With all of the different types of hardware, software & programs that are available these days, sometimes it is hard to keep track of which is which..
In General Terms
A hosted solution, or sometimes referred to as "Software As A Service" (SaaS) is software that is being delivered via the internet or "cloud". In these cases, software and all data are hosted on the cloud and accessible from anywhere with an internet connection.
Web Shop Manager (WSM) is a hosted solution.
The benefits of Choosing A Hosted Solution For Your Website
Unlike other firms that design a site and build it on third party software, WDS provides what you would call a "Hosted Solution"; WDS hosts your website for you and we also host the software that powers your site. Since we host the software, which is called Web Shop Manager, that gives our programmers and developers the ability to monitor, update, maintain and improve the software for you, so you don't have to worry about it, or pay your own programmer. This will free up your money and time to focus on the important aspects or running an eCommerce business, like marketing!