Prices, Characteristics and Options

I am lost between the options and Characteristics.....

Simple example:

Lets say I want people to order a hosting package;

I create an article "webhosting"

Create a Characteristic "Diskspace" and add a few different sizes.

This I can add to the webhosting and it will show a nice dropdown with choices. But I can't make it to set different prices for the Characteristics?

Searched the forums but it seems I need Options.

So fine, I create options but then Every option is a separate item and not a nice dropdown or radio group. They also allow more of the choices set to Yes, so no use if I want someone to choose a diskspace size.

Please advice about this puzzle.

For a diskspace size, you have to use the characteristics, when you have created a characteristic with many values, you add it to a product, then in the product edition page you have to click on "Manage variants" and then you can edit each variants and change their price.