I'm having some difficulty in understanding the difference between reverse proxy (i.e. using proxy_pass directive with a given upstream server) and a 301 permanent redirect. How are they similar/different?
Reverse Proxy
upstream backend {
    server backend1.example.com       weight=5;
    server backend2.example.com:8080;
}
server {
    location / {
        proxy_pass http://backend;
    }
}
HHTP Redirect
Apache Example: http://www.inmotionhosting.com/support/website/htaccess/redirect-without-changing-url
NGINX example:
server {
    listen 80;
    server_name domain1.com;
    return 301 $scheme://domain2.com$request_uri;
}
Hence, it seems that both approaches have no difference from an end-user perspective. I want to ensure efficient bandwidth usage, while utilizing SSL. Currently, the app server uses its own self-signed SSL certificate with Nginx. What is the recommended approach for redirecting users from a website hosted by a standard web hosting company (hostgator, godaddy, etc.) to a separate server app server?