The decision that determines whether a backup is useful.
THE RULE
Not only on the server being backed up.
A backup stored on the same account is lost in the same event that loses the site: a compromise, an accidental deletion, an account suspension, or a hardware failure.
WHERE TO PUT THEM
Cloud storage: Google Drive, Dropbox, or similar
Your own computer, with its own backup A separate hosting account or server Object storage, for larger volumes
A SENSIBLE ARRANGEMENT
Automatic backups to cloud storage, plus an occasional copy downloaded to your own machine.
That gives you two independent locations and protects against losing access to either.
WHAT ABOUT HOSTING BACKUPS
Useful, and not sufficient. Retention is finite, and they exist to recover from infrastructure events rather than to serve as your archive.
Treat them as a bonus rather than your strategy.
STORAGE COST
Backups accumulate. Set a retention policy, or storage costs grow indefinitely.
ENCRYPTION
Backups contain your database credentials, customer data and everything else. Encrypt them if stored with a third party.