So you have already decided to establish your business online. Great! You have purchased a domain name, and now it’s time to find a hosting package that is just perfect for your needs. But wait. While surfing online, you encounter these terms ‘shared hosting’ and ‘VPS’ again and again! While it’s tempting to pick the most expensive hosting plan for your business – you simply don’t want to overpay for the resources you are never going to utilize! Neither we.

And to help you decide which hosting would be ideal for your business needs, we have created this post outlining the top 5 factors distinguishing shared hosting from a VPS. Let’s get going.

#1 – Resource Distribution: 

The first and most significant difference between a shared hosting plan and a Virtual Private Server (VPS) is the allocation of resources. With shared hosting, the resources you get to use are divided among the other sites stationed on the same server. On the other end, a VPS grants you dedicated resources that are reserved only for you. 

The Deciding Factor:

If you are expecting heavy traffic visiting your website and/or if the platform you are using demands, more server resources – VPS would be perfect for you. However, if you have less traffic and your CMS/web platform requires minimal resources to keep operating optimally, then shared hosting would be the best move.

#2 – Security:

Being home to several websites, shared hosting is prone to occasional cyber-attacks. For instance, if one of the sites on the shared server gets affected by a virus – your website may suffer due to that. On the contrary, a VPS is highly secure as it is an independent environment that only you get to use.

The Deciding Factor:

If your website deals with customer’s most crucial information (for example, payment details in eCommerce stores) – you should opt for a VPS. Because nothing is costlier than earning a lost reputation. However, if you only have an informative website with little to no data on it, you can go with shared hosting. In that case, we would recommend to regularly backup your site.

#3 – Performance:

Shared hosting typically delivers average performance all round. This is due to common resources harnessed by all the websites stored on the same server. But that’s not the same case with VPS. They are robust and deliver unmatched performance with optimal consumption of resources.

The Deciding Factor:

If performance is of paramount importance to you – then VPS would be the right choice. With a private server, you get the freedom to configure it per your needs so that it consistently delivers great performance. However, if your online infrastructure can work with minimal resources, then shared hosting can be a better choice.

#4 – Scalability & Simplicity:

When it comes to shared hosting – it is simple to use, but there isn’t much you can do if you seek to scale it as your business grows. The shared server will be managed by your hosting company, which means you won’t be able to make any significant enhancements to the server itself. Not the same case with a VPS, though. If you are not tech-savvy enough, you will need a server administrator for managing and maintaining your VPS. On the flip side, you get complete freedom to scale the server as your business needs evolve. 

The Deciding Factor:

If you are just starting out with little to no server knowledge and steady business growth – it is recommended to go with a shared hosting plan. This way you can swiftly emerge online. However, if your business is scaling rapidly, VPS would be an ideal choice. In case you don’t have server knowledge, it is recommended to hire someone who can help. 

#5 – Pricing:

Shared hosting plans are comparatively cheaper than VPS. As the costs also get divided along with the server resources, shared hosting is inexpensive. The same way the cost of a VPS is higher as you don’t share that space and resources with anyone else.

The Deciding Factor:

If you are tight on budget and don’t need a lot of resources, shared hosting is definitely the best way to get started. However, if you seek to establish a high-performing web infrastructure that demands high resource consumption, you must consider investing in a VPS. 

In a nutshell:

Deciding which hosting would be ideal for your business is certainly a daunting task. However, we are sure that the differences mentioned above will help you determine the right one for you. Let me know if you’re still having a hard time picking a hosting package. I would be happy to help.