Dedicated IP Address vs Shared IP Address?

Curious if you need a dedicated IP address or not?

A dedicated IP address is assigned to only one hosting, while several domains share shared IP. With dedicated IP, you get more security, privacy, and speed, but hosting companies demand extra fee for it.

In this article, I am going to explain why you need a dedicated IP address for your site.

What is an IP Address?

IP stands for Internet Protocol.

Every domain on the web has an IP Address. 

A domain name is for users so it could be easy to remember the site. While the IP address is for DNS, so they can navigate to the site easily.

In simple language, when you enter ‘Google’ into the browser, ISP initiates a DNS query to request the nameservers associated with the word ‘Google’.

The connections are made behind the screen; all you see is the web page. What happens to make that connection is invisible to you.

But this diagram might help.

dedicated IP address vs shared IP address

There are two types of IP addresses:

  • IPv4
  • IPv6

IPv4 vs IPv6

IPv4 is the fourth version of Internet Protocol. It uses a 32-bit scheme that allows 2^32 addresses.

In 1995, IETF expected that there might be a shortage of IP address in future, so they build the IPv6.

IPv6 is deployed so the internet can grow steadily. It is an upgrade to IPv4 that coexist with the outdated version. IPv6 uses 128-bit addresses, hence allowing more permutation and combination, which results in more number of IP address.

IPv4 is not going to shut down, it will continue existing, but the supply will inevitably diminish. It is better to adopt IPv6 when there is a time.

IPv4 vs IPv6

Well, enough about IPv4 and IPv6, let’s get back to IP addresses.

What is Dedicated IP Address?

As the name suggests, dedicated IP address means the address that is solely assigned to a domain. Your domain does not share the IP address with any other domain.

It is like a single number that is linked to only one domain. That’s why you can enter the Dedicated IP Address in a browser, and it will lead you to the domain attached to it.

Mostly, hosting providers assign a dedicated IP to your domain. It comes as an addon for a small fee.

What is Shared IP Address?

Shared IP address means domain name is sharing the address with other domains too.

With unused IPv4 addresses running out, it is quite common to use shared IP address. 

Majority of hosting services provides hosting at the shared IP address, and charge an extra fee for dedicated IP.

Why Hosting Companies are charging extra for Dedicated IP Address?

The Internet turns out to be a slow adopter of IPv6. It is out there from 1998. Still, the IT industry is reluctant to move over to IPv6.

As a result, the supply of IPv4 address is thinning. This increases the price of IPv4 addresses.

Until the companies start deploying IPv6, the price is not going to go down.

That’s why Hosting company provides hosting on shared IP address. Or they charge extra for dedicated IP.

On the other hand, we at Serverguy, are early adopters of new technology. We offer both dedicated IPv4 and IPv6 addresses. At no extra fee.

What is better: Dedicated IP vs Shared IP?

dedicated ip address vs shared ip address

Which one is better for you?

Dedicated IP Address.

I will explain why the dedicated IP address is better than a shared IP address.

Reasons are:

Business Identity

The topmost benefit of dedicated IP is having an unique business identity.

How much can you expect from the IP address that is being shared by several different domain names?

Sharing an IP address means having an association with the other domain names. And the worrisome part is having no control over these other domains.

Other sites could involve in:

  • Gambling
  • Adult Content
  • Suspicious Scripts
  • Hacking
  • Credit card sniping

If you are a beginner, then it might be okay.

But if you are planning for the long run, it is better to not sharing your domain reputation with any other domain.

Less Downtime

Another significant advantage is having less downtime than usual.

Which one has more load?

Five domain making the request to one IP address or only one domain mapping to an IP address.

Moreover, IP addresses are always refreshing. The refreshing process brings down the server.

It could be an issue if your business has critical side. However, this is not an issue that happen on dedicated IP address.

Access to Website any Time

No one uses an IP address to go to the site. Though, what if comes the situation when you need to access the site without a domain name.

Like your domain expire. Or the site is not launched, and you have not assigned a domain yet.

In all these cases, when access to the domain is not possible. Shared IP address adds a new level of complications of DNS.

filezilla access

Dedicated IP addresses allow the access of the site directly via FTP. On the other hand, dedicated IP address makes accessibility easy.

High Traffic Volume

If your Website is having a large volume of traffic, it is wise to get a dedicated IP. 

Not sharing the IP address will stabilize the speed of the site, and there will be an overall improvement in the performance.

The site will run smoothly even in high traffic. The chances of the site crashing under the request pressure would be smaller.

The pages will load fast, and the conversion would be better.

SSL Certificate

The importance of SSL certificate is a common fact. HTTPS is essential for eCommerce sites.

A dedicated IP address is a necessity for the SSL certificate. There are ways to install SSL on shared IP, but dedicated IP is a technical requirement for the SSL installation.

Hosting providers that offer SSL with shared IP addresses does it by installing the SSL on the overall container.

Let’s not get into the details.

But you should know that dedicated IP is vital for security. All functions of SSL works perfectly if the sites have dedicated IP address.

Security from other Sites

What if a site you are sharing IP is insecure?

Your site is secure, but the IP address of your website is not.

Until it is a dedicated IP.

If one site comes under attack, all the other sites become vulnerable. So it is possible that other sites on that IP also become unsafe.

You do not have to worry if the other site runs a stupid script and bring the whole server down.

Email Capabilities

You must be doing Email marketing for your business. Shared IP address profoundly affect your Email campaigns.

Mail: dedicated IP address vs shared IP address

It does not happen much, but it is a possibility that domain you are sharing IP with gets blacklisted. It will impact your domain too.

As a result, it will reduce the deliverability of the mails. Or they will end up in the spam folder.

It is not smart to place your domain name where its reputation is at stake.

SEO Advantages

Many people claim that it is a myth.

But it’s not.

Google aims to make the Internet a secure environment. That’s why Google is giving a rank bump to HTTPS sites.

With the same logic, the sites having dedicated IP ranks a little bit higher than the shared IP address.

Unique IP gives credibility to the site. We all know Google Craves unique and credible sources.

Another dimension is speed. Dedicated IP means better loading speed. Fast loading site means SEO advantage.

Reverse Search

What if all the domain names on an IP address are mine? It’s a win-win situation.

Well, No.

Reverse Search of IP address

One reverse search and competitors have all of your sites. It is not a bright idea to host all of your website on one IP address.

It is like keeping all the eggs in one basket.

Enhance Functionality

Various functions can be enabled only with dedicated IP. Many programs and custom apps do not run on a shared IP.

It also gives you direct access to the server. That allows you to run your IP-based server. You can even run your own game servers on dedicated IP.

For shared IP, you need host permission to do any experiment. 

In short, the Dedicated IP address gives you the freedom to do many things.

FAQ

Do I need a dedicated IP address?

If you are a beginner and your site does not have much traffic, it is okay to have a shared IP.

But you need the IP address if:

  • The high volume of traffic
  • Have a Payment Gateway installed
  • Planning a long business

How do I get a dedicated IP address?

The dedicated IP address is offered by Hosting providers typically. They charge an extra fee for dedicated IP. At ServerGuy, we give Dedicated IP to all the customers.

Does SSL need a dedicated IP address?

Technically yes. But there are ways around that.

Now, hosting companies use SNI to provide SSL certificate. But to work at its high potential, SSL does need a dedicated IP address.

So if you have an eCommerce site that needs SSL, it is advisable to have a dedicated IP.

What is the advantage of having a dedicated IP?

The advantages of having a dedicated IP are:

  • Helps in SEO
  • More accessibility
  • Less downtime
  • Enhanced Functionality
  • TIght security
  • Unique identity

Does dedicated IP help SEO?

Yes. 

Dedicated IP helps in improving the speed of the site, which in result helps in SEO.

Also, Google trusts sites with credibility. Dedicated IP provides you with that credibility.

Magento Hosting

Final Words

As they say, One lousy fish can spoil the whole pond. If the lake gets bad, all other fish suffer too.

Best solution is to have a pond all to yourself. Means to have a dedicated IP.

ServerGuy offers unique IP address with every hosting plan. Giving the best to our customers is how do our business.

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