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30+ Essential Web Hosting Statistics: 2019 Analysis of Trends, Data and Market Share

Category: B2B News

One of the backbones of today’s digital revolution is web hosting services. It is to the Information Age what steam and coal were to the Industrial Age: the source of power to run things, in this case, to drive the internet. Having a website has come a long way from being a vanity online gig to what it is today: ground zero from where businesses set forth to reach the outlying borders of the web, from social media to mobile internet to the realm of apps and the cloud. At the heart of your online presence is your website, while at its core is the hosting service. Whether you’re a service provider or any other large enterprise or small business for that matter, even a freelancer, it pays to know some key web hosting research data that are propelling the industry into the future — one that is likely to impact yours. We’ve also prepared some web hosting charts for quick and easy reference.

web hosting statistics

1. Web Hosting Market Share & Size

From the very first website hosted by a NeXT computer that came live in 1989 up to the present, so many technological advancements had since been made, which created today’s gargantuan cyberspace. Almost every human being on the planet is using the Internet for personal, business, educational, social, and other purposes, making it one of the most important inventions ever. Here are some important web hosting statistics that matter.

  • As of May 2019, the total number of domains hosted worldwide is 154,608,076, while the total number of web hosting services providers is 338,561. (WebHosting)
  • The global web hosting services market is expected to grow annually by 15.9% CAGR from 2018 to 2023. From USD 32.12 billion in 2017, it is predicted to reach a market valuation of USD 76.2 billion by 2023. (Market Research Future)
  • Since 2010, the size of the global dedicated web hosting market has been on an upward trends and is predicted to reach $6.53 billion by 2020 (Statista); the shared web hosting market is currently at USD 18.7 billion worldwide (Statista).
  • The web hosting market is dominated by 10 of the leading hosting companies, which controls 24% of the entire market. (WebsiteHostingInsider)
  • Hosting the most number of users worldwide, the top three web hosts are: GoDaddy (19.49%), Amazon Web Services (3.26%), and 1&1 (3.25%). (HostAdvice)
  • The country with the highest number of hosted domains is the United States, with 296,710 web hosts and 142,306,068 domains. Germany follows with 7,936,547 domains, while China has 4,215,653. (WebHosting)
  • The web hosting market is highly domestic in character. In Czech Republic, for example, 10 out of 10 leading hosting companies there are local, while in Italy, 9 outof 10 biggest web hosting providers are Italian. In France, 8 out of the top 10 hosting websites are French, and the same trend applies Germany, where German web hosts dominate the domestic market.(HostAdvice)
  • In 2019, mobile phone internet user penetration across the world will be 63.4% (Statista). It was in November 2016 when, for the first time, mobile internet access had surpassed traditional desktop usage (51.6%) of traffic online. (StatCounter)

The current web hosting market size offers a number of implications, especially for businesses. Aside from the reality that Internet growth continues to accelerate in each passing year, the constant expansion and diffusion among users primarily indicate that the Internet has changed human life as we know it, from dusk ’till dawn and beyond, and it will continue to do so.

2. Web Hosting Facts

The first website, info.cern.ch, has been online for the past 30 years and is still running. Since then, billions of new websites had been created. Of today’s 1.5 billion+ websites on the world wide web, below 200 million are active. Here are some awesome web hosting facts that you’ll likely appreciate knowing.

  • It took the telephone 75 years to reach its first 50 million users, the radio 38 years, while television needed 13 years; the Internet only needed four years to do so. (Citi GPS)
  • As of May 2019, an average of 1.6 billion websites worldwide are online at the same time on a daily basis. (InternetWorldStats)
  • Apache hosting servers are used by 46.9% of all available websites, followed closely by Nginx at 37.8%. (Top10WebsiteHosting)
  • As of the 1st January 2018, the total internet users across the world was 4,156,932,140. (Statista)
  • The top 10 domain name extensions, which represent a combined 150 million registrations, include .com (82.01 million), .de (Germany, 13.05 million), .cn (China, 12.55 million), .net (12.42 million), .uk (United Kingdom, 7.83 million), and .org (7.79 million). (iwantmyname)
  • The highest estimate for an internet domain worth is $3 billion called Cars.com. (Jalopnik)
  • 47% of consumers think that a website should load in 2 seconds or less, if not, 40% will leave the site. (PivotTree)
  • Mobile online social media users is the fastest growing segment of internet users. (VPNMentor)
  • Domain name registrations have increased by annually by 4.9% to around 16.3 million by the end of 2018. (Verisign)

Since its birth, virtually everything about the Internet seems to have a massive nature, including its magnitude, capacity, and global reach. The current total number of websites is estimated using Worldometers’ algorithm, which processes data expanded upon by statistical analysis after being gathered from different sources like Matthew Gray of MIT and Netcraft.

3. Web Hosting Economic Impact

Whether it is used for email, research, sharing files, gaming, education, or entertainment, the internet tends to always bear a financial aspect, among other value. From the web hosting data we’ve gathered, here are some key economic effects of the Internet.

  • 66% say website performance influences how they perceive a business, 35% are less likely to buy from a poorly performing website, and 33% create a negative impression of a business with a low-quality website. (SingleStone)
  • For shared hosting, the fees to pay range from $3 – $10 per month. For VPS hosting, expect to pay $30 – $55 per month for a mid-range VPS hosting service. (WebHostingSecretRevealed)
  • It is estimated that slow loading websites cost the US economy more than $500 million annually, with a delay of one second decreasing conversion rates by as high as 7%. (WebsiteHostingInsider)
  • For 2017-2018, 24 percent of respondents worldwide say that the average hourly server downtime costs from USD 301,000 and USD 400,000. (Statista)
  • The number of people across the world using e-commerce platforms to buy consumer goods saw an 8% increase for 2018, with almost 1.8 billion people worldwide now buying online. (WeAreSocial)

These figures clearly indicate that in order to survive and succeed in today’s digital-heavy business environment, it is critical to have an attractive and functional company website that loads fast, is online all the time, and with content that addresses the needs of your target audience. Having a reputable and dependable web host is key to achieve these requirements.

4. Web Hosting Top Features

Just like any technology product or service, the market success (or failure) of web hosting providers depend in large part on the quality of their service offerings. While customers tend to choose web hosts for their business or personal use based on their specific needs, certain notable features help a lot in enabling some of the top web hosting companies to consistently perform well in the current market, including speed, uptime, load time, etc.

  • The average connection speed of internet users has jumped from 2 Mbps in 2011 to almost 6.5 Mbps in 2018, gaining a 200% increase. (WebsiteHostingInsider)
  • A 4-second delay in page load leads to an 11.02% loss of page views, while a 20-second page load delay results in a 44.19% loss of page views. (Optimizely)
  • Increasing the loading time from 8 seconds to 2 seconds results in a 74% increase in conversion rate. (WebsiteHostingInsider)
  • Of the world’s top 50 e-commerce websites, the fastest site loads in just 0.457 seconds, while the average page load speed is at 2.51 seconds. (Pingdom)
  • More than 50,000 websites get hacked each day (WebARX), 43% of cyber crimes worldwide are against SMBs (Cybint).
  • The cheapest web hosts today are Bluehost and GoDaddy, mainly because these providers have the most users in their below $5 subscription plans. (CodeinWP)

With so many options in the market today, it really pays to know exactly what you need, from the features up to the type of hosting. Many businesses are already satisfied with the benefits that dedicated hosting offers over shared hosting. But do you know some companies are actually opting to self-host their websites for greater control and other advantages?

5. Web Hosting Trends & Predictions

We’re already at the start of Web 3.0 that will likely feature blockchain technology, which aims to decentralize web hosting by keeping small parts of websites on numerous small nodes spread across the world, promising sufficient redundancy to remain online despite a node failure. Aside from this, here are some key web hosting trends everyone must take note of.

  • Volume of Internet will increase form 33 zettabytes in 2018 to 175 zettabytes by 2025 (One zettabyte is equivalent to a trillion gigabytes). (IDC)
  • At the start of 2019, it is expected that over half of the world’s population — or 3.82 billion users — will be online. (Seagate)
  • From 7 exabytes a month in 2016, the global mobile data traffic is predicted to increase to 49 exabytes a month by 2021. (Statista)
  • Because of robust security and high uptime, cloud hosting solutions is expected to dominate the global web hosting market. (AheadWorks)
  • 24% of large enterprises and 8% of SMEs are now using private cloud, mostly to host their data. (Eurostat)

These hosting trends mainly suggest that along with the continued exponential growth of the Internet, we should expect disruptive changes in the years to come.

Use these statistics when searching for a web host

The basic rule in web hosting involves the 4 Ss, security, support, speed, and scalability. Aside from having a list of things to look for in a web host, the provider you’re planning to choose must, at the very least, be able to offer bank-grade security to remove or somehow reduce the anxiety of having your website hacked. It must also provide excellent support that you can readily access 24/7. In this era of accelerating technological advances, the best way to keep up with your competitors, as well as business changes, is by ensuring that your website runs as fast as possible. Finally, your web host should also provide you the capability to quickly scale your website as the number of your target users increases in number and requirements, including the flexibility to manage the sudden inflow of high traffic. Whether you prefer dedicated web host providers or shared hosts, making enough research online to address the particular web hosting needs of your business will help a lot. And in case you’re a small business or a freelancer that’s still in a tight budget, there are more than a dozen of good free web hosting services that you can choose from. 

By Louie Andre

B2B & SaaS market analyst and senior writer for FinancesOnline. He is most interested in project management solutions, believing all businesses are a work in progress. No stranger to small business hiccups and drama, having been involved in a few internet startups. Prior to his for-profit ventures, he has had managed corporate communications for a Kansas City-based Children International unit.

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