Scottsdale, Arizona-based GoDaddy is arguably the best known hosting company in the world.  Founded in 1997 by Bob Parsons, Americans and other global citizens who aren’t even connected online have probably heard of it from its NASCAR sponsorship, one dollar domain names, and sizzling Super Bowl ads featuring professional race car driver Danica Patrick, fitness guru Jillian Michaels (“The Biggest Loser”) plus other attractive women.

Not the stereotypical image of web hosting services, to be sure…

Recently, GoDaddy has ditched the sensationalism of its past marketing campaigns to consolidate its leadership position in the hosting sphere. After all, it is a billion-dollar corporation that employs over four-thousand people. It continues to target first-time customers but has also moved aggressively to attract small and medium-sized businesses.

Mainstream recognition is one thing, but does GoDaddy deliver the e-commerce goods? Do its strengths justify a serious long-term commitment on your part, or is it better to simply look elsewhere?

Our review may surprise you…

GoDaddy Hosting Pros: Features and Benefits

GoDaddy’s four (4) main hosting options (note: Multiple pricing plans within each option) aim to satisfy any type of entrepreneur, from the complete newbie to large-sized corporation.
There is definitely a plan for you:

• Shared Web Hosting: Private space on a single server; “apartment complex” concept ($3.99-$8.99 per month).
• Managed WordPress Hosting: WordPress is the world’s most popular blogging platform, and 17% of today’s websites are built with WordPress. Secure, easy to use, and extremely fast ($1.00-$33.99 per month).
• Managed VPS Hosting: Select any Virtual Private Server plan and access the power of a dedicated server.  Suited for high-traffic sites, creative agencies, and top-notch developers. Both Linux and Windows plans available ($34.99-$174.99 per month).
• Dedicated Server Plans: GoDaddy’s ultimate in website performance, security, and control.  You have your own dedicated server at your disposal ($149.99-$437.99 monthly).

Common GoDaddy benefits regardless of the plan you select include:

• “One-click” installation of over one-hundred fifty apps, including WordPress, Drupal, and Joomla.
• 24/7 customer hosting support via telephone or chat.
• Reliability and Performance Guarantees (Thirty-second setup, Unlimited bandwidth, Resource Usage alerts, Backup and restore features, etc.)
• MySQL and cPanel administration, ImageMagick, Logs, Site statistics etc.

GoDaddy Hosting: The Cons

In recent years, GoDaddy has had some high profile issues related to downtime and its pricing policies. Some argue that its advertised low prices are merely facades to trap unsuspecting prospects. A 30-day “No-Risk” trial offer, if not an unconditional month-to-month hosting plan could help in this regard. Right now, you must upgrade to a Deluxe or Ultimate plan to take advantage of month-to-month payment plans.

Paying for your website builder (a dollar per month) is also a minor drag that few of GoDaddy’s main competitors demand. Still, you are compensated with an above average builder that’s easy to use and produces good-looking websites quickly.

If you are in the market for a website builder, you may also want to see our Web.com Website Builder Review.

The base QuickShoppingCart ($9.99 per month) e-commerce software may be a bit more complicated that competing software, but the end result is a more flexible storefront look. You do get 1GB of disk space, QuickBooks integration, fraud management tools, and credits from Bing, Facebook, and Google Adwords.

Final Verdict

GoDaddy has largely shed its racy image to become a major player in business hosting, thanks to numerous specialized tools which include Linux and Windows servers, VPS, flexible website creation tools, WordPress access, and knowledgeable customer service.

Only the heaviest GoDaddy corporate plans run for hundreds of dollars monthly, and most online entrepreneurs today can get started for around fifty dollars USD.

Web hosting for all the technology involved is still a customer-oriented business, and GoDaddy continues to shine for small and medium-sized entrepreneurs. Friendly and prompt service for the most part and a strong frequently asked questions (FAQ) database to boot.

Perfect? Not quite, but enough to put it among your top five web hosting choices should you be investigating options to launch your campaigns.

Houston-based HostGator, founded by Brent Oxley in 2002 is a major player in the ultra-competitive domain name and web hosting business field. Over the years, it has built its reputation as a reliable web host to become one of the top budget web hosting companies in the world (over 8M hosted domains as of 2014). As part of the Endurance International Group since 2012, seeks to take its online activities to the next level.

When searching for a web host, you ideally want to choose a company that offers the necessary tools and platform robustness to let you grow at the pace you desire. All without costing you an arm and a leg! Does HostGator fit the bill? The results of our investigation may surprise you.

Shared Hosting Plans for Newcomers

HostGator offers discounts for its entry-level customers ($7.16 per on a month-to-month basis, down to $3.96 per month for a 3-year commitment). Its features include: unlimited disk space and bandwidth, easy to use control panel (cPanel); and unlimited subdomains, ftp accounts, and e-mail accounts. As of now, domain name purchase and registration are fully priced.

Of interest to novices is HostGator’s “no contract” feature and 45-day money back guarantee – one of the longest in the business. This gives you added flexibility if you ever decide that this web hosting service is not for you.

Mind you, there are strong incentives to stick around:

• Free Weebly Sitebuilder and other website builder tools
• One free website, cPanel and domain transfer per shared account; also MySQL and scripts transfers available
• Complementary scripts installed on demand, and a $100 Google Adwords promotion

Basic WordPress hosting prices (Hatchling Plan) matches its web hosting offers, whereas the Baby plan goes up to $7.96 monthly, the Business Plan up to $11.96 monthly.

Hassle-free installation, free transfers of existing WordPress websites and code-free creation are included.

VPS, Dedicated Hosting

HostGator’s Virtual Private Server (VPS) package serves as a good transitional option for growing businesses. At $11.97 per month in the first year ($19.95 monthly afterwards), VPS gives you a dedicated server feel at a reasonable price. Its features include:

• Unlimited domains, subdomains, MySQL databases,  e-mail accounts and ftp accounts
• Free SiteBuilder software with fully managed VPS
• Private name servers and weekly off-site backups

Full root access lets you install advanced software and customize your account. The optional cPanel allows for easier administration.

Like VPS, the Dedicated server options are backed by top of the line Linux servers. However, the Basic Plan starts at $105 per month, making it appropriate for companies who already handle a significant amount of traffic.

HostGator Web Hosting Pros

• Large number of discounts for a host of useful features
• Significant experience with novice website owners and bloggers
• Top-ranked VPS and dedicated hosting options
• Unlimited bandwidth, disk space and  e-mail accounts

HostGator Web Hosting Cons

• Pushing people to sign up for longer terms, e.g. three years, even when it may not be in their best interest
• Customer service issues on occasion, although its knowledge base can often compensate for a lack of live assistance by telephone or via chat
• Recent server outages and downtime issues (three (3) major incidents in 2014)
• Need to move to Baby or Business Plan to host an unlimited number of domains

HostGator Final Verdict

If you are looking for a reliable web host for WordPress sites or a nascent e-commerce business, HostGator is a battle-tested option worth considering. Although other companies may offer slightly more attractive pricing and setup options, a motivated Internet entrepreneur will easily benefit from its entry-level shared plans. Making the transition to VPS or dedicated hosting for future growth all the more rewarding.

Are you feeling a little confused by the different types of website services and web hosting plans?

If so, don’t feel bad, you’re not alone. With hundreds and hundreds of web companies competing for your business with thousands of different web hosting plans, things can get pretty confusing pretty quickly.

Add to that all of the “technical geek” terms like bandwidth, GB, and DNS and it’s easy to see how someone who just wants to start an online business and make money online can get easily discouraged.

As your online business grows, your Web hosting needs will increase and become more complex. Free and inexpensive web hosting plans may have been fine in the startup phase of your online business, but if your website is starting to feel sluggish as it continues to grow and you get more website traffic, you may need to start looking at beefing up your Web server.

Think of this list as the progression of the type of hosting plans and services a growing online business can consider.

With that said, let’s talk a look at the most common types of web hosting plans and determine which one would best serve the needs of your business; whether you are just starting an online business or looking to take your online venture to the next level.

1. Shared Web Hosting

Shared hosting means just that. Your website is hosted on a server shared by other websites. The advantage of this setup is the shared cost. You can pay as little as $5-$10 per month for sharing a super server with (probably) hundreds (or thousands) of other websites.

The biggest disadvantage of a shared hosting account is that you’re at the mercy of the other sites on your server. A really popular site may adversely affect the performance of your own site. On the other hand, if you’re the most popular site on the server, you get to use a super server for a very low price.

When most people start an online business they usually start out with a shared hosting plan to minimize costs; and they’re not likely getting a ton of traffic initially.

Shared hosting is good for a brochure type site, or a newer site that doesn’t get a lot of traffic.

Price Range: $5 – $20/month.

Bluehost is a very popular shared web hosting option.

2. Reseller Web Hosting

Reseller hosting packages are basically a shared hosting account with extra tools to help you resell hosting space.

Reseller packages come with greater technical control (often via the Web Host Manager (WHM) control panel), billing software to help you invoice clients and other extra perks.

Some of those perks include:

• free website templates
• white label technical support — that means the hosting company handles your clients’ tech support issues
• private name servers — make your company seem even bigger by telling your clients to point their domain nameservers to ns1.yourwebdesignfirm.com

Price range: Reseller packages range from $15 – $50, depending on features and resource limits.

If you’re planning on selling web hosting as a business then reseller web hosting is perfect for you. Otherwise just stick with a shared hosting plan if you’re just starting out.

Also, if you’re interested in making money as a web hosting affiliate you’ll want to check out this article on how to make money with affiliate marketing.

3. Cloud Based Web Hosting

Cloud Based Web Hosting refers to a fairly new hosting technology that lets hundreds of individual servers work together so that it looks like one giant server. The idea is that as the need grows, the hosting company can just add more commodity hardware to make an ever larger grid or cloud.

The advantage of cloud-based web hosting is that if you get an unusually large amount of website traffic the web hosting plan can accommodate the surge of traffic – rather than shutting your website down.​

If you’re website is growing and you’re driving more traffic to your website, this is probably the first point you would upgrade too from a shared hosting plan.

Price Range: All grid computing packages use some form of pay-for-what-you-use pricing structure.

See Also: iPage Web Hosting Review

4. Virtual Private Server (VPS)

Virtual private servers share one physical server but acts like multiple, separate servers. A VPS is a stepping stone between shared hosting and getting your own dedicated machine. Even though each VPS instance shares hardware resources, they are allocated a dedicated slice of the computing resources.

A VPS avoids the problem of having your hosting neighbors bring down your website, while avoiding the cost of a dedicated server.

Price Range: Most VPS hosting packages cost between $50 and $200. Pricing is based on the guaranteed CPU and memory (RAM) you get.

See Also: Namecheap Web Hosting Review

5. Dedicated Web Server

When you have a dedicated server, it means you are renting one physical server from a hosting company. You can have full control (called “root” permissions in Linux) if you want it.

With a dedicated server, you don’t have to worry about other websites on a shared server taking up your resources and slowing your website down.

A dedicated server is generally the highest level of server you would need if your online business grows into a presence that is getting a lot of website traffic. While the costs of a dedicated server is significantly higher than shared hosting, your business will be at a point that can easily afford the necessary costs of having your own server.

Pricing: Dedicated servers are priced from $100 and up. But if you are considering a dedicated server, you should also consider the costs of hiring a system administrator to take care of the technical details.

See Also: GoDaddy Web Hosting Review

6. Colocation Web Hosting

When you colocate, you rent rack space from a data center. You bring in your own server hardware and they provide power, cooling, physical security, and an internet uplink. This means you’re responsible for your own server software, data storage, backup procedures, etc. If hardware fails, you’re responsible for replacing it and getting the server back up and running.

Unless you have the technical know-how in-house, colocation is probably not worth the investment in time, expertise, and money for most small businesses.

See Also: The Benefits of WordPress Optimized Web Hosting

7. Self Service Web Hosting

The ultimate hosting plan — you do it all yourself! You buy the servers, install and configure the software, make sure there is sufficient cooling and power in your machine room, and double up everything for redundancy. Some of the things you’ll have to take care of:

• data center space
• cooling
• power (with backup)
• bandwidth
• server hardware
• systems administrator
• data integrity and backup
• … and the list goes on

Similar to colocation web hosting, this most likely beyond the scope of what you’d want to do as an online business owner.

8. Managed WordPress Hosting

With the increasing popularity of WordPress as a web building platform, many web hosting servers are offering what’s referred to as “Managed WordPress Hosting.

In a nutshell, managed WordPress hosting is a service where the web hosting provider will keep your WordPress installation up-to-date which can help protect your site from security threats that would allow hackers into your website.

While not the as inexpensive as shared web hosting, this is a great option for both start up businesses and established businesses that use the WordPress platform.

See Also: Why You Must Host Your Own WordPress Blog

9. Web Hosting for WordPress: Which Hosting Type to Choose

Choosing a web hosting provider for your WordPress website is a major decision in the process of your website creation. It’s incredible how much of your success depends on hosting: website performance, security, its downtime, even Google rankings, and so much more.
But here comes a question: is WordPress hosting any different than any other generic hosting? Yes, it is. You can choose a generic one for your WordPress site as well, but specialized web hosting for WordPress will give you a better experience by making WordPress installation easier, being compatible with all software you might need, and offering more perks. But let’s keep the details for later and get back to the hosting market.

An important issue that new internet entrepreneurs should address prior to setting up their online businesses is the question of an appropriate web platform.  What type of website do you need to build, and what kind of content should you post to attract your ideal customer?

Among the options at your disposal include the services of a website builder.  Website builders take the drudgery and hassle out of website creation by offering “point and click” solutions.

  A far cry from the early days of the World Wide Web (WWW), when dedicated coders had to use HTML, Flash or some crazy computer language to put up a webpage.

Web.com is one of the most established services available, offering a potpourri of e-commerce tools that are more than adequate for getting even the most technophobic among us up and running fast.

The Pros: Features and Benefits.

Web.com offers important benefits for its subscribers, including many essentials that you can immediately implement for your business:

• A quick three-step sign-up process that lets you choose your own domain name, pick out a customized website design for your business/hobby, and publish it instantaneously on the Internet.  All it takes to get started is a telephone call or a live chat.
• Web.com’s easy to use website building tool (SiteBuilder) with hundreds of starter design templates that aim to enhance your online presence.

• Access to a vast stock image library that allows you to make your website more relevant and enticing to your customers.
• Design enhancement capability including multimedia, i.e. sound, music, Flash animation and video.  The ability to drag and drop widgets like: date and time stamps, roadmaps, visit counters, guest books, and other helpful items on your website.

If you wish, Web.com designers can build you a customized e-commerce site that can completely knock your socks off!  If you are not a hands-on techie, the editing software and premium back office gives you access to tools that put it in a class of its own.

Web.com sponsors regular small business summits throughout the United States and Canada, a testimony to its three million person customer base and three decades of experience.

The Cons.

On the surface, a website builder seems like the logical way for “newbies” to announce their arrival on the Internet.  Web.com is a decent product, arguably the best website builder available today.  However, by using Web.com to create your platform, you surrender a big chunk of your business independence.  Your creativity will be limited to Web.com’s library of templates, skins, and other features.

Web.com designers can make great websites, no doubt about it.  However, yesterday’s model will have to be maintained, upgraded and adapted to new market conditions, and pre-fabricated creations have a habit of burning through your operating cash flow very quickly.  It remains somewhat lacking in marketing tools, especially when it comes to loyalty programs and enhancing your Facebook and social media marketing presence.

Web.com’s basic e-commerce package only allows twenty products with about 1 Gigabyte of storage.  Therefore, your scalability might be limited to comparable software packages that offer more.

In addition, Web.com charges for every transaction which can really add up regardless of what stage your business is at.  Its fees for eCommerce services are among the highest for its business category.  You have no choice but to buy the most expensive software version to be able to sell downloads.

As Web.com looks to upsell you towards more enhanced e-commerce packages, it departs the role of website builder and becomes just another web host.  Benefits like e-mail accounts, e-mail storage, and unlimited web storage are standard elements of a decent web hosting package from most reputable companies offering the service.

  Chances are that you can find better pricing outside Web.com, since traditional web hosting companies survive in large part based on price competitiveness (and customer service, of course!).

Final Verdict.

With a minimum package price of thirty-five (35) dollars USD, Web.com may be worth a peek for people who really want to minimize their face time with the technical details of e-commerce.  In the short term, these template-based sites are probably easier and less expensive than other options (like WordPress or customized sites) but only up to a point.   They are limited in options; and you're "stuck" with them once your business moves beyond its initial stages.  Your eventual transfer from a builder like Web.com to regular hosting where you call all the shots may not be as smooth as you would like.

My personal recommendation is to go with a solution like WordPress right away, especially the version that you host yourself (Wordpress.org, not WordPress.com).  It gives you more control, especially on the marketing front, and you will not lose your content should Web.com’s Terms of Use and other “legal” clauses change against your interests.  Affiliate marketers in particular are advised to use WordPress as the anchor of their referral marketing empire.

It seems like everybody has a website these days. And why not? The low price of web hosting — both initial and ongoing costs — for your website has made it more affordable than ever. And web hosting is easy to set up and maintain, so anybody can do it.

What Is Web Hosting?

Web hosting is what makes it possible for your website to be live, online, and viewable to your website visitors. Your website and its contents are stored on what’s called a server, which is connected to the internet so that users can access it.Anytime you add a page, photo, video, or any other type of content to your website, it will be uploaded to your web host.

Every website out there uses web hosting, from Amazon.com to the funny video sites your friends share on Facebook. Individuals and small business use web hosting too.

You could have a website for your personal blog, your freelance career to show your portfolio, your bricks-and-mortar company, or just a personal site for fun. In your case, you’re after a website for your e-commerce/online business. This will be your online storefront, where prospects and customers come to check out your products and hopefully buy.

Web hosting companies specialize in providing these servers and related technology. But there are several options. That’s why it’s so important that you pay close attention to your web hosting provider. You don’t want downtime, or for website visitors to have trouble accessing your site. This is your business, and trouble with your website means you’re not making money.

So you don’t want to invest your money and your trust in a solution that’s not going to work. You also want a web host provider that is going to offer 24/7 customer support in case any issues arise with your web hosting.

With so many hundreds, even thousands, of different web hosting companies and services out there, how do you know which one is right for you? Which ones provide great service, and which ones are unreliable? Which ones can handle the growth of your business from a simple online store to a major e-commerce retailer? How much hard drive space and bandwidth do you need, and which providers or types of web hosting can handle it?Which web hosting service will give you the best value for your money?

As you’re considering your options, don’t think that cheaper is better. You see, once your online business grows, your web hosting requirements become more complex as you experience more traffic to your site. In other words, you need more hard drive space and bandwidth to handle all the visitors. You need systems in place to account for that growth — you don’t want to be caught short when a breakthrough comes for your business.

So let’s go over this list of the five most common types of web hosting and figure out which one is the best fit for you and your needs.

1. Shared Web Hosting

In this type of web hosting, your website is on a server with other websites… perhaps hundreds. While generally the most cost effective option, the problem with this type of shared server is that your website can be affected by the other websites.

A site that gets a lot of traffic could slow your site down. So it’s probably only your best option if you’re just starting out with your online business.

The main advantage is that it’s cheap: about $5 to $20 per month.

Share hosting is a great option if you're just starting your online business and trying to keep an eye on costs. Most web hosting providers that offer shared web hosting also offer other options that let you upgrade as you continue to grow your business.

2. Virtual Private Server (VPS)

Usually, the first type of upgrade you'll make with your web hosting as you grow your business is from a shared web hosting account to a virtual private server.
With a virtual private server or VPS, you’re bridging the gap between low-cost shared hosting and having your own dedicated server. In this setup, multiples VPSs exist on one physical server, sharing hardware and a guaranteed part of that server’s computing power. But a VPS functions as if it were a separate server from the others so the other sites hosted there won’t affect your site at all.
These virtual private servers will run you about $50 to $200, based on how much dedicated bandwidth and memory you need.

3. Dedicated Web Server

Continuing with our theme of upgrading your web hosting options, once your business outgrows the needs of a virtual private server, the next logical upgrade would be to a dedicated server.
This is an ideal web hosting solution for a small online business because it offers you maximum flexibility. In this solution, you get your own physical server, just for your website, over which you have total control. And there are no other websites on the server that can affect your site by slowing it down. You get the speed and security you need.
Here’s one drawback. You probably will have to hire someone, a system administrator, to run this server’s technical side. With the ability to have root permissions on the server this is a necessity.

4. Cloud Based Web Hosting

Everything is in the cloud these days, even web hosting. In this model, you have individual servers, hundreds of them, working in conjunction to create what is essentially one very robust server. With all that power working for you, you have the advantage that if you get a big boost in traffic — say with a product launch — the cloud-based web hosting plan can handle it — no slowdowns, no shutdowns.

With these types of web hosting plans, you generally have a customized billing structure based on what you use.
Though many companies offer cloud-based hosting as a standalone product, many companies will use a cloud-based structure for their shared web hosting, virtual private server hosting, and dedicated web servers.

5. Reseller Web Hosting

This type of web hosting account is unique as it’s kind of business in itself. Let me explain. With reseller hosting you, as the account owner can use your hard drive space and bandwidth on the server to host other people's websites. These third parties pay you for the service — essentially your are reselling your web hosting space, hence the name reseller hosting. The difference between what you charge your customers and the price you pay for the web hosting space is your profit when reselling web hosting.
In many cases you can sell the web hosting using your own company/brand name — basically acting as a private label.
For the end user, a reseller hosting account is very similar to a shared hosting account. Again, this type of hosting is more suitable if you're looking to sell web hosting as an income source and not necessarily a good option if you're looking to host your own website.

What About Free Web Hosting Solutions?

You may have seen blogs that use this naming convention: websitename.blogspot.com or websitename.wordpress.com. This is technically a type of web hosting, and the major benefit here is that the hosting is free.
But before you rush to use it, be aware of the downsides. The biggest is that you’re stuck with the templates your host provides, among other limitations. And you really can’t run an online business this way, as these hosts don't really offer effective e-commerce abilities. I would completely disregard this solution unless you just want to run a personal blog cost-effectively. Avoid any type of free web hosting or blogging solutions if you intend to make money with an online presence.
If you want to learn more, see this article on why you should host your own paid website.

Putting It All Together

Before signing up for any type of web hosting platform, it’s important that you do your research to find out which solution is right for you. A cheaper, shared web hosting solution is a great way to start your online business. But you’ll quickly outgrow it. At that point getting a cloud-based web hosting service or even a virtual private server or dedicated server will be the way to go.
Web hosting could determine the success or failure of your online venture. It’s not sexy, but getting it right could be the difference between the success and failure of your online business.