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Does server location matter in same country?

Should i host the country specific website in the server at same country?

for example I have a heavy traffic website for UK. which is only for UK people. and my client only ship his product to UK address only.

then in terms of performance would it be good to choose UK based hosting company which server are in UK too, for better performance , latency of website.

or even if hosting server is in USA will not effect to site.

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You should host your website in a data center thats geographically located near your user base for best performance. The other option is to use a content delivery network which will store your data on edge servers all over the world so each user gets the closest route.

As an example I found a random website in the uk and looked up the DNS A record and did a trace route (I'm located in Texas)

traceroute to 193.169.91.238 (193.169.91.238), 64 hops max, 72 byte packets
 1  192.168.1.254 (192.168.1.254)  1.480 ms  0.723 ms  0.628 ms
 2  108-235-80-3.lightspeed.hstntx.sbcglobal.net (108.235.80.3)  788.531 ms  780.693 ms  409.371 ms
 3  * * *
 4  * * *
 5  12.83.86.93 (12.83.86.93)  20.891 ms  20.272 ms  20.280 ms
 6  12.122.212.9 (12.122.212.9)  87.968 ms  46.264 ms  26.243 ms
 7  192.205.32.26 (192.205.32.26)  63.689 ms  26.243 ms  26.633 ms
 8  xe-3-0-0.lon25.ip4.tinet.net (89.149.184.249)  137.521 ms  136.887 ms  151.067 ms
 9  connexions-4-london-gw.ip4.tinet.net (77.67.94.102)  278.847 ms  182.103 ms  443.533 ms
10  ringo-kusanagi.c4l.co.uk (84.45.90.134)  311.445 ms  275.900 ms  243.683 ms
11  kusangi-phoenix.c4l.co.uk (84.45.90.181)  144.054 ms  144.116 ms  144.341 ms
12  grn-fw-cluster-g13.clouddata.com (84.45.39.66)  138.558 ms  137.389 ms  137.263 ms
13  svr100265.customer.clouddata.com (193.169.91.238)  137.613 ms  138.024 ms  137.095 ms
14  svr100265.customer.clouddata.com (193.169.91.238)  140.828 ms  138.152 ms  137.082 ms

Compare that to a trace to a data center in my same state:

traceroute to 70.87.255.226 (70.87.255.226), 64 hops max, 72 byte packets
 1  192.168.1.254 (192.168.1.254)  1.519 ms  0.597 ms  0.627 ms
 2  108-235-80-3.lightspeed.hstntx.sbcglobal.net (108.235.80.3)  452.515 ms  830.522 ms  322.706 ms
 3  * * *
 4  71.144.128.116 (71.144.128.116)  24.355 ms  20.964 ms  20.781 ms
 5  12.83.36.1 (12.83.36.1)  20.628 ms  20.591 ms  20.184 ms
 6  gar25.dlstx.ip.att.net (12.122.85.233)  26.815 ms  25.810 ms  26.580 ms
 7  ae-9.r01.dllstx04.us.bb.gin.ntt.net (129.250.8.237)  26.733 ms  26.368 ms  26.246 ms
 8  ae-0.softlayer.dllstx04.us.bb.gin.ntt.net (157.238.224.230)  26.329 ms  26.742 ms  26.482 ms
 9  po32.dsr01.dllstx3.networklayer.com (173.192.18.229)  26.889 ms  26.781 ms  26.457 ms
10  te3-2.dsr01.dllstx2.networklayer.com (70.87.253.130)  27.399 ms  26.739 ms  26.888 ms
11  te1-2.car19.dllstx6.networklayer.com (70.87.255.226)  27.528 ms  27.035 ms  27.488 ms

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