You have a tremendous business idea that can rule the world, or you have a passion to write something and share it to the world, or you want to do a local e-commerce business, you must need a website.

And when you will create a website, you will need a hosting. This is the thing most people get confused since there are some options to choose from.

Choosing the perfect type of hosting is important for your website. Some hosting plans are suitable for small businesses, some are for medium and some for giant business. Depending on your website type, you should select the perfect one.

However, there are two types of hosting plan that you should have a look at. Those are shared hosting and VPS hosting. There are some differences and some advantages as well as disadvantages that will help you understand which one is perfect for you. So let’s have a look.

Need to know first what is Shared hosting & VPS hosting

Shared hosting

If I tell you in simple word, a shared hosting is a hosting plan that allows hosting several websites in it which makes it cheaper. All websites owners are responsible for their website setting their account. Many users use the resources of the same hosting. Each of them gets a section to keep their website file.
Shared hosting is the cheapest hosting plan and as a result, most of the new starters use this plan.

VPS hosting

VPS hosting (Virtual Personal Server) is kind of similar to shared hosting. But there is a little bit different.
Like the shared hosting, the VPS hosting hosts several websites in its server.
The shared hosting distributes its resources to the users. But the problem is that all the users do not get equal space. Though the service provider restricts the limit of the use of a user, however, the more users it adds, the less space its users get.
On the other hand, the VPS hosting distributes its space equal to its space. That means you will get your own disc space, bandwidth etc. not clear? Well, let me give you an example.
Imagine a real-life housing project where each of the apartments is owned by the different person. Each apartment has its own capacity, own design. In the same way, every user gets his own space in VPS hosting. I hope now you are clear.

Now let’s move on to the comparison.

Performance

The first thing you need to see is the performance of the hosting because your site performance will depend more on the hosting.

Shared hosting
Since in shared hosting, the resources are shared, your site performance will be affected by other sites performances. It is the problem of running a shared hosting. However, if your demands of performance are not so high then it will be a great return on investment.

VPS Hosting
Unlike shared hosting, other websites cannot affect your site and thus it offers better performance. You will get the better flexibility to configure your website on the server. However, you need to ensure first that you have a dedicated administrator system to run the server smoothly. If you have huge traffic, this one is a good option for you.

Security

Security is one of the major issues you should consider while choosing to host.

Shared hosting Security
Shared hosting is considered a safe and secure hosting. However, since the single server is hosting many websites, if any website faces any security breaches, it will affect your one as well. That means it is as secure as other users of the same server are.

VPS hosting Security
This one is relatively more secure. And if you want, you can improve your security by getting extra customer support as well by paying extra money.

Pricing

Whenever you start a new business, the budget is the main thing you should take care of.

Shared hosting
Shared hosting is the cheapest hosting. The reason is simple. Since you are sharing the resources of the server with other users, the cost is distributed. Shared hosting is the most economical option for anyone. So that, the people who are thinking of creating a website and want a standard hosting plan, there is no alternative to shared hosting.

VPS hosting
Since you will get a lot of premium features and a better security, the price of the VPS hosting plan is relatively higher. But if you need to improve your site performance and want better customization option then you can go for it.

Server administration

While choosing to host, you should have a look at server administration.

Shared hosting
If you choose shared hosting, you will need little or no technical maintenance from your side on the server. The hosting provider will take care of all things. That means you can focus on what you want to do with your website. This is one of the huge plus points that you are getting server administrator without any additional cost.

VPS hosting
On contrary, only you are responsible for managing the server. As a result, it is more complicated for anyone to maintaining all the server management. This will impede your focus on your website.

Scalability

If any of your content goes viral or if you start getting more traffic, you will need a hosting that can handle a good amount of traffic.

Shared hosting
Though shared hosting is a good option for short term, if you start getting more traffic, shared hosting will not be able to handle that traffic and your website shows error.

VPS hosting
The VPS hosting works better here. If you think your website will get a huge amount of traffic then your extra pay for this hosting will pay off because it has an easily scalable feature.

Verdict – which one is perfect for you?

I hope you have already understood which one you should choose. If you are a starter and want a standard hosting at an economical rate then you should go for the shared hosting. And if you have enough budget, need a hosting to handle a huge amount of traffic or doing something where you need a visitor’s personal information then you should go for VPS hosting.