Ecommerce Hosting Cost: Web Hosting Pricing Guide for 2024

There are multiple aspects you should take into account when calculating your ecommerce cost. The cost to build an ecommerce site is based on the following factors: design, development, functionality, fulfillment, maintenance, marketing, hosting, and more. Let’s dig deeper into the ecommerce hosting cost.

Depending on your business goals and money management, the ecommerce hosting cost starts at $5 and can be more than $1,000 per month. In this blog post, we will discuss the types of ecommerce hosting services and their costs. 

Ecommerce Hosting Costs and Types

There are four main types of hosting options: shared, VPS, dedicated, and cloud, and which one you go with depends on how much traffic you expect to get. 

Each type has its pros and cons and can range from less than $5 to $1,000+ per month. To help you cut through the clutter, here’s a brief overview of the general characteristics and the price of each type.

Shared Hosting 

Shared hosting is the most affordable kind of hosting and also the least robust, as you share the resources of one physical server among many websites. If you are an owner of an online store with just a few pages, a shared hosting plan is the right option for your business. 

We don’t recommend shared hosting to ecommerce stores with a lot of online transactions. 

Expected costs – $1 to $10 per month. 

VPS Hosting

The next hosting plan, which has been used by many store owners, is VPS (Virtual Private Server) hosting. With VPS, your website is hosted with multiple websites on the same physical server, but each hosting account gets its own virtual space split equally across all hosting accounts. 

In comparison to shared hosting, your website performance won’t be affected by the volume of space those other websites use. 

You can even find high quality and affordable VPS hosting options like LinuxCloudVPS, though make sure that you get enough resources to run Magento 2 such as 2 GB RAM at a minimum.

Expected costs – $30 to $100 per month. 

Dedicated Hosting

Dedicated hosting offers you a completely separate server to host your ecommerce store with a separate IP address. This kind of hosting guarantees you get as much space as you need, even when your traffic increases. 

A dedicated hosting plan gives you total control over what is installed and configured on that server, so you shouldn’t worry about other hosting accounts that can cause technical issues. Store owners have also improved security to prevent your files from being accessed by external entities by chance. Providers of dedicated hosting will charge the most out of all these hosting plans.

Expected costs –  $80 – $1,000+ per month.

Cloud

Cloud hosting is a group of servers operating together to keep your ecommerce website running effectively. If one server crashes, another one temporarily replaces it. Cloud hosting offers a virtual memory facility that can be expanded or reduced depending on your storage and infrastructure demands. 

Read more: How Much Ecommerce Website Costs: Set the Right Budget for Your Project

If you’re thinking about using cloud services for your business, it’s important to distinguish the difference between IaaS SaaS, and PaaS  — the three models of cloud service. 

• IaaS (“infrastructure as a service”) is a cloud-based self-service that allows to access and manage operating systems, network and data storage, and other services. 
• SaaS (“software as a service”) is the most common category of cloud computing hosted online by a third party. SaaS is accessed directly through a web browser and is available for purchase on a subscription basis. 
• PaaS (“platform as a service”) provides software developers with a self-service portal to develop and deploy an application without interfering with operating systems, data serving, storage, software updates, and management. 

Cloud hosting is what you choose when downtime is critical to your ecommerce business. 

Expected costs – $10 to $500 per month. 

Top 6 Magento Hosting Costs and Providers

Here’s a quick summary of the most popular Magento hosting providers and costs.

Your ecommerce website hosting cost is only one piece of the whole ecommerce site development cost. For detailed information, read our blog post on ecommerce cost breakdown.