Shared web hosting is the most affordable type of domain hosting available. Its affordability is due to the fact that you share a server with various companies who also want a low-cost web hosting plan. Each company that shares this server has its own specified amount of storage space that is defined by the hosting package Depending on the size of the server, you could possibly have thousands of websites hosted on the same platform, with each user receiving an allotment of the total available bandwidth, memory, and power.
There are two other factors that led to the nearly perfect score earned by Dreamhost. First, the company's pricing is pretty transparent. There are no hidden gotchas in the rates. Plus -- and this is the best we've seen across all our hosting providers -- Dreamhost provides a 97-day money back guarantee. There's quite literally zero risk in giving them a try.
Why should you upgrade to a VPS or Dedicated Server? This may have to do with the type of site you have. If you have a lot of photos and videos that are password protected, this may be against your host’s rules for shared accounts which often prohibit file storage. Or you have a lot of site visitors, the metaphorical guests in your apartment, and your account may start getting crowded as those guests start clogging up the “hallways” otherwise known as CPU capacity. Another reason is to have full control over the configuration of your server, if you own a house you can make modifications you may not be allowed to make in an apartment or townhome.
Many services offer a low "starting price," but require you to prepay for two or three years of service to get that price. After the promotional period, the renewal price for some services can be two, three, or even four times the initial promotional pricing. While the initial deal might be incredible, the cost of transferring your site (or paying the added fee) in a couple of years may be something to consider.