Our original host's act of responsiveness was to offer anyone affected 1,000 megs of space. This was not good enough for us. They never really apologized or tried to contact anyone - even their own site was down for most of this time period. In the end, the hosts we found are much smaller companies than our original host. I think that sometimes, the bigger they are doesn't necessarily mean the better they are.
People tend to go with what they know, or stay with what they know because they fear the unknown.
Sometimes, it's easier to stay and deal with it than to leave. The small guy, though, needs to excel at service just to have a chance to survive. We never heard of our new hosts before, they simply impressed us with their attitude. It takes more than a good product to succeed on the web these days - it only takes being burned once to become savvy to bad service. You have to WOW them with your knowledge, attitude, and responsiveness if you ever want to have a hope of competing with the big guys.