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VPS vs Shared Hosting: Which Option Is Best for You?

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VPS vs. shared hosting: which option is best for you?

Key highlights 

  • Know the core differences in VPS vs shared hosting so you can choose the right plan for your website’s needs. 
  • Learn how different hosting solutions affect performance, scalability and security for growing businesses. 
  • Explore the pros and cons of VPS hosting vs shared hosting to see which fits your budget and goals. 
  • Understand where VPS vs web hosting and shared vs VPS hosting stand in terms of resources and control. 
  • Uncover when upgrading from VPS vs hosting makes sense for better speed, reliability and flexibility with Bluehost’s scalable plans. 

Are you a small business owner who’s been working with social media accounts for your online presence? While this is a good short-term solution, it may limit your opportunities to expand your brand’s reach in the future. 

Having a website that’s dedicated to your business will not only increase your online presence but also help you reach a wider audience. But before you can build your website, you have to pick a hosting plan. 

There are two common types of hosting in particular that you should consider: VPS and shared hosting. Let’s compare vps vs shared hosting on various levels and look at parameters to help you decide which hosting option is best for your business site. 

TL;DR: VPS hosting vs shared hosting 

Feature VPS hosting Shared hosting 
Cost Higher (Starts at $46.99/month) Lower (Starts at $3.95/month) 
Performance High performance with dedicated resources Shared resources, lower performance 
Server resource allocation Allocated resources (For example, CPU, RAM) Shared among multiple users 
Security Customizable security, full control Basic security features 
Flexibility High flexibility, custom server settings Fixed resources, minimal customization 
Control Full root access to server Limited control, managed by hosting provider 
Server administration More technical involvement Managed by the hosting provider 
Scalability Easily scalable with resource adjustments Limited, requires plan upgrade 

What is shared hosting?

Bluehost high-perfomance shared hosting

Shared hosting is a basic form of web hosting where multiple customers use the same server to host their websites. 

As the name implies, each website shares the same resources like hard disk storage, computing power, RAM, bandwidth and database server. 

You can compare how shared hosting works to a hostel. In a hostel, customers have to share a room and there is a fixed number of beds available. The room represents the shared server and each bed represents a customer’s website. 

For some travelers, a hostel is an excellent option because they can save some money and don’t mind sharing their sleeping space with others. The same applies to shared hosting. It targets customers who are on a budget and won’t miss some of the features that come with more expensive plans like VPS or dedicated hosting

Why choose shared hosting?  

Shared hosting is an excellent starting point if you’re launching your first website or working with a tight budget. It offers the most affordable way to get online without the technical complexity of managing your own virtual private server or dedicated server. 

With shared hosting, you get a user-friendly setup and maintenance-free experience. Your hosting provider handles server management, software updates and security monitoring, so you can focus on building and running your site.  

This makes it especially attractive if you’re not ready for the deeper technical control (and cost) that comes with dedicated resources. 

When comparing VPS vs shared hosting, the key difference lies in control and scalability. VPS hosting gives you a slice of the server with more resources and customization options, while shared hosting is simple and cost-effective.  

In the VPS hosting vs shared hosting debate, shared hosting wins on affordability and beginner-friendliness, while VPS is better suited for growing websites needing more power. 

Choose shared hosting if: 

  • You want the lowest-cost entry point into web hosting. 
  • You don’t need the performance of a dedicated server yet. 
  • You prefer your hosting company to manage all server-related tasks. 
  • You’re running a small site, blog or low-traffic online store and plan to scale later. 

The pros of shared hosting

  • It’s affordable: Shared hosting is a much more cost-effective option when compared to dedicated or VPS hosting, especially if you’re on a tight budget.
  • It’s beginner-friendly: Shared hosting doesn’t require a lot of complex configurations or advanced technical knowledge. This makes it a perfect option for people who are first-time website owners.
  • It requires almost no maintenance: The hosting provider handles pretty much all of the management and maintenance related to its shared hosting plans’ servers. This means you can focus less on server updates or security patches and more on running your website.

The cons of shared hosting

  • It isn’t optimized for high traffic: Shared hosting customers have limited access to server resources as these are distributed among all the websites on the server. This could negatively impact your website’s performance, especially when there’s a traffic surge.
  • It’s more susceptible to security threats: Shared hosting plans carry an increased risk of malware attacks spreading from one compromised website to another. Following website security best practices is the easiest way for you to mitigate these risks.
  • It lacks customizability: You don’t have root access to your shared hosting server. This means you are restricted from performing administrative tasks like installing software or performing server updates yourself.

So, are you ready to launch your website the easy way? Get started with Bluehost shared hosting– affordable, beginner-friendly and maintenance-free. 

What is VPS hosting?

Bluehost VPS hosting

VPS (Virtual Private Server) hosting is a web hosting solution where a physical server is divided into multiple virtual servers, each with its own dedicated resources like CPU, RAM and storage.  

VPS hosting is ideal for growing websites or businesses that need more power and customization, allowing users to install software, configure settings and enhance security without sharing resources with others. 

While the websites may be hosted on the same physical server, they are each hosted in unique environments that can be customized to meet the user’s needs. 

VPS hosting offers you your own operating system, shared server resources and root access. So, you can install any software and customize the server as you like. 

If shared hosting is a hostel, then VPS hosting is like renting a room in a shared apartment. You have your own private room (virtual server). But you share common areas like the kitchen, living room, etc. as well as utilities like power and internet.  

 Unlike shared hosting, where server resources are shared with other websites, VPS hosting offers dedicated resources and more control. 

Why choose VPS hosting? 

You should choose VPS hosting as it provides dedicated resources within a shared physical server and offers more control and stability than standard shared hosting.

Additionally, it is way more affordable than dedicated hosting. It’s the perfect balance for websites needing more power and customization without the high costs of dedicated servers. 

When comparing VPS vs web hosting, hosting vs VPS or VPS vs hosting, the main difference is resource allocation. In shared hosting, you split CPU, RAM and storage with others. With VPS, those resources are reserved for you alone, ensuring faster speeds and consistent performance. 

If you’re deciding between VPS and a dedicated server, VPS offers many of the same benefits like custom configurations, advanced security and root access, without the cost of renting an entire server.  

This makes it a strong choice for sites that have outgrown shared hosting but don’t yet need the full capacity of dedicated hosting. 

Choose VPS hosting if: 

  • You’ve outgrown basic web hosting and need more control. 
  • You want guaranteed performance with own dedicated resources. 
  • You’re running eCommerce stores, apps or high-traffic websites. 
  • You need flexibility and scalability without paying for an entire server. 

The pros of VPS hosting

  • It offers more control: VPS hosting puts your hands on the server’s steering wheel, offering you a greater level of control over the infrastructure that powers your website. This includes having root access to the server, installing your own software and programs and adding user accounts.
  • It’s cost-effective: Unlike dedicated hosting plans, which can easily cost over $100/month, VPS hosting plans are still affordable for many individuals and small businesses. And considering that VPS hosting offers the similar flexibility and isolation as dedicated hosting, it’s easy to see why it’s such a popular and budget-friendly alternative.
  • It offers better performance: VPS hosting comes equipped with higher-end server hardware. So, it provides a faster and more efficient distribution of resources for your web projects. In addition, these resources are fully dedicated to your website, allowing you to partition them as you require.

The cons of VPS hosting

  • It requires technical knowledge: To take full advantage of VPS hosting plans, you’ll want to have some prior server management experience. This can raise the cost of your hosting package if you have to hire people with the necessary skillset or training to manage the virtual machine. 
  • It requires more maintenance: Unlike a shared hosting plan’s maintenance, which is taken care of by the hosting provider, you will be responsible for keeping your VPS running smoothly. If something goes wrong, it will primarily be up to you to discover and fix the issue.

Take full control of your hosting. With Bluehost VPS hosting, you get scalable resources, root access and enhanced security for growing websites. Check our plans now!  

VPS vs. shared hosting: A quick comparison 

The main difference between VPS and shared hosting is the level of control you have over the server your website runs on.  

With shared hosting plans, you have basically no control over the server. Everything is pre-packaged for you and there’s very little opportunity for customization.  

In contrast, VPS hosting offers you root access to the server operating system.  

To understand this better, let’s look at a few key parameters: 

  1. Cost 
  1. Performance 
  1. Server resource allocation 
  1. Security 
  1. Flexibility 
  1. Control  
  1. Server administration  
  1. Scalability  

 Now, let’s explore the key differences between VPS vs. shared hosting: 

1. Cost

The cost is one of the primary reasons customers go for shared hosting plans. That’s because shared hosting plans are generally more affordable than VPS plans. There are several reasons why this is the case.  

The first is how both plans are structured. Because shared hosting customers share resources on the same physical server, hosting companies don’t need as many resources to support customers on these plans.  

As a result, they can afford to price them lower than other plans that require dedicated resources. For example, Bluehost’s shared hosting plans start at $3.95/month. 

Standard shared hosting plans by Bluehost

VPS plans also use one physical server to host multiple customers. However, the virtual machines that are used to divvy up this server are much more resource intensive.

Therefore, more powerful physical hardware is required for these servers, which adds to the overall cost of the hosting plan.  

For instance, the most affordable VPS plan from Bluehost starts at $46.99/month, almost 16 times higher than the lowest-priced shared hosting plan. 

Bluehost VPS hosting plans

VPS plans also require more technical support and personnel to run them, which naturally raises their costs.  

Another reason for the price difference is the number of features each hosting type comes with. On the whole, VPS plans are more feature-rich than shared hosting packages. 

Also read: Bluehost VPS Hosting Plans Comparison 

Note: Prices are subject to change. Please check our website for the latest pricing. 

2. Performance

Hosting companies usually offer VPS plans for professional customers such as designers, developers, system administrators and medium to large-scale businesses.  

For these customers, their needs extend beyond just having a website online. They also have specific requirements for the speed and performance of their web applications.  

Because of this, the server hardware for VPS hosting uses high-performance components to ensure that customer sites operate at a high level and maintain maximum uptime.  

VPS packages take advantage of powerful CPUs to handle more computational tasks, non-volatile memory express (NVMe) SSD drives for high read and write speeds and more disk space for larger web applications.  

Choosing a VPS plan also means you’ll receive access to unmetered bandwidth, allowing your website to handle more network traffic.  

Shared hosting packages, on the other hand, are geared more toward customers that are less performance-oriented with website hosting needs. For example, lower-spec server hardware are a good fit for websites hosted with these plans. 

Also read: How to Upgrade VPS Hosting Plan 

3. Server resource allocation

Server resource allocation

Most shared hosting plans come with resource limitations that can negatively impact your website’s performance when exceeded.  

For instance, the Bluehost basic shared hosting plan will give you access to 10 GB of NVMe storage to host one website. These specifications are perfect if you only want to host a small site for your business or hobbies.  

Web hosts put these limitations to ensure the availability of the hosting service. In other words, because shared hosting customers all use the same physical server for their websites, it’s essential that no one website hogs all the available resources.

As doing so would impact the server’s performance for everyone else. 

VPS hosting server resource allocation

VPS hosting allocates way more resources to each customer. With these plans, you essentially have total control over a virtual server.  

The Standard VPS plan from Bluehost offers access to a virtual machine with 2 vCPU cores, 100 GB NVMe storage and 4 GB DDR5 RAM. 

4. Security

The level and scope of security between VPS vs. shared hosting plans also vary.  

Shared hosting plans usually come equipped with the basic security features necessary to protect your website. It includes free SSL certificates, malware scans and weekly website backups.  

If you’re looking to customize your website’s security features beyond these essentials, you might be out of luck. It is because most hosting services don’t let you change much. 

Wordfence protection

One way to customize your shared hosting website’s protection is to build it with WordPress. Then, you can take advantage of security plugins, like Sucuri and Wordfence, to protect it from digital threats. 

The main advantage, security-wise, of choosing a VPS plan is that it gives you the freedom to install your own security applications directly on the virtual server operating system and monitor network ports for suspicious activity in your hosting environment.

With Bluehost VPS hosting, you can also strengthen protection with CodeGuard backups for reliable data recovery and Jetpack security for advanced threat monitoring and malware protection. 

5. Flexibility

As we’ve previously discussed, one of the defining features of VPS hosting is the level of flexibility it gives its users. Most VPS plans come with control panel software like cPanel, which provides tools to manage your virtual server resources. 

You can use the control panel to create user accounts, partition your server storage or set bandwidth limits. You also get root access to the operating system for system-level changes. 

Flexibility by Bluehost Control panel

In addition, you can quickly scale your virtual server’s resources allocation, depending on your bandwidth or CPU usage and website size requirements.  

VPS plans provide the resources and flexibility to meet different needs. You can manage multiple websites with tailored resource allocations, host secure financial applications or run servers for software testing and development. 

Shared hosting plans typically don’t have this level of flexibility or scalability. Allocated resources are usually fixed and customers don’t have access to advanced tools to modify their hosting configuration or access the server hosting their website.   to advanced tools to modify their hosting configuration or access the server hosting their website. 

That said, while the level of customization you get with VPS hosting is an advantage, it does require advanced technical knowledge and experience.  

Shared hosting, while less customizable, is ready to go straight out of the box. It means you won’t have to spend time fine-tuning your settings and installing software packages. 

6. Control  

When comparing VPS hosting vs shared hosting, one of the biggest distinctions is the amount of control you have. 

With shared hosting, customers get very limited control over server settings. Everything is pre-configured and the hosting provider manages the technical aspects behind the scenes. This works well for beginners and small business owners who just want to get a site online quickly without worrying about setup. With Bluehost, you can also use our website builder to create a professional-looking site with drag-and-drop simplicity, no coding required. 

On the other hand, VPS hosting gives you much greater control. Bluehost VPS plans, for example, offer root access to the server’s operating system, so you can customize configurations, install applications and fine-tune resources. This flexibility is ideal for users who want more independence and hands-on management. 

7. Server administration  

In shared vs VPS hosting comparison, the way server administration is handled is very different. 

With shared hosting plans, we at Bluehost take care of most technical aspects for you, including updates, patches and server monitoring. This is ideal for site owners who don’t have server management experience or the time to maintain infrastructure. 

By contrast, VPS hosting requires more technical involvement. While you still get tools like cPanel and the Bluehost dashboard, VPS customers have more responsibility for updates, configurations and network security. For advanced users, developers or growing businesses, this level of autonomy can be a big advantage. 

8. Scalability  

When comparing VPS vs hosting from shared server, scalability is one of the most important factors to consider. 

With shared hosting, you’re on an entire physical server that’s divided among other websites. This means your resources are limited and if your site grows, you may quickly hit those limits. While it’s an affordable starting point, scaling usually requires upgrading to a more advanced plan. 

VPS hosting, however, is built for small and medium businesses that expect growth. You can scale your server configuration as needed by adding more CPU, RAM or storage without migrating to a new environment. You also gain complete server control, which lets you fine-tune performance and strengthen protections for sensitive data. 

For example, Bluehost VPS hosting makes it easy to scale resources as your site traffic increases, giving you the flexibility to expand without the limitations that come with shared hosting. 

VPS vs. shared hosting: Which is right for you?

Now that you’re familiar with the differences between VPS vs. shared hosting, it’s time to look at which hosting type is appropriate for your specific situation. To make this job a little easier, we’ve compiled a list of different scenarios for each type of web hosting plan.

When to choose shared hosting

You should consider choosing shared hosting if: 

  • You’re new to web hosting, don’t have much technical knowledge yet and don’t want to commit to a higher-priced plan. 
  • You want to start an online business but are still in the preliminary development stages. 
  • You own or plan to start a modest website or blog that doesn’t require a lot of storage space or bandwidth. 
  • You have budgetary restrictions that prevent long-term investment in web hosting. 
  • You prefer ease of use and affordability over site performance and customizability.

When to choose VPS hosting

You should consider choosing VPS hosting if: 

  • You run a medium or large-sized business that receives numerous daily orders. 
  • You have an IT team that can handle the setup and maintenance of a virtual server. 
  • You are in the process of growing your business and expect to continue doing so in the foreseeable future. 
  • You need more disk space and bandwidth to accommodate the high volume of web traffic your website consistently receives. 
  • You run web applications that necessitate having complete control over your hosting server. 
  • You prefer better performance and website security over affordability and simplicity. 
  • You have a large budget and can commit to the high costs of VPS hosting.

What other web hosting types can you consider?  

Picking the right hosting comes down to finding the right balance between cost, performance and control.

While shared hosting and VPS web hosting are the most common choices, there are other options worth looking at, especially if your site is growing or has specific needs.  

For example, dedicated hosting gives you the full use of one server, providing system resources exclusively for your site without interference from other users or other sites. This can be particularly useful for websites where you need complete control over all the other accounts on the server. 

Alternatively, if you’re looking for flexibility without the need for technical expertise, cloud hosting or managed hosting might be a good fit. These options ensure you have the resources you need, without the headache of managing a single physical server.  

Managed hosting plans, for instance, allow you to focus on growing your website while we take care of everything, including SSL certificates and security measures. 

At Bluehost, we make it easy to choose a plan that fits your goals, whether you are just starting out or ready to scale big and want to ensure your website can handle multiple users without compromising speed or security. 

Hosting type Best for Key benefits Bluehost advantage 
Dedicated hosting Large businesses, high-traffic sites Full control, entire server, dedicated IP address, maximum performance Enterprise-grade hardware, 24/7 expert support, advanced security 
Cloud hosting Sites with fluctuating traffic Scalability, high uptime, flexible resources Redundant server network, instant scaling, pay-as-you-go 
Managed WordPress hosting WordPress site owners Optimized speed, security, automatic updates Pre-installed WordPress, caching, dedicated WordPress support 
Reseller hosting Agencies, developers Sell hosting, manage client accounts White-label service, easy management tools, backed by Bluehost 

If you are compare shared vs VPS hosting, VPS vs hosting or hosting vs VPS, VPS is a great choice. But if you need complete control, more flexibility or a hosting plan built for a specific platform, dedicated, cloud or managed WordPress hosting might be a better match. 

Pro tip: If you are starting small but see growth ahead, VPS hosting is a smart move. You get the benefits of own dedicated resources without paying for an entire dedicated server. And when it is time to level up, Bluehost makes it simple to upgrade without downtime or headaches. 

Also read: 4 Popular Types of Web Hosting & Bluehost Plans Comparison 

Final thoughts

So, now you know the differences between VPS vs shared hosting. Most of the time, shared hosting is the right solution for individuals or smaller businesses who prefer simplicity and practicality over better website performance and customizable infrastructure.  

On the other hand, medium and large-sized businesses and individuals with advanced technical knowledge will benefit from the level of control, security and scalability VPS hosting brings to the table.  

At Bluehost, we offer feature-rich shared hosting plans that make it easy and affordable to launch your new website in a matter of minutes.  

We also have a number of flexible and affordable VPS hosting plans that allow you to fully organize and optimize your server environment to your unique specifications. 

Ready to choose your hosting? Get started with Bluehost today and select the best hosting plan for your website’s needs! 

FAQs

What is dedicated hosting and who should use it? 

Dedicated hosting gives you an entire server with own dedicated resources. Unlike VPS hosting vs shared hosting, nothing is shared. It’s best for enterprises, eCommerce stores or high traffic sites needing maximum performance and security. In the web hosting vs VPS or VPS vs hosting debate, dedicated hosting is the premium choice. 

How does a dedicated server improve performance for high traffic sites? 

A dedicated server ensures you never compete for CPU, RAM or bandwidth. In shared vs VPS hosting, resources are limited or divided. Dedicated hosting gives you consistent speed, uptime and stability. For businesses comparing VPS vs web hosting or hosting vs VPS, it’s the ultimate upgrade. 

What is managed VPS hosting and when is it a good option? 

Managed VPS hosting combines the flexibility of a Virtual Private Server with expert management. Unlike VPS hosting vs shared hosting, it offers better performance and scalability without requiring technical skills. Compared to web hosting vs VPS, managed VPS lets you focus on growth while your host handles security, updates and monitoring. 

Why should I consider managed WordPress hosting for my site? 

Managed WordPress hosting is built specifically for WordPress. It’s easier than VPS vs hosting and more optimized than shared vs VPS hosting. You get automatic updates, built-in caching and security features. For WordPress users weighing VPS vs web hosting, it offers simplicity with strong performance. 

What are the different hosting solutions available for websites? 

Websites can be hosted on different types of plans, including shared web hosting, VPS, cloud and managed WordPress hosting. With shared hosting providers, you share the same server with others, while VPS gives you dedicated resources. At Bluehost, we also offer WordPress hosting designed for speed, security and easy management. 

How do I choose the right hosting provider for my website? 

Websites can be hosted on different types of plans, including shared web hosting, VPS, cloud and managed WordPress hosting. With shared web hosting providers, you share the same server with others, while VPS gives you dedicated resources. At Bluehost, we also offer WordPress hosting designed for speed, security and easy management. 

How do I pick the best hosting plan for my business? 

Start by assessing your traffic, storage and performance needs. Small sites can start with shared hosting, while growing businesses may need VPS or managed WordPress hosting. If you run a store or blog on WordPress, Bluehost WordPress hosting gives you more control and speed. Choosing the right web hosting plan ensures you get the right amount of server space to scale smoothly. 

Which is better for beginners: VPS vs. shared hosting? 

Shared hosting plans are great for beginners because the provider manages the technical server work. WordPress is easy to set up and maintain, making it a perfect match for shared hosting. Bluehost offers custom WordPress hosting with AI tools to help you create a site quickly. 

Is VPS or shared hosting better for eCommerce websites? 

VPS hosting is generally better for eCommerce websites due to higher traffic and storage needs. While a higher-tier shared hosting plan could work, it lacks flexibility for traffic surges and increased activity. Cloud hosting, an upgrade from shared and VPS, offers more flexibility and expert support. 

How do VPS and shared hosting differ in terms of uptime and reliability? 

VPS hosting offers better uptime and reliability due to more resilient hardware and redundancy measures. It’s designed for larger businesses that can’t afford frequent outages. While shared hosting is also reliable, resource sharing can increase the risk of outages or malware affecting other websites on the same server. 

How do VPS and shared hosting compare for handling data backups and restoration? 

With shared hosting, backup and restoration options depend on the provider and some may only offer them with higher-tier plans. VPS hosting gives customers root access, allowing them to set up their own backup solutions for the entire server or individual websites. WordPress users on shared hosting can use plugins like UpdraftPlus or Jetpack for scheduled backups if backup features are not included. 

Can shared hosting customers switch to VPS hosting and vice versa? 

Shared hosting customers can migrate to a VPS plan as their website grows. The ease of upgrading depends on the provider. Switching from VPS to shared hosting is usually not supported due to functional differences, but you can manually move your website, potentially losing some features. 

What is the difference in hosting vs other server types? 

In simple web hosting vs VPS comparisons, traditional shared hosting means your site shares resources with others, while virtual private server (VPS) gives you a virtual environment with dedicated portions of the server. Other server types, like cloud or dedicated hosting, offer even more scalability and control depending on your website’s needs. 

Which is cheaper: VPS or shared hosting? 

Shared hosting is cheaper ($3.95/mo with Bluehost). VPS starts at $46.99/mo but offers better performance and control. Shared hosting works best for beginners and small websites that need a simple, low-cost solution. VPS is an investment for websites that demand speed, security and room to scale. 

Can I switch from shared to VPS hosting with Bluehost? 

Yes. Bluehost makes it easy to upgrade from shared to VPS hosting without downtime. Your files, databases and settings are migrated smoothly, so you won’t lose data. This upgrade ensures you get more power and flexibility as your site grows. 

Is VPS hosting good for WordPress eCommerce sites? 

Yes. VPS provides dedicated resources, making it ideal for WooCommerce stores with higher traffic. It can handle product catalogs, secure transactions and spikes in visitor activity. You also gain better performance for plugins, checkout speed and overall customer experience. 

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