Web Hosting vs. Domain: What Business Owners Need to Understand

A domain name is the address where people find you on the internet (www.bestbusiness.com) while web hosting is how that website is stored to make it accessible online. Both components are necessary to publish your website. Read on to learn more about what is web hosting vs. domain names, the different kinds to choose from, and tips on choosing the best options for your business.

What Is a Domain Name?

When you’re just starting to build a website, one of the first things you probably think about is the name of your website. After all, this is how customers will find you. According to one study, 47% of shoppers research businesses before making a purchase by searching for their website.

The name of your website, also called your domain name, is how people will find you. For example, “www.Amazon.com” is the domain name for Amazon.

There are two parts to your website name:

• Domain name: This is the unique identifier of your website. In the example, “www.bestbusiness.com” it’s "Bestbusiness".
• Domain extension: This is the part that follows your domain name (.com, .org, .xyz). You can probably guess that .com is the most common domain extension, but many others are becoming popular.

What Is Web Hosting?

A web host is a service that allows individuals to make their website accessible on the internet. Your website needs to be stored on a server so that users can access through a web browser. A web hosting company provides space on their servers so that your website can be viewed on the internet.

These are some of the key components of web hosting:

• Bandwidth: The amount of data that can be transferred between a server and your website. When a website crashes because it receives too much traffic too fast, that’s due to limited bandwidth.
• Uptime: A web hosts guarantee for the amount of time a server is online and accessible to web users. Uptime is usually listed as 99.9% (which translates to 8.76 hours of downtime per year), 99.99% (52 minutes of downtime per year) or 99.999% (5 minutes of downtime per year). For the most part, these numbers are insignificant to most business owners, so unless uptime is absolutely critical for your company, you’re probably fine disregarding this.
• Security: Web hosts will have essential security features either included in the basic packages or at an additional price. SSL certificates are a security feature that encrypts user data that’s imputed in your website. If you don’t have an SSL certificate, users may be warned before entering your website, so it’s considered essential. When you are evaluating the cost of different web hosts, you should factor these into your price, since you will need them. Other security features are backup services to protect the data you upload to your website.
• Email accounts: You may want to create custom email accounts based on your domain name (Such as hi@bestbusiness.com or support@bestbuisness.com). Web hosts offer this either as an included service or for an additional cost.
• Customer support: Web hosts typically provide customer support in multiple ways, such as on the phone, through live chat or by email. As you’re evaluating different web hosts, consider the options they offer and how quickly they give support.

There are many different types of web hosting:

• Shared hosting: Multiple websites share the same server, which makes this much more affordable. This is the most common type of web hosting to start with.
• VPS (Virtual Private Server): A step up from shared hosting, the server is still shared by websites have a dedicated section of it.
• Dedicated hosting: One website uses an entire server, which increases performance and security for websites with heavy traffic.
• Cloud hosting: Websites are hosted on a network of virtual servers that offers flexibility, scalability and reliability.

If you’re unsure which option to choose, you can always start with shared hosting and upgrade as your traffic demands increase.

Comparing Domain vs. Hosting

This chart gives you basic information about domain names vs. web hosting.

How a Domain Name and Hosting Work Together

Here’s a quick outline of the steps you need to take to register a domain name and connect it to a web host so that your website can be accessible on the internet.

1. Register a domain name: Choose and register a domain name (www.yourbusiness.com) with a domain name registrar. Some examples of domain name registrars are GoDaddy, 1&1 Ionos, Bluehost, and HostGator.
2. Choose a hosting provider: Sign up for a web hosting service to store your website. Many companies, like GoDaddy and Bluehost, offer both services so you can register your domain and get set up for web hosting in one place.
3. Connect your domain name and web host through DNS (Domain Name System): Set your domain to point to your web host by updating your DNS settings. This step tells the internet where to find your website.
4. Your website goes live: Congratulations! Once step three is complete, your website will be accessible on the internet.

Tips on Choosing a Domain Registrar and Web Host

When choosing a domain registrar, pay attention to the pricing structure. Many companies offer steep discounts for multi-year plans, which can save you a lot. However, some include essential features (like SSL certificates) in their plan, while others don’t, so make sure to factor in all the features you’ll use when you add up the total cost. Consider features like privacy protection (WHOIS privacy), which will keep your personal information protected from public records.

For web hosting, reliability is important. Look for uptime of 99.9% or higher. Consider the different options they have available and see how flexible the plans are in the long term. For example, would you be able to switch to a dedicated server in the future? Evaluate the costs for all the plans and then factor in added costs you’ll need to spend (an email account is one example).

It may make more sense to use the same company for your domain registration and web hosting. This can save money and make troubleshooting easier. However, you might also decide that it’s a better deal to buy each feature separately and then connect them, which can give you more flexibility. Just keep in mind that having everything in one place might just make your life easier.

Common Mistakes to Avoid

• Not renewing a domain on time: Domain names need to be renewed annually. You can do this automatically, but if you don’t have it set up automatically, or your credit card expires, you may lose ownership of your domain name. This means someone else could buy it. As long as you make sure you set up auto-renewal, you’ll be all set.
• Choosing the cheapest hosting without considering performance: The cheapest web hosting providers may have a slow loading time. This can impact your business as web users often don’t have the patience to wait for a slow website to load. Make sure you choose a web host that meets your needs rather than opting for the cheapest option.
• Not considering security: Choose a website host with strong security measures in place, like SSL certificates, daily backups, firewalls, and DDoS protection. Ideally, these features are included in the service so you don’t have to think about it.

Research Your Options and Then Choose a Plan

Setting up a new website is an exciting process. You’re starting something new — congratulations! Have fun exploring different domain name and extension options for your business. Make sure to do your research on different web hosts and domain registrars, as keep in mind it’ll be much harder to change down the line.