Quick answer
Shared hosting is cheap but you share resources with other sites; managed WordPress hosting costs more but delivers speed, security, and backups specifically optimized for WordPress.
The price gap between the two looks big on paper, but it maps to a real difference in service.
Shared hosting
The cheapest, general-purpose hosting. Your server is shared with dozens or hundreds of other sites — if another site on it suddenly gets a traffic spike, your own speed can suffer too.
Managed WordPress hosting
Built specifically for WordPress — automatic security updates, daily backups, and a server tuned specifically for how WordPress works, resulting in significantly faster load times.
- Simple brochure site, low budget → shared is fine
- Business site, real uptime matters → managed
- Managed usually includes backups — a big advantage