A server space can be plainly termed as a rental space consumed by your website. This is a recurring amount that is directly proportionate to the amount of space consumed by the website and is payable every year. The server also plays a very important role in the speed of your website.
The better the server, the better the speed of your website. Considering that the website concept is yet to catch up in India and major people use the connection metered on the number of hours used, a slow opening website could loose considerable potential customers by way of put off.