Shared hosting is one of the most popular and common types of web hosting. In this type, using a single web server, the service provider serves pages for multiple websites, each with its own domain name. This kind of hosting is offered by most web hosting companies.
The client would have to share server resources like CPU, RAM, bandwidth, etc. with other websites hosted on the same server. Shared hosting is also known as virtual shared hosting. This is also usually recommended for small websites that need cost-effective web solutions and have fewer security concerns.
Shared hosting is considered best for start-ups and businesses with low traffic. It is also a comparatively cheaper hosting solution as compared to the other types, like dedicated hosting. Websites with high traffic would need a dedicated web server to be able to manage the footfall. Most websites start with shared hosting and move on to dedicated hosting as their size and corresponding needs grow in size.