Managed vs. Unmanaged Hosting: Which is Best for Your Business?

Every online business owner must decide between managed and unmanaged hosting. Managed hosting offers comfort and reliability but is more expensive. Unmanaged hosting demands more effort and tech expertise but is easier to access.

Selecting one or the other comes down to a variety of core factors. Your needs will change depending on which of these you value more. The major factors affecting this decision are security, availability, maintenance, customizability, and costs.

In this blog, we discuss everything related to this choice. We compare managed vs. unmanaged hosting solutions. Keep reading to learn how to leverage these technologies and decide which is best for you!

Key Takeaways

• Managed and unmanaged hosting offer different levels of support and control, impacting cost and usability.
• Managed hosting provides convenience and expert assistance, while unmanaged hosting is cheaper but requires technical expertise.
• Choosing the right option depends on your needs. Managed hosting suits non-technical users. Unmanaged hosting is ideal for those needing full customization and control.
• RedSwitches delivers tailored hosting solutions to meet both managed and unmanaged hosting needs. 

What is Managed Hosting?

Managed hosting is a service offered by many hosting service providers. The hosting provider manages and maintains the server for you in this arrangement. This reduces operational complexities and offers entrepreneurs better flexibility in management. The following responsibilities fall under the provider in managed hosting:

• Server configuration and set-up
• Operating system Installation
• Server performance monitoring
• Software updates
• Security configuration
• Routine maintenance
• Server backups
• Technical support and troubleshooting

What is Unmanaged Hosting?

Unmanaged hosting is when you only pay for access to hosting servers. The provider gives you full control over your hardware. This leaves you with more room to optimize and customize your server to your needs. When you use unmanaged services, you will be responsible for:

• Server configuration
• Security configuration
• Server backups
• Server maintenance
• Software updates
• Performance monitoring and optimization

Managed vs. Unmanaged Hosting: Key Differences

The main difference between managed and unmanaged hosting is their affordability and level of user control. Below, we have listed the three major differences between the hosting solutions. Understanding them provides a clear picture of what each service offers, empowering you to make an informed choice.

Server Maintenance and Support

Managed hosting handles all server maintenance and support. This includes regular software updates, configurations, and troubleshooting, making it ideal for non-technical users. 

Unmanaged hosting leaves these tasks entirely to the user, offering more control but requiring significant time and technical expertise.

Customization and Control

Managed hosting provides limited customization, as the provider restricts access to ensure stability and security. Managed hosting may also force you to use the provider’s selection, which may not be ideal. 

In contrast, unmanaged hosting offers full control, allowing users to modify every server aspect. It supports various operating systems and platforms, allowing for better flexibility and user experience. This makes it suitable for experienced users or businesses with IT expertise.

Cost Comparison

The cost depends on the type of hosting you use. Here are the two most popular types of hosting services and their managed and unmanaged costs:

• Shared Hosting/VPS Hosting

Managed shared hosting and VPS plans cost $10 to $50 per month, with premium options going up to $500+ for added features like updates and backups. 

Unmanaged plans are cheaper, starting at $2 to $30 per month, but users must handle all server management, which can add extra costs over time.

• WordPress Hosting

Managed WordPress hosting ranges from $10 to $500+ per month and includes features like updates, backups, and security. 

Unmanaged WordPress hosting costs $2 to $30 per month, but users must handle all updates and optimizations themselves.

Managed vs. Unmanaged Dedicated Servers

The main differences between managed and unmanaged dedicated servers are:

Management, Maintenance, and Support

The provider manages and maintains the dedicated server in a managed hosting plan. The provider’s team also provides dedicated technical support if needed. As the user, you can direct them on how you want things to be configured. 

In unmanaged dedicated server hosting, you must configure and maintain the server yourself. This allows users full control over server settings, which can be very appealing. You can receive technical support from the provider for an additional fee.

Cost

Managed dedicated servers cost between $100 and $20,000+ per month, offering full support and security. For larger companies with complex infrastructure, managed services can be the cost-effective choice.  

Redswitches’ dealings with a top eLearning industry client is a great look at the power of managed services. With Redswitches’ help, the client achieved 30% cost savings. This allowed them to innovate and invest in growth while RS handled the server.

Unmanaged dedicated servers are cheaper, starting at $50 to $300+, but users are responsible for all server tasks, which may require hiring IT staff or buying extra tools. On average, a server admin can cost around $88K annually and should be factored into the overall costs.

Technical Expertise

For managed hosting, you need a basic understanding of dedicated server management and the ability to explain how you want your server configured. 

Unmanaged hosting requires technical expertise for configuration. For efficient management, you should have extensive technical knowledge about servers. Otherwise, you will have to hire a dedicated server admin. 

Managed vs. Unmanaged VPS Hosting

The three main differences between managed and unmanaged VPS hosting are:

1. Provider vs. User Responsibility

Managed VPS hosting means the provider handles updates, monitoring, and server maintenance. It simplifies server maintenance for businesses, giving them time to focus on growth. It’s easy to use and requires minimal effort.

With unmanaged VPS hosting, you manage everything yourself. This includes setup, updates, and troubleshooting.

2. Cost Efficiency

Managed VPS hosting costs more because of the extra support. It’s great for businesses that value convenience. 

Unmanaged VPS hosting is cheaper but requires time and technical skills to manage.

3. Customizability and Flexibility

Managed VPS hosting gives you limited control since the provider manages the server. The service includes automated backups and recovery, comprehensive troubleshooting assistance, and expert administration. 

Unmanaged VPS hosting offers full control, making it a better choice for tech-savvy users who want customization.

Managed vs. Unmanaged WordPress Hosting

The three main differences between managed vs unmanaged wordpress hosting include:

1. WordPress-Specific Services

Managed WordPress hosting is designed to handle essential WordPress tasks for you. This includes automatic updates for WordPress core, themes, and plugins. Some providers include regular backups and caching for faster site speed. 

Managed WordPress hosting also delivers enhanced security protocols to protect against vulnerabilities. It also minimizes downtime with proactive monitoring.

Unmanaged WordPress hosting gives you only basic server space. It requires users to handle technical operations independently. You must manually handle updates, create backups, configure caching, and secure your site. 

2. Budget Considerations

Managed WordPress hosting costs more because of the added features and support. 

Unmanaged WordPress hosting is cheaper but requires more effort to perform and maintain these tasks.

3. Ease of Use

Managed WordPress hosting is easy to use and requires little to no technical expertise. Users can focus on content creation and business growth. It also prevents downtime-related losses and enables quick troubleshooting of server issues.

Unmanaged WordPress hosting requires you to handle tasks such as installing WordPress, optimizing performance, troubleshooting errors, and managing security settings. It’s better suited for experienced users or developers.

Choosing the Right Hosting for Your Business

Selecting the right hosting for your business depends on your technical expertise, budget, and operational needs. With over 330,000 hosting providers, you have a lot of flexibility in decision-making. Here are four key steps to make an informed choice:

• Start by assessing your technical skills. If you lack expertise or resources, managed hosting simplifies operations by handling maintenance. If you have an IT team, unmanaged hosting enables a customizable hosting environment at a lower cost.
• Consider your business needs. High uptime and expert support may point you toward managed solutions. Flexibility and customization favor unmanaged options.
• Budget is another critical factor. Compare each option’s upfront and long-term costs. Scoop reports that managed hosting can free up as much as 65% of IT budgets by removing maintenance costs. Unmanaged hosting delivers cost savings for SMBs, but the maintenance and IT hiring costs can fall out of budget for complex setups.
• Lastly, think about your growth plans. Managed hosting provides scalability for growing businesses. Unmanaged hosting suits businesses with steady requirements and in-house expertise.

RedSwitches offers cost-effective hosting solutions for businesses of all sizes. We offer complete server management services, top performance, and 24/7 support. Meanwhile, our unmanaged options allow you to configure and manage your servers. Find the best hosting solution for your business with us.

Frequently Asked Questions

Is managed hosting worth the extra cost for small businesses?

Yes. Managed hosting can be cost-effective for small businesses that require time savings and reliability. It eliminates the need for in-house IT staff and associated costs. It also helps reduce server management burden and allows business owners to focus on growth.

Can I switch from unmanaged to managed hosting later?

Yes. RedSwitches offers seamless transitions between unmanaged and managed hosting. This flexibility ensures you can upgrade to managed hosting as your business grows. Our cutting-edge service supports resource-heavy applications, high-traffic websites, and anything else a business may need. 

Is unmanaged hosting cheaper in the long run?

No, not always. While unmanaged hosting has lower upfront costs, long-term expenses can add. It may still be more affordable for users with expertise. However, managed hosting often saves money by reducing these risks for others.