A shared hosting plan is typically based on “geo hosting,” meaning that you are sharing rented space on the hosting company’s physical server that is set up in a particular geographically-based location. Shared hosting is fine, up until the point that your storage and traffic needs begin to overwhelm a shared environment.

Until recently, there have been two choices available to solve this problem: virtual private server (VPS) hosting and dedicated server hosting. However, a new option has presented itself to website owners looking to improve their hosting: cloud hosting. Each of these hosting platforms has benefits and drawbacks, and each is ideal for users with very different requirements.

What Is Cloud Hosting?

The word “cloud” in this sense refers to a collection of servers that are integrated to work together, which allows them to share resources and loads. Cloud hosts are composed of several servers, usually all located in different places around the world. Cloud hosting, like shared geo hosting plans, allows several users to share the same resources. However, the resources of cloud hosting are much greater than those of a physical server. This makes it available at a lower cost than a dedicated hosting plan.

Cloud hosting is well-prepared to manage peaks in traffic and data transfer. You will typically pay a flat rate for the service during times of regular traffic, and will be charged an additional fee only during times of peak use or high resource loads. This makes it a highly scalable option, with the ability to enjoy the benefits of dedicated hosting without the high rates. You will retain the availability of the highest bandwidth you may need at any given time, but you will only pay for this service when you actually use it. Keep in mind that the per-unit cost for data transfer will typically be higher with a cloud host than with a geo host.

Cloud hosting can become extremely beneficial for users with certain situations. For example, you may be involved in a resource-intensive, large-scale app development project or something else involving high data transfer. For such an operation, cloud hosting provides a necessarily wide variety of resources.

Potential Issues With Cloud Hosting

Cloud hosting does have a few key issues to resolve before it becomes a completely viable option. Even though the shared resources are much greater than those of a shared geo hosting plan, you can expect that other users will often hit peak times as well. To balance these heavy loads, the servers will often shift data around with the other hosting clients. You could see your resources suddenly located thousands of miles away, even in another country. You will not know the actual location of the server that has been assigned to you or your users by the random “load balancing” system. If your data must travel a very long distance to reach a user, transfer can become incredibly slow.

This constant shifting of resources is quite a balancing act. It can result in a generally slower response time for all website operations. It can also pose a security threat. Cloud hosting poses a potential vulnerability in its load-balancing operations. Traditional hosting companies have well-established security protocols. With cloud hosting, no industry standard for security exists, although some larger cloud hosts are currently developing guidelines to protect against unauthorized access. Currently, cloud hosting is unable to offer the same high level of security as geo hosting options.

Cloud Hosting or Geo Hosting?

Geo hosting may be the best option for websites where connection time is very important: those that are primarily user-driven. A dedicated server will provide higher quality email service, faster page loads and a more predictable cost. If this is your situation, you need to find a geo host with a data center situated as close as possible to you and the majority of your users.

Geo hosting provides the possibility of a fairly simple transfer to a dedicated server should the need arise. This transfer will provide a solution to heavy traffic problems and provides greater stability as your business expands and your needs grow. Dedicated servers give you your own space to store vital data and perform complex operations. This means a more secure, stable environment.

Users with fairly level loads may benefit more from geo hosting services. Geo hosting also provides the possibility of scalability. While a shared hosting plan can provide only limited load balancing operations, a quality geo host can assist you in upgrading your account with no risk of security threats. Geo hosting utilizes Secure Shell (SSH), which will secure your databases during transfer. Cloud hosting does not currently offer this ability. If your website operations require the highest level of security, your best hosting option is a dedicated geo-based server plan.

Cloud hosting may be a good fit for websites that have a high level of variation in their requirements. It can also be beneficial for users who are involved in very high-resource operations such as large-scale development projects. Cloud hosting can help save money if your resource needs cause vastly fluctuating server loads on a random schedule.

Ensure that you are choosing the best option for your needs by considering your current situation in relation to your expected future growth and expansion plans. Don’t neglect to perform diligent research on the hosting company itself. You need a reliable host that offers professional technical support all day, every day. You need to know you can get the help you need right away, should some problem arise. Your users expect your website to be available always, and if it is not available, your competitor’s website will be waiting to pick up your slack.

Brian Flores is a SEO and blogger for InMotion Hosting, one of the top providers of dedicated hosting in the country. He works with a team of awesome writers to post useful tutorials on WebHostingHelpGuy. You can follow him on Twitter @WHHG_InMotion or @BrianAFlores.

1 – Customer Care and Assistance

One of the most prevalent complaints from customers is the amount of time it takes to reach a customer care representative. Some customers have been on the phone for hours, constantly being redirected to different people and still hanging up with their problem unresolved. Some people even complain of rudeness and disrespect from a customer representative. Keep track of when and how long your calls are. Send an email to them detailing your poor service experience.

2 – Poor Performance

Another common complaint is that a hosting company is not providing the promised service or that the services are not working properly. Sometimes, hosting companies simply neglect their obligations to their clients. Again, keep track of what services you are not receiving and contact them immediately.

3 – Fees

Billing for online organizations can be cumbersome, especially for new sites. Many try to sneak in fees to charge their new clients.  Watch out for set up fees, late fees, other strange fees.

4 – Difficulty Discontinuing Service

Service providers will forget to tell people that in order to get the special low price they must agree to a 12-month contract. When a customer tries to discontinue service, they may find out that they are locked into a contract that they cannot break. If you have this problem and are unable to reach your hosting company, file a complaint with the Better Business Bureau or contact your credit card company where the amount was billed.

5 – Billing Errors

Sometimes customers are improperly billed for services. Some complain that they were over charged or charged even after they discontinued the services. Sometimes it can be very difficult to get your money back. If there’s proof that you were improperly billed, send copies to the billing department.

6 – How the Hosts Use Your Private Info

In extreme cases, some customers have complained that their information was given out to third parties and even had their identities stolen. Many providers say they have a secure method of payment but they do not. They can also sell information to other companies as well. Take a look at their confidentiality agreement, make sure the host has verified and secure transactions, and does not sell information to third parties.

7 – Is Your Service Provider Just a Reseller?

Your hosting company may not be a hosting company at all.  They may not be actual service providers, but instead a middleman. This is called reselling. Resellers are companies that buy bandwidth from hosting companies and then resell them to their customers. This can make it difficult if a reseller has not set up a good customer service department to answer all their clients’ questions. They also cannot guarantee the equipment since it is not even theirs. Remember to investigate and ask many questions when seeking a service provider.

My biggest pet peeve is to go with a hosting company that other people have heard of. If no one knows about it, the site looks like it was built in 1995, and all the information is generic garbage, do not buy a plan from there. Also, it’s a side note, but do not give out confidential information on Twitter or anywhere else where the hosting company cannot be verified.

This is a guest post by David Walsh of WHS. WHS is a place to find reviews on web hosts and read hosting articles about extremely dorky things like domains, hosting, and the Internet.