IP or Internet Protocol is the domain address of every active domain on the internet. It is a 32-bit number that is formatted in four 8-bit fields and separated by periods. A single IP can host more than one domain, meaning IPs form the closest point from where one can separate traffic. Businesses can consider the reputation, resource utilization, and stability to assess the impacts of adequate traffic separation and allocate the resources effectively.

What Is A Dedicated IP Address?

A dedicated IP address serves as the organization’s home on the web, and it is not shared with other domains. If a user types the dedicated IP address of an organization, it will directly take him/her to the enterprise’s website.

If an organization chooses a dedicated IP address, it will impact the VPS (Virtual Private Server) or dedicated server’s stability, affecting its reputation. Hence, they must follow these guidelines:

Isolate the dedicated IPs to a single client

By definition, a dedicated IP is meant for a single client, and it is a good practice to keep it that way. It will help the enterprise to represent, report, and track every client later.

Isolate the dedicated IP to a single domain (in some cases)

One of the critical advantages of a dedicated IP address is that organizations can identify and track the bandwidth outside the server more granularly. For example, if a DDoS attack targets an ABC server that hosts several domains, it will be impossible to identify the particular site targeted.


What Is A Shared IP Address?

A shared IP address is shared among multiple domains. It is suitable for small businesses or startups that can use shared hosting providers or a managed WordPress host. A crucial point to keep in mind when choosing shared IPs is that they can significantly impact resource utilization. Hence, it makes sense to use shared IPs to host multiple domains of the organization. Here are the things to ensure when deploying shared IPs:

Avoid Using the Server’s Primary IP Address as the Shared IP

Usually, the server’s primary IP address is the catch-all IP for all services, which runs mail, DNS, databases, FTP, etc. If in case of an attack on the main IP of the server, if an organization needs to use the block hole or null route for addressing the attack, then it will lose access to every domain and service on that IP.

Keep the Traffic in check

In terms of server resources, there’s no difference between a dedicated and a shared IP address. The number of IP addresses hosted does not affect the server’s processor, memory utilization, or power consumption. However, organizations need to decide whether they want to segregate traffic or not.


Shared IP vs. Dedicated IP: Which One to Choose For Your Organization?

Choosing A Shared IP

Small businesses with limited budgets, infrequent send, and shortlists can choose the shared IP address and reap other senders’ benefit. The actions of all the senders who use the same IP define the sender’s reputation in shared IPs. However, there is a risk that the email hosting enterprise has no control over the actions of other senders, which makes it possible for a rotten apple to slip through the box! It will impact the whole pool’s reputation, decreasing deliverability for everyone.

Another benefit of shared IPs is that organizations who only send monthly or weekly emails can maintain a high reputation because the other senders in the shared pool will keep the IP traffic consistent.

Going With A Dedicated IP

Organizations that need to cater to a broad audience and send frequent emails can go for the dedicated IP address. It will allow them to have complete control over the sender’s reputation. It is crucial because enterprises try very hard to follow the best practices. They want to maintain the hard-earned positive reputation without risking it on other senders, who might detract from it by resorting to flawed methods in a shared pool.

So, for organizations choosing dedicated IP to send emails from their domain, they need to maintain a permission-based email list, manage to send volume, and implement cyber hygiene. They need to make sure that their list is of the best quality, has top-notch content, and that their volume is consistent and high so that the ISPs recognize them as a sender. Consequently, they can take immediate steps to correct reputation issues and control the impression they give to the mail providers.

Thus, a dedicated IP is a perfect option for enterprises that send a high volume of emails to the corporate domains which need to whitelist the IP the organization is sending from. It makes it easier for the clients to whitelist a single IP rather than a shared IP pool.

Important note: One cannot start sending high volumes from a new IP address immediately. An organization will need to increase the sending volumes gradually using deliverability guidelines of IP address warming up.

Thus, organizations must decide whether to choose a dedicated or shared IP address after thoroughly analyzing their finances and risks. They must scrutinize their content and how they acquire their email lists. It is then time to weigh the pros and cons of shared and dedicated IP addresses. Ultimately, the key deciding factors are email deliverability, sender reputation, volume, and frequency of sending.

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