If you’ve ever felt overwhelmed by the variety of web hosting services and wondered which one is right for you, you’re not alone. With so many options, each offering different pricing, features, and technical specifications, it can be challenging to find the perfect fit for your needs.
That's where we come in! We’ll break down the different types of web hosting so you can choose the one that suits you best.
The 4 Main Types of Web Hosting
From a technical standpoint, there are four main types of web hosting: shared, VPS, dedicated, and cloud. Let’s take a look at these first. After that, we’ll dive into the additional hosting options you are likely to see advertised by web hosting providers.
1. Shared Hosting
Best for: Small businesses, startups, and personal websites on a tight budget.
As the name suggests, shared hosting allows multiple websites to share a single server’s resources, such as CPU, memory, and storage. You can think of it like a public swimming pool, where multiple swimmers of all shapes and sizes can use the pool’s resources (water). This works well as long as there’s enough space. But if one person invites their whole family in, other people can get pushed out of the pool.
With shared hosting, this can happen when one site on the server gets more traffic than usual. This can mean that other sites load much slower or even fail to load. Sharing a server is ideal for lower-traffic websites, or websites where performance isn’t an issue (like a test site). It’s cost-effective, but you might pay the price in speed and performance.
If you’re considering shared hosting, check out our top picks for the best shared hosting services and best web hosting for small businesses.
Typically the cheapest hosting option.
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Most shared hosting plans come with user-friendly control panels like cPanel, which makes them easy to set up and use.
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The hosting provider generally manages server maintenance and security for you.
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Advantages
High traffic on one site can mean low performance for all other sites on that server.
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You have limited access to server settings and configurations.
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If one site goes down in a cyberattack, the effects can spread to all other sites too.
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Disadvantages
2. VPS Hosting
Best for: Growing businesses, ecommerce sites, and developers who need more control and resources than shared hosting.
Virtual private hosting (VPS) is a type of hosting that provides a “virtualized server environment” within a larger physical server, which is just fancy wording for dedicating a small space within a larger space.
VPS hosting can work well for sites that have outgrown the limitations of shared hosting but still need a budget-friendly option. This way, you get a portion of the server’s resources that no one other than you can use, and you can configure and manage them as needed.
VPS hosting is often used by websites experiencing rapid growth or running specific applications requiring custom environments. You can start with a smaller plan, and upgrade as your needs grow.
If you’re considering VPS hosting, check out our top picks for the best VPS hosting services.
You get a fixed amount of CPU, RAM, and storage, which aren’t shared with others.
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Greater control over the server environment lets you configure software as needed.
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You can easily upgrade your resources as your website grows.
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Typically offers better performance than shared hosting, since you aren’t affected by other users on the server.
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Advantages
It's more expensive than shared hosting, though still generally affordable.
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You'll need some technical skills to manage and configure it.
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Occasionally, the server may intrude on your dedicated resources to maintain overall performance, which could impact your site's speed.
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Disadvantages
3. Dedicated Hosting
Best for: Large businesses, high-traffic websites, ecommerce platforms, and enterprises requiring maximum performance, security, and control.
With dedicated hosting, you lease an entire physical server exclusively for your website or application. It’s your private mansion - you have full access to all resources, and you certainly don’t have to share them with anyone else.
Let’s assume you’re running a large-scale ecommerce site with heavy traffic and complex operations. In this case, a dedicated server would provide the reliability and performance needed to handle the load. You have complete control over what the server does and is supposed to do, including the operating system, hardware, and software configurations.
Dedicated hosting is ideal for websites in their maturity stage because they’re the ones that require the best security, performance, and customization. With dedicated hosting, you’re not limited by shared resources, which allows you to optimize as much as you want. It’s the best option if your site can’t afford downtime or compromised performance.
All server resources are for you alone, for the best possible performance.
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Complete access to the server’s hardware and software allows extreme customization, including security enhancements.
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Since all variables are under your control, there’s less risk of downtime compared to a shared server.
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Advantages
The most expensive hosting option.
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Requires technical know-how, and potentially a dedicated hire for the server upkeep.
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If your site doesn’t require massive resources, a dedicated server becomes overkill and generally an inefficient use of resources.
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Disadvantages
4. Cloud Hosting
Best for: Businesses of all shapes and sizes, especially those with fluctuating traffic, ecommerce sites, and applications that require high availability and scalability.
A traditional server is a hassle to maintain, but what if you could host your website directly on the cloud? While it's often used as a buzzword, cloud hosting essentially uses a network of virtual servers to host your application. The data is distributed among them and can change in real-time.
When your website experiences a sudden spike in traffic, the cloud infrastructure can automatically allocate more servers or resources to handle the load.
Cloud hosting is ideal if your business requires reliability and flexibility. It's an excellent solution for websites with variable traffic (like event pages that experience a spike on event day but have low traffic otherwise). Since resources are distributed across multiple servers, this can result in better speed and performance compared to traditional hosting methods like shared and dedicated hosting.
If you often confuse cloud computing with cloud hosting, make sure you learn the difference so that you're equipped with the knowledge to make informed decisions about your website's infrastructure.
If you’re considering cloud hosting, check out our top picks for the best cloud hosting services.
Its distributed nature makes it adaptable, meaning resources can be scaled up or down based on your needs. You only pay for what you use.
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It can easily cater to traffic spikes and can be used for almost every kind of application, from small websites to large-scale enterprise solutions.
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Advantages
While cost-effective for variable usage, the pay-as-you-go model can lead to higher costs, especially with unexpected traffic surges.
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Since there are more servers communicating with each other, a cloud server has more complex management than a single server.
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Your hosting is pretty much sealed under the cloud provider’s infrastructure. If the infrastructure is not good, you won’t be able to do anything about it.
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The distributed nature of data requires many extra measures to prevent data theft since there are now a lot more data lanes to take care of.
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Disadvantages
Other Common Web Hosting Options
While often referred to as “types” of web hosting, these additional options are actually sub-types. In other words, they use the same underlying infrastructure - either shared, VPS, dedicated, or cloud hosting - but they offer a more tailored solution. They may also use the underlying infrastructure in a different way. Let’s take a look.
Managed Hosting
Best for: Businesses, professionals, and individuals who want to focus on their website or application without worrying about the technical aspects of server management.
In managed hosting, the hosting provider takes care of most of the technical tasks related to server management and optimization. They may also have services like proactive security monitoring, SSL management, and regular automatic backups.
You can compare it to hiring a full-service property manager for your rental property. They handle everything from maintenance to tenant issues, so you can focus on other things.
Managed hosting can use cloud, shared, dedicated, or VPS infrastructure. Keep this in mind when evaluating different managed hosting options. Managed hosting is marketed differently from these main types because no matter what infrastructure it uses, it offers more of a hands-off approach.
The hosting provider takes care of all the server tasks, so you can focus on your business.
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You get expert help from the provider, so problems are fixed quickly.
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The provider optimizes the server, which makes it better than what third parties offer.
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Advantages
Managed hosting is usually more expensive than unmanaged options since you’re paying for the additional services.
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While convenient, managed hosting means you have less control over the server environment, as many technical decisions are made by the provider.
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Your site’s performance is tied to your provider’s competence and reliability.
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Disadvantages
WordPress Hosting
Best for: Bloggers, small to medium-sized businesses, and anyone building a website specifically with WordPress.
WordPress hosting is essentially managed hosting specifically for WordPress-based websites. Because Wordpress is the most popular content management system, this is a common option.
With WordPress hosting, the hosting environment is fine-tuned to the needs of WordPress, which roughly translates to faster load times, better security, and easier management. This makes it perfect for users who want to focus on content creation and business growth rather than server management.
This hosting often also includes pre-installed WordPress software. That means that setup is as easy as choosing a domain and site name, selecting a theme, and publishing your content. There’s no need to fiddle with server configurations, struggle through random technical issues like package misconfigurations, or bear long installation processes. You’re getting a pre-set server that has already been tested so that every aspect works exactly as you want.
Managed WordPress comes with a variety of options. Common lower cost options from providers like Bluehost, DreamHost, and SiteGround provide shared hosting, while hosting providers like Kinsta and Cloudways offer managed WordPress cloud hosting. VPS and hybrid solutions exist as well, but they are less common.
Specifically configured to provide optimal conditions for your WordPress site.
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Many WordPress hosting plans come with pre-installed WordPress, which makes setup quick and easy.
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WordPress and its plugins are often updated automatically, so you don’t have to do it yourself.
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Since the platform is generalized, your hosting provider will typically have the know-how to offer specialized support.
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Advantages
WordPress-specific hosting can be more expensive than general hosting options.
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You can’t use it for anything else since it’s tailored specifically for WordPress.
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Disadvantages
Unmanaged Hosting
Best for: Tech-savvy individuals, developers, or businesses with specific hosting needs and in-house IT expertise.
Also known as self-service hosting, unmanaged hosting is essentially you setting up and maintaining your own server. This means installing the operating system (usually Linux), configuring the server, and managing security updates.
You have full control over everything, but this also means you’re responsible for all the maintenance. If there are major problems, you’re on your own.
Like managed hosting, unmanaged hosting can use cloud, shared, dedicated, or VPS infrastructure. If you’re running a custom-built application or a website with highly specific requirements, you might go for unmanaged hosting to have complete control over the environment. This option is best for anyone who demands total control and has the technical know-how to set up and manage their own server.
You have complete control over the server’s setup, configuration, and management.
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The server environment can be tailored to meet a specific need/goal/ criteria, including custom software installations and performance optimizations.
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Your server, your security - customize it to meet your exact needs.
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Advantages
Requires a high level of technical know-how to set up and maintain.
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Management can be time-intensive, especially if you’re the only one doing it.
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You have to purchase your own server, and possibly pay someone to manage it as well.
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Disadvantages
Colocation Hosting
Best for: Large businesses, enterprises, or organizations with specific hardware needs and the technical expertise to manage their own servers but without the infrastructure to host them in-house.
Colocation hosting is a service where you rent space in a data center to house your own physical server hardware. You provide the server, while the colocation provider supplies the power, cooling, physical security, and internet connectivity.
For example, if your company has invested in a custom-built server but lacks the facilities to maintain it with constant uptime and security, colocation will allow you to keep full control of your hardware while leveraging the advantages of a professional data center.
If you need a custom server, you're likely dealing with heavy amounts of data and traffic. This option is usually chosen by organizations that want full control over their server hardware and configurations, or by businesses that require the robust infrastructure of a professional data center.
In short, colocation offers the benefits of owning your server without the overhead of maintaining a secure, high-performance environment.
You have complete ownership and control over your server hardware and configurations.
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Colocation facilities offer advanced physical security, including surveillance, biometric access, and fire protection.
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Access to high-speed internet, redundant power supplies, and cooling systems to keep your server running in ideal conditions.
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Easily expand your infrastructure by adding more servers without the need to invest in additional facilities.
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Advantages
High upfront costs for purchasing and configuring your own server hardware.
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You’re responsible for maintaining, upgrading, and troubleshooting your hardware, which can often come with stringent technical know-how requirements.
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The data center won’t be in your backyard, so accessing it will always be a chore.
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Different services can rack up costs, which can spiral out of control very quickly.
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Disadvantages
Reseller Hosting
Best for: Entrepreneurs, web developers, and agencies looking to start their own web hosting business or offer hosting services to clients.
Reseller hosting is where you purchase hosting services from a provider and then resell them to your own clients. The key benefit here is the potential for an additional income stream.
You manage your clients' hosting accounts, including setting prices, providing customer support, and even branding the services under your own company name. For example, if you're a web developer, you could offer hosting as an additional service to create extra revenue streams for your business.
Reseller hosting is becoming less common as major web hosting services take more of the pie. Still, it's a good option for those who want to offer web hosting services without the need to manage the physical infrastructure.
Reseller hosting is most typically a shared hosting setup, but VPS, dedicated, cloud, and hybrid options are also possible.
Hosting providers often offer discounted rates for larger hosting packages. This creates a "double layer" of cost savings, where you’re getting the bulk discount and the shared resource allocation benefit.
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While not true for every provider out there, there's an opportunity for negotiated pricing. Since reseller hosting providers don't serve large markets, their main focus is always customer acquisition.
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Advantages
You’re responsible for providing customer support to your clients, which requires technical skills.
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The underlying infrastructure is still controlled by your hosting provider, which limits your ability to customize server settings.
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Hosting costs are never linear, and you’ll need to manage the balance between the cost of the reseller plan and the prices you set for your clients to ensure profitability.
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The web hosting market is competitive. You’d need to differentiate your offerings, and target minor niches to compete against industry giants.
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Disadvantages
How Does Web Hosting Work?
When choosing a web hosting provider, understanding the basics of web hosting is critical. In essence, web hosting refers to the hardware and software that stores the contents of your website and makes them accessible on the internet.
When you purchase a hosting plan, you’re essentially renting space on a server where all your website’s files, data, and content are stored. Different people across the world can access your website by entering your domain name into their browser since this server is connected to the internet.
When someone visits your website, their browser sends a request to the server hosting your site, asking it to grant the necessary permissions for the browser to view your website’s content. The server then processes the request and delivers the website’s content to the visitor’s browser, which lets them view and interact with your site.
The hosting provider manages the important web hosting features like physical hardware, network connectivity, and security.
Web hosting is a key part of running a website, and choosing the right web host is an important decision. Check out our list of best web hosting providers to get insight on the best options.
What Type of Web Hosting Do I Need for My Website?
Here are the key types of web hosting we've covered so far:
- Shared Hosting: Best for small businesses, startups, and personal websites. Affordable, with multiple sites sharing a single server’s resources. Basic, but limited performance.
- VPS Hosting: Best for growing businesses, ecommerce sites, developers. Virtual server within a physical one. Balanced cost and performance with dedicated resources.
- Dedicated Hosting: Best for large businesses, high-traffic sites. An entire server leased exclusively for your site. Maximum performance, higher cost.
- Cloud Hosting: Best for businesses with fluctuating traffic, high scalability needs. Uses a network of virtual servers. Flexible, reliable, and scalable.
Then, within these types, you’ll find the following options. Note that it may be important to understand what infrastructure the following types are using, as this will impact your site performance and the options available to you.
- Managed Hosting: Best for businesses, professionals. Provider manages all technical aspects. Hands-off, premium option.
- Unmanaged Hosting: Best for tech-savvy users, businesses with specific needs. You manage and configure your own server. Offers full control but requires technical expertise.
- WordPress Hosting: Best for bloggers, small to medium-sized businesses using WordPress. Optimized for WordPress with pre-installed software and enhanced performance.
- Colocation Hosting: Best for large businesses with custom hardware. Your servers are housed in a data center. Full control with professional infrastructure.
- Reseller Hosting: Best for entrepreneurs, developers, agencies. Purchase hosting, resell under your own brand. Manage client accounts, generate revenue.
Once you've bought a domain name, it's time to make the best choice by considering your specific needs and budget. Each option has its strengths, so think about what matters most to you, whether it's cost, performance, control, or ease of use. By aligning your choice with your requirements, you’ll be better equipped to select the hosting plan that will best support your website’s success.
FAQ
How many types of hosting are there?
The key types of web hosting from a technical perspective are shared hosting, VPS hosting, cloud hosting, and dedicated hosting. There are several other options that fall under these categories, including managed, unmanaged, WordPress, colocation, and reseller hosting.
Additional options include free hosting, which is often ad-supported, and ecommerce hosting, which is tailored for online stores. There is even green web hosting, where providers aim to offset the heavy carbon emissions that come with running a data center. New types of hosting services will likely continue to emerge as technology improves and web hosting providers create new services.
How many web hosting services are there?
There are hundreds of thousands of web hosting services globally, ranging from large providers like to smaller, specialized companies. The exact number is constantly changing as the market evolves.
Is web hosting the same as a domain hosting?
No, domain hosting only concerns your website's address (e.g. example.com), while web hosting is the service that stores your website’s files and makes them accessible online.
What is the difference between a web host and a website builder?
A web host provides the server space to store your website's files, while a website builder is a tool that helps you design and create your website, often without needing to code. Some website builder include web hosting as part of their product, others don't. Check out our list of the best website builders to learn more.
Muhib Nadeem is a passionate tech enthusiast with a deep-rooted love for gaming. Combining a strong computer science background with a creative flair, he has become a valuable contributor to various tech and hosting platforms.
