What’s the Difference Between Web Hosting and Domain Hosting? every website needs both web hosting and domain hosting it's common to get confused between the two since most people purchased both from the same provider so what's the difference well a domain hosting service sells domains and registers them to an owner in exchange for a yearly subscription fee different types of domains have different prices usually from as low as $10 what a domain does is direct visitors to a specific website much like the address of a house every domain has a matching IP address that sets its location on the Internet and of course it's much easier to remember and share a domain name rather. than an actual IP address domains are actually categorized into different levels the most common would be top-level generic top-level and second level when you buy a domain from a do main host you gain ownership of that domain fo