You are here

Cloud telephony services erupting in contact center market

Facebook LinkedIn Google+ Twitter


Business phone systems hosted in the cloud are rapidly becoming more popular in the contact center sector, where the need to reduce operating and capital costs is fueling the move toward the innovative telephony solution, DestinationCRM reported.


According to the news source, executives and call center operators are embracing fully hosted contact center telephony systems in order to access a sophisticated and flexible technological solution that also reduces expenses dramatically. This is leading to a rapid uptake in cloud PBX, unified communications, VoIP and other hosted telephony systems.


To support this claim, the report cited a 2011 Frost & Sullivan study, which found more call center operators are turning to cloud-based solutions because they can reduce workforce optimization and contact handling costs by approximately 43 percent during a five-year period.


Call center operators clearly see the value of cloud-based telephony services. However, the report said many are struggling to untangle the web of service options available and identify the best solution for their operational requirements. To more clearly distinguish between cloud offerings, the news source explained that organizations need to understand the core benefits that should be associated with any hosted call center platform.


One of the clearest advantages to hosted contact center solutions is reduced costs. Capital costs are reduced when turning to the cloud because organizations no longer have to host their own PBX and other telephony hardware or invest in software licenses to support these systems, according to the news source. Furthermore, operating expenses become more predictable, improving fiscal efficiency.


Scalability is another key attribute of hosted call center platforms. The report said service providers are already hosting carrier-class infrastructure in their data centers. This makes it easier for them to adjust call center plans based on changing needs at any time. Having the amount of infrastructure needed to support this type of flexibility with a premise-based solution is not only inefficient, but almost universally cost-prohibitive.


The contact center is currently amid a period of rapid change, as economic conditions are pushing for improved efficiency and and performance accompanied by reduced spending. A recent CustomerThink report said major investments in emerging technologies, including social media, analytics and solutions that break down the wall between the front and back offices will likely characterize the call center sector in 2012.