DISC Inc

The downside to having a dedicated IP address is the cost. Most ESPs charge an initial set-up fee of $500 to $1,000 for a dedicated IP address; there's also often a $250 monthly fee for maintaining it. This directly impacts your e-mail ROI (define). For large quantity senders the additional cost is minimal, but for those sending small volumes of e-mail it can make a dent in your profit margin. A shared IP address is just what it sounds like -- you're sharing the IP address with other organizations. Every company sending from the IP address has the potential to impact, positively or negatively, its reputation. If your IP address neighbors are good guys, the reputation shouldn't be damaged. But if one of them (or if you) does something that raises a red flag, the IP address' reputation will be tarnished and all e-mail sent from it could be blacklisted. Why Might You Want to Share an IP Address? The ESP I spoke with recently raised another valid positive about shared IP addresses, at least for low-volume senders. When we talk reputation, we talk about positive, neutral, and negative. To get on the reputation radar, the IP address needs to be sending a certain amount of e-mail each month. If your sends are small, your dedicated IP address may be below the radar and never "qualify" for a positive or a negative reputation -- you'll be stuck with a "neutral" reputation or no reputation at all. This isn't all bad, but it's also not all good. By having companies share IP addresses, this ESP contends it is able to get enough volume to earn positive IP address reputations, which helps its customers' e-mail get to the inbox. This is a valid point, as long as everyone using the IP address behaves and avoids red flags. It's a calculated strategy, one which requires the ESP to provide education about e-mail best practices and closely monitor every IP address to ensure customers are in compliance. If you're sending from your own in-house system, these same pros and cons apply

The downside to having a dedicated IP address is the cost. Most ESPs charge an initial set-up fee of $500 to $1,000 for a dedicated IP address; there's also often a $250 monthly fee for maintaining it. This directly impacts your e-mail ROI (define). For large quantity senders the additional cost is minimal, but for those sending small volumes of e-mail it can make a dent in your profit margin. A shared IP address is just what it sounds like -- you're sharing the IP address with other organizations. Every company sending from the IP address has the potential to impact, positively or negatively, its reputation. If your IP address neighbors are good guys, the reputation shouldn't be damaged. But if one of them (or if you) does something that raises a red flag, the IP address' reputation will be tarnished and all e-mail sent from it could be blacklisted. Why Might You Want to Share an IP Address? The ESP I spoke with recently raised another valid positive about shared IP addresses, at least for low-volume senders. When we talk reputation, we talk about positive, neutral, and negative. To get on the reputation radar, the IP address needs to be sending a certain amount of e-mail each month. If your sends are small, your dedicated IP address may be below the radar and never "qualify" for a positive or a negative reputation -- you'll be stuck with a "neutral" reputation or no reputation at all. This isn't all bad, but it's also not all good. By having companies share IP addresses, this ESP contends it is able to get enough volume to earn positive IP address reputations, which helps its customers' e-mail get to the inbox. This is a valid point, as long as everyone using the IP address behaves and avoids red flags. It's a calculated strategy, one which requires the ESP to provide education about e-mail best practices and closely monitor every IP address to ensure customers are in compliance. If you're sending from your own in-house system, these same pros and cons apply