Once perceived as a country which was slow to adopt to ecommerce, New Zealand is finally turning the tables. Though a small country with traditional economic base, the potential of ecommerce lied untapped for long. However, in the last one decade, significant push has been given to online commerce with many existing global etailers as well as new local ventures setting up their stores. If one is to go by the figures by Bank of New Zealand, the worth of ecommerce industry in the country in 2013 was $2.7 billion. This was only 6.2 percent of total conventional retail. If these figures are anything to go by, the craze for online shopping is beginning to increase. This augurs good even for the hosting businesses as demand for dedicated servers in New Zealand (NZ) increases.
Facts and Figures on Online Retailing in NZ
By one estimate, the level of penetration of internet in New Zealand is about 90 percent in 2014. People like to browse online. Especially people of more than 55 years of age, go online everyday. This percent is higher than the normally active age group of 25-34 years. As per a report of survey by PowerRetail, a New Zealand shopper spends about NZD 1900 per year on online shopping. Another survey established that even the use of mobile for internet shopping is also quite high. It stands at 74 percent in 2014. Mobile penetration itself has reached 90 percent by 2014 and one-third of smartphone users purchase online. These highlight the increasingly tech-savvy generation of people who want to shop online.
All these metrics bring out the importance which ecommerce has gained in recent years. Buyoed by many success stories, new ventures are set up every year to further tap the latent potential of the market. All these new entrants as well as established players in NZ online marketplace require hosting on highly secure, flexible, customizable, reliable and scalable dedicated servers in New Zealand.
Dedicated servers are the top-level servers in terms of control exercised by the owners. These allow a single client to use one server machine entirely for themselves. These can be configured and applications hosted the way client wants. For new ventures, dedicated servers in New Zealand provide the required level of freedom for customizations in order to conduct tests and research.
Managed Dedicated Servers
Dedicated servers can be either managed by the providers or these need to be managed by the IT team of the client. The decision on whether there is a need for self-management of these servers or this work has to be entrusted to the service providers will rest on costs and hassles involved and the capability to undertake it. Only when the organization is large enough and has the dedicated resources to take care of these round the clock, does it make sense to have dedicated servers under own management. This is not the case with most of the online ventures in New Zealand and therefore managed dedicated server hosting plan is the most common choice.
Another point of consideration with respect to the dedicated servers in New Zealand is related to their physical location. Generally, keeping these at own place (home or office) is not desirable due to high probability of these getting damaged. Further, the capital and recurring costs of maintenance, including those of proper systems and equipments are prohibitively costly. For this reason, dedicated servers in New Zealand are required to be kept in colocation facilities.
Colocation businesses have also been set up in main cities of New Zealand, such as Auckland and Wellington, which specifically cater to this growing need of people. Clients are required to pay a monthly rent for hiring a rack space, cabinet or whole room. The advantage of using these centers is that these offer security to dedicated servers in New Zealand. Due to operation of economies of scale, it is feasible for colocation providers to invest in a wide variety of security and safety measures. These include temperaturs and moisture control measures, total access control, fire-fighting capabilities, CCTV monitoring, pest control measures and safeguards against natural hazards. These facilities make these centres opportune locations for keeping owned servers.