Shared hosting has a lot of benefits, such as the ability to host a personal website for an affordable price, but they are not the best thing for everybody. Depending on the plans, they will not benefit large businesses or those who want to host a number of websites on one account.
Website developers generally need a portfolio that they can show potential clients and the best way of doing this is to host a number of websites and provide links. However, there is sometimes a limit to the number of websites that you can have on your account, which can mean that you are stuck with only one or two websites in your portfolio. This is very limiting and does not show everything that you can do.
At the same time, you are usually limited to the amount of server-side programming that can be done, which is a problem when it comes to showing coding skills and the ability to add a lot to one page. In cases like this, sometimes another option is needed.