Dedicated hosting service is a premium type of web hosting where the client leases an actual physical server that is not shared with any other of the hosting company's clients. There are clear benefits to having a dedicated server, the primary one being that burst of traffic on other person's site will have no effect on yours. Just as with shared or even free web hosting you can host multiple (even hundreds) of websites on a single dedicated hosting service.
A clear drawback to using a dedicated server is that in almost every case you will need to purchase more capability, more power, than you currently need to allow for the highs and lows of traffic that comes from social media, advertising campaigns, and a newsletter mailing. If your server can't handle the traffic it will simply crash and all of your visitors (along with your advertising investment) will be lost.
For this reason, more and more online businesses are opting for grid or cloud-based hosting that provides robust hosting when you need it. Standard service for normal traffic days and powerful, dynamic hosting for those large burst of traffic that everyone dreams of (or dreads – depending on the type of hosting).
Examples of Dedicated Hosting Providers
Tip: It is important to take your time as you choose your hosting service. While dedicated hosting is a powerful choice, maybe all you need is a cheap host to get started - and upgrade later, as your traffic builds.