When people start planning a website, they often hear the words domain, hosting and DNS together and are not sure how they fit. This guide explains web hosting in plain language, so you can understand quotes from developers and choose a sensible option for your business.
In this guide
The simple explanation
A website is a collection of files and data: pages, images, code and often a database. Web hosting is a service that stores those files on a computer called a server, which is connected to the internet all the time. When someone visits your website, their browser requests the files from that server and displays them.
Domain vs hosting
Domain name
- Your website's address, e.g. example.com
- Registered with a domain registrar
- Usually paid yearly
- Like your shop's address
Hosting
- Where your website's files live
- Provided by a hosting company or platform
- Usually paid monthly or yearly
- Like the building itself
You need both, and they are connected using DNS settings, which tell the internet which server your domain points to. The domain and hosting can come from the same company or different companies.
What happens when someone visits your website
- Visitor types your domainFor example yourbusiness.com, or clicks a link.
- DNS lookupThe browser finds which server the domain points to.
- Server respondsThe hosting server sends the page files.
- Page appearsThe browser displays the page, loading images and scripts.
This usually takes a second or two. The speed and reliability of the hosting server is one of the factors that decides how fast that happens.
Main types of hosting
Shared hosting
Many websites share one server's resources. It is the cheapest option and suits small, low-traffic websites such as a five-page business site. The downside is that busy neighbouring sites can affect your performance.
VPS (virtual private server)
You get a dedicated portion of a server's resources. It offers more control and steadier performance, but usually requires more technical knowledge to manage.
Dedicated server
An entire server for one website or business. Powerful and expensive; mainly used by large, high-traffic websites.
Managed hosting
The hosting company handles technical tasks such as updates, security and backups for a specific platform, for example managed WordPress hosting. It costs more than basic shared hosting but saves time and reduces risk.
Cloud hosting
Your website runs across a network of servers, which can make it easier to handle traffic increases. Pricing is often based on usage.
| Type | Cost | Technical effort | Good for |
|---|---|---|---|
| Shared | Low | Low | Small business sites, blogs |
| Managed | Medium | Low | Business WordPress sites and stores |
| VPS | Medium | Medium to high | Growing sites needing control |
| Cloud | Varies | Medium to high | Variable or high traffic |
| Dedicated | High | High | Large, high-traffic sites |
Hosted platforms like Shopify
With Shopify and similar hosted platforms, hosting is included in your subscription. You do not choose or manage servers; Shopify handles hosting, platform security and the SSL certificate. This is one reason hosted platforms are popular with businesses that do not have technical staff. Our Shopify vs WooCommerce guide compares the hosted and self-hosted approaches in detail.
What to look for in a hosting provider
- Reliability: how consistently the service stays online (uptime)
- Speed: server performance and location relative to your visitors
- Security: free SSL certificates, malware protection and timely updates
- Backups: automatic backups and an easy way to restore them
- Support: responsive help when something breaks
- Renewal price: many plans are much cheaper in the first year
- Room to grow: an easy upgrade path if traffic increases
Example
A local consultancy wants a five-page website with a contact form and a blog. Shared hosting with a WordPress site, or a hosted website builder, would both be suitable. An online store expecting regular orders might choose Shopify instead, so that hosting, checkout and security are handled in one place. A business with a developer and specific custom requirements might choose managed or VPS hosting.
Frequently asked questions
Can I move my website to a different host later?
Yes. Websites can be migrated between hosts, though it takes some technical work. Hosted platforms like Shopify are moved differently, usually by exporting data.
Is free hosting a good idea for a business?
Usually not. Free hosting often comes with limits, adverts or poor reliability that make a business look less professional.
Do I need hosting if I use Shopify?
No. Hosting is included in your Shopify plan. You only need a domain if you want your own address.
Keeping your hosting and accounts secure is just as important as choosing them: see How to Secure a Small Business Website.
