Genealogy Hosting - genealogy is about information
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A Genealogy Website is About Information
Why would the average genealogist go to all the trouble and expense of having a genealogy website? The reason is basically in the nature of genealogy information.
Genealogists have to collect, organize, and synthesize a vast sea of detailed, factual information. This is always difficult and often overwhelming.
Then the genealogist must put the vast sea of detailed information into a meaningful story of the ancestors. This is also very difficult because it is very difficult to grasp meaning from a sea of detail.
In the process, the genealogist will communicate with other genealogists, family members, and distant relatives to exchange genealogy information.  The genealogy communication process is inherently inefficient as the genealogist tries to find people who might have information then somehow exchange volumes of detailed genealogy information with them.
 
A Genealogy Website Solves these Problems
A genealogy website drastically improves the efficieny and effectiveness of genealogy information:
COLLABORATION
A genealogy website provides a natural structure for family members and fellow genealogists spread around the world to collaborate on a genealogy project.  Family members see a place for their contribution. The genealogy website is an ever improving product as people fine-tune their own evolving contribution.
SYNTHESIS
A genealogy website allows the genealogist to bring together disparate information into one whole. Subtle relationships between information details in the vast sea of detailed information can be seen more easily and conclusions are possible that weren't seen before. And with more people spread around the world looking, more synthsis occurs.
COLLECTION
A genealogy website puts real muscle in the actual collection of genealogy information.  The genalogist has a powerful computer tool to enhance his or her effectiveness in the field at libraries or archive centers to collect genalogy information.
CONTROL
A genealogy website puts you in control of your public genealogy information. You get to be the arbiter of your information. A genealogy book cannot be changed once published but a genealogy website is always changeable. You can make sure your information is always accurate and you are not dependent on others for updating your information.
PRESENTATION
A great byproduct of having information on a computer is that it can be displayed in a very appealing format, and printed in slick looking reports. Also, printing your genealogy book is a straight forward project of copying and reformatting the existing information on your genealogy website. While converting a genealogy website into a genealogy book would be a time consuming project, it would be straight forwared since the hard part of collection and synthesis of information has already been done.
RECOGNITION
A genealogy website brings well-deserved recognition.  You have spent years conducting research and have gone to the trouble (and expense) of creating a website to share your genealogy information with the world. You deserve some recognition for your hard work.

SHARING
This is the big one. A genealogy website allows the genealogist to "cast their net wide" inviting the world to share their knowledge and appreciation of the genealogy topics of the website. Instead of sending a new-found distant-cousin a stack of confusing papers, you send them the link to your genealogy website. And notice that they will always have your latest information as they return to your website through the years.
 
Types of Genealogy Websites
Genealogists are very creative and there are many different types of genealogy websites. Here is a list of the most common types of genealogy websites:
Genealogy Essay - This simple genealogy website contains an essay about the family.See example
Surname - Presents the genealogy of a surname. See example
Family History - Celebrates the author's contemporary extended family.
Local History - Presents the historical and current record of a locaity (county, city).
Local Genealogy - Consolidates and describes the genealogy resources of a locality. 
Descendant - Presents the genealogy of the projeny of one ancestral couple.
Pedigree - Presents the genealogy of the author focusing on direct ancestors. Most common type of genealogy website.
Elusive Ancestor - Presents and proves the genealogy of a very difficult ancestor.
See example.
Noteworthy Ancestor - Focuses on a favorite ancestor of the author and tells his or her story.
Tickle Site - A research tool that creates a communication forum to "tickle" fellow genealogists into indepth discussions of a specific genealogy topic.
Genealogy Workbench - Research tool containing the author's reference information and links to research websites.
See example
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