Which is the better fit for my business, the cloud or the dedicated server?

This is the kind of dilemma every company faces.

In the present digital setting, we are relying on computing for everything we do.

Businesses want their data to be hosted in an environment that is secure and easily accessible and at an affordable cost.

With the relentless flood of data, entrepreneurs want a service that can handle it all.

Is such a service available?

For entrepreneurs wanting to launch an ecommerce site the hosting market has two popular options - the cloud and the dedicated server.

It is important to understand the difference, and also to know which one is better from an ecommerce point of view.

But first, here is a short explanation of each model.

Cloud

Cloud computing is the methodology of making use of a network of remote servers hosted on the internet to store, manage and host data.

Cloud computing enables businesses to consume resources as a utility, rather than having to invest in huge capital expenditure to build and maintain computing infrastructures in-house.

Dedicated server

A dedicated server on the other hand refers to rental and exclusive use of a computer, including web server, related software and connections to the internet.

A dedicated server is preferred by companies whose websites have to handle huge traffic each day. Typically, the server is configured and operated at a location remote from the business premises.

But what are the underlying pros and cons?

Cloud computing is a relatively new concept for many companies, while dedicated server hosting is the traditional way of hosting.

Both types of models perform brilliantly for ecommerce sites, yet what set them apart are certain features exclusive to each of them.

The cloud presents the following advantages for ecommerce sites

Scalability

Scalability is one of the compelling reasons for businesses to choose cloud.

Cloud hosting enables fast scaling when the demand requires it. Most flourishing online retailers experience huge traffic spikes, especially during festive seasons or product launches. Cloud hosting effectively provides additional resources for such short term needs.

Cost effectiveness

Low cost is one of the key reasons for companies to migrate to cloud. On the operational front, cloud billing is on the pay-as-you use model, which suits most ecommerce players.

While the cost of deploying an ecommerce application may be low, entrepreneurs must carefully evaluate the concurrent need for bandwidth and hardware. This may turn out to be pricier than expected.

Faster roll out

Businesses can deploy an application on cloud in quick time, and begin transactions on the remote platform as early as possible.

Fewer risks

Most cloud vendors offer backups, so there is hardly any risk of data loss.

Dedicated Server

Many ecommerce companies continue to support dedicated server.

They feel it is important to have a server all on their own. With a top class hosting vendor by their side, companies are very satisfied with the level of customer support they get.

Both the dedicated and cloud models can serve ecommerce sites commendably. It is for the business to decide the option, based on its unique needs including budgetary constraints.

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