VPS vs Shared Hosting: Key Differences

Hosting can be quite a confusing topic if you have the least or no technical knowledge. However, there are a lot of simple guides available on the internet that help you in the best way possible. There are various hosting options available on online marketplaces that you can choose for your blog, online business, or mere portfolio. But which hosting plan is best for your website?

If you are a beginner and have considerably less traffic, a shared hosting plan is perfect. Websites with a high no. of daily visitors require VPS or dedicated server hosting.

In this article, we will be talking about the features, pros, and cons of VPS and Shared hosting plans.

What Is Shared Hosting and Its Features?

Shared hosting is considered the basic hosting plan for beginner websites with less or almost no traffic. Once your site starts scaling up, you need to look for dedicated hosting plans. In shared hosting, all the physical resources such as servers are shared with other websites hosted there. But no two websites hosted on the same server can access each other’s information.

Shared hosting plans are ideal for small Blogs, portfolios, and startups. Shared hosting plans start from $2-$3 per month for hosting 2-3 websites.

Most of the upgrades in shared hosting are done automatically, and you need not maintain any server of your own. You can install the softwares of your own choice, such as WordPress, etc.

What Is VPS Hosting and Its Features?

VPS hosting is a type of hosting service that is suitable for website owners whose website’s traffic has outgrown shared hosting. VPS is more efficient than shared hosting and lies in the middle between the most expensive shared and dedicated server hosting. Unlike shared hosting, VPS gives you full freedom to customizations and configurations, ensuring scalability and better performance.

In VPS, the service provider is solely responsible for setting up and maintaining the servers for you. This task cannot be done by individuals as you need to technical expert for that.

Two main types of VPS hosting plans are Managed VPS Hosting and Unmanaged VPS hosting.

In managed VPS hosting, everything will be done by the service provider, and you just need to manage the websites using the dashboard/cPanel. In unmanaged hosting, you will be required to perform everything on your own, which will be your responsibility.

Key Differences Between VPS Hosting And Dedicated Server Hosting

When compared to shared hosting, VPS is more premium with its features and customizations. Now we will be comparing both the hosting options based on features.


The greater the number of resources, the better is the performance of the website. In shared hosting, all the resources are shared by other websites hosted on that server. So in case of traffic spikes in any of the other websites, it will have a bad impact on the performance of your website. But in VPS hosting, you have particular resources allocated to your website that are not shared(except server) by other service consumers.

In shared hosting, you just have to opt for the plan, and the service provider will manage the rest, but it is not a better option if you have multiple sites to manage. VPS hosting will be a better solution in terms of performance when compared to shared hosting plans. However, you will require a system administrator for seamless running of the server when using VPS hosting.


When we choose a hosting plan with shared server resources, there is a threat to the website’s security, especially when your site has a large no. of daily visitors. Most shared hosting providers claim 100% security, but a server shared among multiple websites is not totally safe. If you have an online business and deal with sensitive information of the users, then VPS hosting is for you.

Server Resources

When it comes to server resources, there is a common server among all the users. And in VPS hosting, a specific space is allotted to the user that is not shared by anyone else. As said above, there are some restrictions when you share a server with other users. In VPS hosting, you have a private storage space that comes with minimum security risks and optimized performance.


Scalability is an important factor that you need to consider while running an online business. If your website or store attracts 1000 visitors per day, then shared hosting might go well. But sites with traffic more than that will require VPS or dedicated server hosting. Shared hosting plans can accommodate the beginner traffic, but it starts creating internal errors once the site reaches its potential traffic. You can go for VPS hosting to meet the traffic requirements and scale the website more quickly and efficiently.


Both Shared and VPS hosting plans have slight differences in their pricing. Shared hosting plans start from $2 per month for a site, while VPS hosting plans begin to vary from $5-$20 depending upon the configuration. Also, when compared to all other hosting plans, shared hosting is the most economical option, and managed dedicated servers are the most expensive. However, the more the price you pay more features you get unlocked for you.

The Final Verdict

This was all about comparing VPS and Shared hosting on the grounds of features. To conclude with. Shared hosting and VPS hosting have their own pros and cons. Shared is better for starting off with an online business, while VPS hosting can be later used to scale the same. As the online business grows, so do the requirements, and so should the hosting plan.

About the author

Deepak Sharma

A civil engineer by profession who finds computers quite interesting. Loves to write about his experiments with computers and circuit boards.