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Correctly configuring caching of the output of renderings is generally the most effective way to increase the performance of a Sitecore solution.  Most Sitecore solutions are very dynamic, generating output for each HTTP request based on a number of factors including session, device, language, authentication, authorization, protocol, domain, path, query string parameters and other variables.  In such dynamic solutions, it is generally preferable to set caching options on individual rendering components which are relatively static. Sitecore provides caching options which allow the rendered data to be retrieved from cache if the data source, device, authentication status, user, rendering parameters and/or query string parameters are the same as the previous request, as described in the Presentation Component Reference document.

There are at least three levels of caching in Sitecore.

• Item XML – this cache contains Sitecore’s raw XML and/or object data before any processing.  The main considerations are configuring the size in /web.config and the fact that any type of the publication clears the cache.
  
• Rendered Output – “HTML” cache of the output of various renderings under differing conditions.
  
• Security – the security descriptor database(s) associated with Item XML.

There are three places where caching of renderings can be configured in Sitecore

There are two major levels of caching in Sitecore

Changing settings in the IIS can lead to noticable performance improvements when using the Sitecore client

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