What is shared hosting? A beginner’s guide to affordable web hosting

Key takeaways

• Shared hosting offers a low-cost way to get your site online.
• It works by letting several websites share one server and its resources.
• If your site outgrows shared hosting, upgrading to VPS or dedicated hosting can improve speed and control.

Starting a website is an exciting enterprise, but you might be scratching your head, not knowing where to begin.

Maybe you want to create a blog, an online store, or a portfolio. Either way, your website needs a place to live online, and that’s something web hosting provides. One common option is shared hosting, where multiple websites share the same server and resources.

Now, let's hop in to get a good grasp on what shared hosting is, how it works, and why it’s a practical choice for first-time website owners and small businesses.

What is shared hosting?

Imagine you’re opening a small café. You don’t need an entire building, just a cozy space with the basics—tables, a counter, and a coffee machine. Instead of buying the whole place, you rent a spot in a shared space with other small businesses. You split costs like electricity, Wi-Fi, and maintenance to make it more affordable for everyone.

That’s the idea behind shared hosting. Instead of renting an entire server space, which can be expensive and unnecessary for small websites, you share one with others. Your site gets access to a specific share of the server's resources, like storage, bandwidth, and processing power, while the hosting provider manages everything in the background.

This setup makes shared hosting one of the most popular choices for small businesses, startups, and personal websites. Why? Because it’s affordable, easy to use, and requires little to no technical know-how. In fact, the shared hosting market is expected to reach $72.2 billion by 2026 due to its convenience and low cost.

How does shared hosting work?

In shared hosting, a single server supports multiple websites, all relying on shared CPU power, memory (RAM), storage space, and bandwidth. Instead of each website having its own dedicated space, the hosting provider divides these resources among all users.

How hosting providers distribute resources

For everything to run smoothly, web hosting companies set limits on server processing, system memory, and website data usage. These restrictions keep one website from using too much server power. Each one has its own files and hosting account settings, but they all run on the same platform.

The impact of shared hosting on speed and reliability

Since websites share resources, a site's performance can fluctuate depending on server activity. If another site on your server experiences a surge in website traffic, it could slow down your website, too. This is why shared hosting works best for sites with moderate traffic, such as blogs, portfolios, or small business websites.

To keep websites stable, hosting companies regulate traffic flow using load balancing and limits on CPU and bandwidth. This helps distribute resources evenly, but slowdowns can still happen during peak traffic times. Network Solutions’ hosting plans, for example, are designed to handle up to 200,000 visitors per month, giving you an idea of typical capacity limits.

How web hosting companies set performance limits and when to upgrade

If your website frequently exceeds its allocated resources, your web hosting company may slow it down to avoid disrupting other users. In some cases, you may get a notification suggesting an upgrade to a higher-tier plan, like VPS or dedicated hosting, to handle the increased demand.

For most small websites, shared hosting is a cost-effective and easy way to get online. But if your traffic starts growing, keep in mind that scaling up may be necessary to maintain speed and reliability.

Who should use shared hosting?

Shared web hosting service is great for beginners, small businesses, and personal projects due to its affordability and ease of use. It’s a good choice if you:

• Are new to web hosting and want a simple setup.
• Have a small business, blog, or portfolio with low traffic.
• Want to keep costs low without dealing with server maintenance.
• Use WordPress or other website builders with no complex server configurations.

Yes, numerous websites share the same server. But hosting providers take care of everything, so these multiple users need not worry—especially about the technical stuff. And if that sounds like you, then this type of web hosting is for you.

Why shared hosting works for many websites

Shared hosting is a practical hosting solution for many users, although it’s not perfect for every situation. Here’s why many people choose it:

It’s budget-friendly

Shared hosting is one of the most affordable web hosting options, with plans starting as low as $2.99 on Network Solutions. This makes it an ideal choice for individuals and small businesses.

It has beginner-friendly setup

Most shared hosting providers offer one-click installations for WordPress, Joomla, and other CMS platforms. Plus, they provide user-friendly control panels like cPanel for easy website management.

It doesn’t need technical maintenance

Since hosting providers take care of server updates, security checks, and hardware maintenance, you don’t need advanced IT skills for your website to work. Because of this, beginners can focus on building their site rather than handling technical issues.

It has scalability options

Many web hosting companies offer tiered hosting plans, which allow you to upgrade as your website grows. This means you can start with a basic plan and move to a higher-tier option when you need more resources.

Help is available when you need it

Most hosting companies provide 24/7 technical support via live chat, phone, or email. If you run into problems, you can get help anytime. This is a huge help for beginners who aren’t familiar with troubleshooting.

It offers built-in security features

Reputable hosts include firewalls, automatic updates, and SSL certificates to help protect your website. These features work in the background, so you don’t have to deal with security issues on your own.

It allows multiple domain hosting

Many shared hosting plans let you manage multiple sites under a single account. This significantly cuts costs, that’s why this can be a good choice for those running multiple projects or businesses.

It’s great for small websites

Shared web hosting is perfect for personal blogs, portfolios, and small business websites that don’t require extensive resources. This makes it an affordable and practical choice for those who need a simple online presence.

Why shared hosting isn’t for everyone

Shared hosting keeps costs low, but it comes with limitations. If you need more control, speed, or security, these drawbacks might be worth considering:

It has limited control and customization

You'll not have root access, so you can’t modify server settings or install custom software. This may not work well for advanced users who need more flexibility to optimize their website.

It may encounter performance issues

Since numerous websites share the same server, a traffic spike on another site can slow yours down. If your site requires high-speed performance, you may need to upgrade to a VPS or dedicated hosting.

It's prone to security risks

If one site on the server is compromised, it could affect others, even with security measures in place. That’s why choosing a reputable hosting provider with strong security protocols is important.

It has a shared IP address

If another website on your server sends spam or violates search engine guidelines, your site could be blacklisted as well. Not only does this affect your email deliverability and search rankings but it also makes it harder for you to reach customers.

It has limited resource

Shared hosting provides limited CPU, RAM, and bandwidth. This can cause slowdowns if your site receives high traffic, leading to longer loading times and poor user experience.

It’s not ideal for large-scale websites

If your site grows significantly, you’ll likely need to upgrade to VPS or dedicated hosting, or switch to another hosting provider for better speed and reliability. A more powerful hosting plan helps your website handle more visitors without performance issues.

Shared hosting vs. other web hosting options

The best hosting choice depends on your budget, technical skills, and website requirements. While shared hosting is a starter-friendly option, other hosting types offer more flexibility, performance, and scalability.

Here’s a quick comparison to help you decide:

How shared hosting differs from other hosting types:

Shared hosting vs. VPS hosting

Shared hosting divides a single web server’s resource among multiple users, while VPS or virtual private server hosting allocates a dedicated portion of the server to each user. This means VPS hosting offers better performance, security, and customization, but it costs more and requires technical knowledge to manage.

Shared hosting vs. dedicated hosting

With shared hosting, you don’t have the flexibility to ask for more resources. Dedicated hosting, on the other hand, gives you a dedicated server just for your site. This equates to faster speeds, stronger security, and more control, but it also costs more and requires technical know-how to manage.

Shared hosting vs. cloud hosting

Shared hosting runs on one physical server, while cloud hosting uses multiple virtual servers for better reliability and scalability. This feature makes cloud hosting a reliable option for websites with fluctuating traffic. Only that, it can be more expensive and harder to predict in cost.

Shared hosting vs. managed WordPress hosting

Both hosting types are beginner-friendly, but managed WordPress hosting is built just for WordPress sites. It runs faster, has better security, and updates automatically. However, it costs more than shared hosting and doesn’t support non-WordPress websites.

How to boost speed and security on shared hosting

Shared hosting has some limits, but you can improve speed and security with a few simple steps. Here are expert strategies in the industry:

1. Use a Content Delivery Network (CDN)

A CDN replicates your website on different servers worldwide. It speeds up loading by reducing delays and fetching data from the closest server for faster access.

A CDN also improves security by preventing DDoS attacks and blocking malicious traffic. Many hosting providers include CDN integration, or you can use third-party services like Cloudflare.

2. Optimize images and enable caching

Large images slow your website down, especially when sharing server resources. Compressing images with tools like TinyPNG or ShortPixel helps reduce file sizes without sacrificing quality.

Also, enabling caching stores static content, which reduces server load and improves page speed. Try minifying CSS and JavaScript as well to help remove unnecessary code for faster performance.

3. Choose a reliable hosting provider

Not all shared hosting plans come with the same level of security and performance. Look for one with 99.9% or better uptime, SSL certificates, firewalls, and malware scanning, as well as regular server updates to keep your site secure.

A good provider also monitors server activity, prevents overloading, and offers 24/7 support to quickly resolve issues and keep your site running smoothly.

4. Regulate permissions and user roles

Only grant necessary permissions to reduce security risks. Assign user roles wisely and limit admin access to only those who need it.

For added security, turn on two-factor authentication (2FA) and avoid unverified downloads to prevent malware. These steps, along with a CDN, caching, and a good web hosting provider, can improve speed and security in shared hosting.

Is shared hosting right for you?

Shared hosting is an easy entry point for a website. It's affordable and beginner-friendly, which makes it an excellent hosting package for those who are just starting out and have no web hosting experience. Yet, it does come with limitations.

So, is shared hosting right for you? Ask yourself:

• Do you need an affordable hosting solution for a small business, blog, or portfolio?
• Is your site's traffic low to moderate?
• Are you looking for a hands-off approach where the provider handles maintenance for a shared server?
• Are you okay with potential slowdowns if another hosted site experiences a traffic spike?

If you answered yes to most of these questions, then this is your best bet. But if you expect higher traffic, require more control, or need extra security, consider other hosting types like VPS or cloud hosting.

What’s next?

1. Compare different web hosting companies and check what’s included in their hosting services.
2. Look for features like uptime guarantees, customer support, and security measures.
3. If you’re already on shared web hosting and experiencing slowdowns, it may be time to upgrade.

The right hosting plan depends on your needs today and where you see your website in the future. Start with shared hosting if it fits your current needs but be ready to scale as your website grows. If you're ready to get online, check out beginner-friendly shared hosting plans from Network Solutions.

Shared hosting FAQ

Is shared hosting good for eCommerce?

Yes, it works for small eCommerce stores, but as traffic grows, upgrading is necessary for better performance.

What is the difference between a server and hosting?

A server is a physical computer that houses your website's files. Hosting is the service that rents you space on that server to make your website accessible on the internet.

Is shared hosting the same as a domain name?

No. Shared hosting and domain names are different. Shared hosting allows several websites to share one server, while a domain name is your website's address.