Cloud & VPS
A virtual private server is the most common upgrade path from shared hosting. It is also where many people either stay too long or leave too early.
Most WordPress sites, custom PHP/Laravel apps, and small e-commerce stores fit comfortably once they outgrow shared hosting.
Low traffic, simple sites
Isolation + someone else handles the OS
Full control, higher density, predictable cost
A VPS is the right answer for the majority of growing sites. It stops being the right answer when resource contention, management burden, or density requirements make dedicated hardware or colocation the lower-risk and lower-total-cost option. Measure actual utilization over a few weeks rather than guessing from traffic numbers alone.