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What Are the Benefits of a Cloud-Based Call Center?

This article was updated on February 7, 2024

Cloud-based call centers offer great benefits for businesses to help their customers — and save resources. But how do they compare to on-premises call centers? As the most cost-effective and highly integrative option, cloud-based call centers are the next step in giving your customers an exceptional experience. Find out more about the advantages of using cloud call centers and why that might be the way to go for your business.

employees, wearing headsets, sitting in front of computers at their desks; they are engaging with customers; this represents the Vonage Contact Center Q2 2023 release

What Are the Benefits of a Cloud-Based Call Center?

To better serve their customers, successful companies are increasingly investing in cloud-based call center technology. With call center software, they’re better equipped to integrate their CRM and other systems with their overall operations. This is especially important because cloud-based call centers are becoming more and more commonplace among businesses. So what inbound call center services are offered through cloud call centers? And what are the advantages of cloud computing in cloud call centers? In this blog, we’ll explore the benefits of cloud call centers and why they’re a better choice than on-premises call centers.

What Are Cloud-Based Call Centers?

Basically, it’s a web-based solution that enables agents to receive and make phone calls through the Internet. In a cloud-based call center, a company chooses to host and maintain its call center infrastructure in the cloud rather than through hardwired phone systems.

Unlike on-premises call centers, cloud call centers are not confined to any one server or building. Because this option is hosted in the cloud, all calls are available to team members regardless of their physical location. By leveraging voice over internet protocol (VoIP) — an internet-based phone system — cloud-based call centers can simplify customer interactions using advanced CRM tools. With those tools, call centers have access to customer information immediately, rather than searching through different programs —and that means more efficient and customer-friendly service.

Before we dive into the differences between cloud-based and on-premises call centers, it’s important to define them:

  • Cloud Call Center: Third-party servers host cloud call centers, which act as the main administrative contact of an organization to handle all communications with customers. 

  • On-Premises Call Center: Traditional on-premises call centers are located in a specific location at a business and use hardware to facilitate customer interactions.

Why Is a Cloud Call Center Better Than On-Premises?

Unfortunately, unlike cloud-based call centers, on-premises can require frequent and costly upgrades, usually every few years. And since an on-premises call center makes use of your company's established network of computers, phones, and other devices, your IT department sets up and takes care of all the equipment — including servers and integration support. That can get expensive. In fact, there’s an initial investment in equipment, licenses, and server space for an on-premises call center. Because hardware degrades and technology advances, they also need to be upgraded on-site every 5-10 years.

In contrast, a cloud-based call center is an online service that accepts and processes calls, texts, emails, and social media messages from customers in any location, which means there’s no need to maintain any physical hardware. It also leads to lower costs — if your business has a reliable internet connection and enough bandwidth, a cloud call center can be set up with little to no initial hardware or infrastructure costs. In fact, most cloud-based call centers only require a monthly subscription fee. 

When it comes to technology, there are a number of standard features that customers have come to expect from traditional call centers — like transfers, holds, and conferencing. While cloud call centers have all the same capabilities as traditional call centers, there are even more advancements — like call monitoring and IVR. There are also easier integrations with CRM solutions and other services through cloud-based call centers.

So What Are the Advantages of Cloud Computing in Call Centers?

Cloud-based call center solutions will continue to be an efficient way to offer consumers outstanding customer service as the global cloud market grows. But what makes them the best solution to take care of customers? Consider some of the advantages of cloud computing available to call centers:

  • Greater Scalability: With cloud-based solutions, businesses can easily scale up or down as needed without paying additional costs for buying hardware or installing complicated software.  A cloud-based call center allows you to increase or reduce the amount of personnel quickly and easily.

  • More Cost-Efficient: Setup and maintenance costs for on-premises call centers can be high due to the need for expensive technology, software, and infrastructure. Cloud-based call centers can integrate systems and platforms and save costs with a subscription-based model — which can also be expanded at a low cost.

  • Added Security and Reliability: In order to ensure the availability of data at all times, most cloud systems store information in safe data centers that are easily accessible by authorized users. Because most cloud-based systems have redundancy and failover features, customers can rest assured knowing they will always have access to support.

  • Improved Customer Experience: Customers appreciate companies that quickly and effectively resolve their issues. A cloud-based call center can quickly respond to consumer inquiries across many channels with the help of the integration of CRM software.

  • Better Omnichannel Interactions: Cloud call centers provide customers with a wider variety of interaction methods — including voice, email, and text — than their on-premises counterparts. Many cloud call centers additionally provide their agents with the resources they need to handle a high number of queries with professionalism and empathy.

  • Built for Remote/Hybrid Work: With cloud computing, employees can access their work tools and business communications from anywhere. All they need is an internet-connected device and log-in.

  • Advanced Features: Unified Communications enhances basic VoIP features and functionality by bringing non-voice communications into the mix. For example, a UC solution might enable customers and agents to leverage additional communication channels, such as instant messaging, website chat, video messaging, and more.

  • Reduced IT Complexity: A public cloud solution has no hardware or servers for IT to maintain, no updates to install across fleets of computers, and no responsibility to secure data or troubleshoot problems. This frees up IT's time to focus on more innovative projects. (Managing a private cloud can be more complex, but leveraging software as a service (SaaS) can save IT from building everything from scratch and routinely updating software.

  • AI Integration: Once data is all in one cloud (or interconnected clouds), businesses can take advantage of AI, apply machine-learning algorithms to automate processes, and look to predictive analytics to help shore up inefficiencies and future-proof the organization. Cloud services also let businesses deploy new tools and capabilities, such as virtual assistants, chatbots, and other AI-enabled solutions.

It’s Your Call

With Vonage Business Communications, your cloud-based phone systems easily integrate with your CRM and other business apps and productivity tools. Not only that, but our service can be accessed from anywhere at any time using any web browser. Check out how VBC can integrate with your CRM — and the range of features that we offer.

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Want to know more about the benefits of a cloud-based call center? We’re here to help! Call us at 1-844-365-9460, or fill out this form! A dedicated specialist will show you:

  • The many ways a cloud-based call center is better that an on-premises option, including overall lower costs, the ability to quickly and easily scale up and down as needed, and more
  • How AI opens the door to automated processes and predictive analytics that can increase efficiency and future-proof your organization
  • How a cloud call centers provides customers with a wider variety of interaction methods — including voice, email, and text — than their on-premises counterparts

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