The easiest way to enjoy a low cost on your web hosting bill is to choose the right service provider to begin with.  Unfortunately, the web hosting business is growing at a rapid pace, which means choosing a good and reputable host is not only difficult, but often consuming and very frustrating.  The good thing is that once you find the ideal host, you will agree that the journey was worth the time and effort you put into it.  If you want to make sure you are getting a bang for your buck, keep your eyes on the following areas as they directly attribute to the cost of service:

Bandwidth and Storage

Bandwidth and disk space play a major role in determining the price of web hosting.  Determining how much of each you require can be tricky, but coming up with an estimate is important.  Whatever you determine, just make sure you understand how these crucial resources are allotted.  It is imperative that you understand the rules on overages and what will happen if you use more bandwidth or disk space than you have been allocated.  Simply knowing this will spare you the surprise of a huge web hosting bill at the end of the month.  A hosting company that will spill the details on allowances and overages ahead of time allows you to take the measures needed to reduce or properly plan for extra usage.  This type of host can be a real keeper.

Website Quantity

If you require more than one website, then you might want to consider signing up with a hosting company that allows you to run multiple domains on a single account.  This will help you save a lot of money over purchasing separate accounts from different companies.  Because you are essentially putting all of your eggs in one basket, you also need to consider the dangers of multiple domain hosting.  Should disaster strike the server, all of your websites could be compromised and unavailable to visitors.  You need to give this careful thought as crippling downtime might be the greatest cost of all.

Web Applications and Technologies

You can save yourself some money on web hosting just by ensuring that all the software applications and technologies your site requires are included in the package.  This includes programs such as FrontPage and WordPress as well as technologies such as PHP or ASP.NET.

If the host does not offer what you need, paying extra for it could end up costing you dearly.  Make sure you understand what is included and try not pay for features that can be obtained somewhere else for free.

Hosting Contracts

Many web hosting companies offer substantial discounts when paying for a year or two worth of service in advance.  Signing up for something like this may appear to be a smart move, but you need to find out how long you will be locked in first.  It is recommended to avoid any long-term contracts until you can assure that you are absolutely satisfied with a particular host.  For this reason, you may want to keep your options open to month-to-month contracts where the risks are considerably lower.