $4 a month for the first year might renew at $12 a month. Over two years, that plan costs $192, not the $96 a reader of the headline price might expect. The same pattern often applies to domain registrations, which are a separate product with their own renewal pricing, as explained in Domains vs. Hosting: Two Separate Things You Both Need.
Where to find the renewal price
Before committing to a plan, check:
- The fine print on the pricing page. Look for phrases such as "first term", "introductory", "renews at", or "regular price".
- The checkout or order summary. Some providers only show the renewal price at the final step.
- The terms of service. These usually describe how renewal pricing works and whether prices can change.
- The provider directly. If you cannot find the renewal price, you can ask for it in writing before you buy.
When you find it, check whether it is quoted in New Zealand dollars or US dollars, and whether it includes 15% GST. Normalising prices this way is covered in more detail in Comparing Apples to Apples: Currency, Billing Cycles, and Total Cost.
Why long lock-in terms can mask this
The lowest introductory prices are often only available when you pay for several years upfront. This can be good value, but it has trade-offs:
- You pay more at the start, and refunds for unused time may be limited.
- The renewal increase is delayed, not removed, so it is easy to forget about until the renewal invoice arrives.
- You are committed to the provider for longer, even if the service does not meet your needs.
A long introductory term is worth comparing on its total cost, not on its monthly equivalent alone.
A simple habit: check year-two pricing
Before buying any hosting plan, it is worth working out what the plan will cost in its second year and beyond, not just the first. If you expect to keep your website for several years, the renewal price is likely to make up most of what you pay.
This check is one of the red flags summarised in A Practical Checklist for Comparing Hosting Providers Side by Side. It also helps to be clear about which features are included at renewal, as some add-ons covered in Bundles and Add-Ons: When Extra Features Add Confusion, Not Value are free for the first term only.
*This article was drafted with the help of AI. It was fact-checked and edited by a real person.