Cloud-Based Phone Service: Is It Right For Your Business?

Business communication has shifted significantly in the last two decades. First, we’ve moved away from people being glued to their desks and landlines—courtesy of cell phones. And now, instead of supplying team members with additional cell phones so that they can work on the go, people opt for cloud-based phone systems.

But are cloud-based phone services the right fit for your organization?

In this post, we take an in-depth look at cloud-based phone systems, including what they are, the benefits they offer, features to look out for, and how to choose the best provider for your business. 

Key takeaways:

1. Cloud-based phone services offer significant cost savings compared to traditional landlines and PBX systems. They eliminate setup, maintenance, and hardware costs, allowing businesses to use existing devices.
2. VoIP systems provide unmatched flexibility, enabling employees to work from anywhere with an internet connection. 
3. CloudTalk specifically helps improve call center and sales performance with its advanced call features and easy customization.

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What Are Cloud-Based Phone Services? 

Cloud-based phone services are a type of virtual business phone system that uses Voice Over Internet Protocol (VoIP) technology to send voice calls over the internet. Sound is essentially converted into digital signals and is then compressed to make a call. The call is transmitted across the internet (instead of a traditional landline), and your VoIP provider will help deliver the call. 

Because cloud-based phone systems  (sometimes called “softphones”) are digital, they don’t require physical landlines or dedicated mobile devices. You can typically access VoIP lines through a website, desktop app, or mobile app on devices you already have, so long as you have an internet connection.  

Cloud-based phone services can present options for local numbers, toll-free numbers, and even vanity phone numbers. Simply put, they typically come with everything most organizations need including virtual phone lines and systems.

Benefits of Cloud-Based Phone Services 

There are plenty of advantages that come with cloud-based phone services, each of which can directly benefit your business. Let’s discuss each.

Cost Savings

Business phone numbers can present significant cost savings that can be a game changer for businesses of all sizes.

According to data from Fixr, the cost to set up a new landline ranges between $50 to $265 at an average of $42 per month per line. VoIP systems, however, typically only include the cost of the individual lines themselves. This is because you can install the applications on devices you already own and there are minimal (if any) setup costs. CloudTalk costs start at just $25 per user per month, for example. 

There are also reduced maintenance and upgrade expenses with VoIP lines. In-office hardware— which is used by both traditional phone systems and private branch exchange (PBX) systems— can be expensive to purchase, install, maintain, and upgrade. 

Fortunately, these particular costs are eliminated with VoIP lines since you’re only paying for devices and internet connections that your employees already need. This makes VoIP much more cost-effective than traditional and PBX systems.

Flexibility

Nothing can top cloud-based phone services in terms of flexibility. Your team members can work anywhere they have access to an internet connection, letting you easily support remote and mobile workforces.

This flexibility lends itself well to scalability, too. You can easily add or remove lines at any point, without having to worry about purchasing or maintaining additional hardware.

Advanced Features

Since VoIP phone lines are completely digital, they also typically come with easily-configurable advanced call features, such as: 

• Auto attendants
• Voice call
• SMS messaging
• Call routing and call forwarding
• Workflow Automation for Call Centers 
• Help desk and CRM integrations
• Voicemail transcription
• Video conferencing 
• Real-Time Analytics and data
• Sentiment Analysis and Talk/Listen Ratio 

You can access and adjust these features through your desktop and potentially even mobile apps for easy setup and customization.

Discover how to leverage these features with CloudTalk and improve call center performance.

Reliability and Security

Businesses need reliable and secure phone lines. The last thing you need when resolving a customer support issue or closing a sale is to have a phone call glitch or drop altogether. It’s every business owner’s nightmare. 

Reliable VoIP providers have exceptional uptime (as close to 99% as possible) and call quality. This means you’ll consistently be able to show up for customers exactly how you want to. 

Many cloud-based phone services also offer redundancy and disaster recovery options come a crisis, even while maintaining exceptional data encryption and security protocols. This way, your team can take advantage of reliable, advanced, and convenient communication without sacrificing data security.

Is a Cloud Phone System Right For You? 

Virtual phone systems are increasingly popular amongst businesses of all sizes—even those that have held steadfast to their legacy systems.

That said, VoIP phone systems could be right for you if any of the following criteria are true:

• You want increased flexibility for remote or on-the-go work
• Your organization needs the option to scale lines up or down
• Access management to communication tools is a concern
• You’re looking for a secure but reliable phone and video calling system
• You want multiple options for internal and external communication, including voice, video, and SMS 
• You want to streamline internal workflows
• You want to take advantage of advanced features including automation for improved customer experiences
• You want to reduce your total business communication costs

5 Key Considerations for Choosing a Cloud-Based Phone Service

When choosing a cloud communications platform, there are five key considerations to keep in mind. Let’s dive in.

1. Business Size and Needs

You need to find a cloud phone service that’s able to accommodate your business size and your business needs.

A VoIP service provider offering baseline features like basic call routing for a team of users, for example, may work well for small businesses. Large organizations and contact centers, however, would need to find a provider capable of supporting hundreds of individual phone lines and offering advanced features like automated call recording or interactive voice response. 

It’s important to choose a service that aligns with your specific business requirements. As you’re considering your current needs, don’t forget to think about long-term scalability—both your bandwidth and functionality needs may change down the line.

2. Budget Constraints 

It doesn’t matter how great a provider is if they’re not in your budget. Look at the cost-effectiveness and potential ROI that comes with different tools. While reviewing providers, don’t forget to consider the following:

• Potential setup or onboarding costs
• Monthly fees based on the provider’s pricing model
• Costs of potential add-on features

3. Technical Infrastructure

It’s important to make sure you have adequate internet bandwidth and infrastructure to support your new VoIP system. This can mean increasing your in-office bandwidth, for example, or updating outdated employee devices. 

If employees are working remotely, you can offer stipends to team members to help cover the cost of high-speed internet.

4. Provider Reputation and Support

Reliability must be a key consideration when you’re choosing a cloud business phone system, but no providers will come out and say they have performance issues.

As a result, look for the following:

• Check a provider’s uptime reports and service level agreements (SLAs)
• Read online customer reviews regarding call quality, uptime, and customer support services
• Start by researching reputable VoIP providers like CloudTalk—offering responsive 24/7 customer support

5. Security Features

Data security and privacy can’t be overlooked—especially in industries with strict state or federal regulations. 

Research each provider’s security measures and compliance with industry standards. Advanced encryption, secure data centers, access management features, and two-factor log-in are all basic security practices you should expect to see.

Introducing CloudTalk: Integrated AI Business Calling Software

CloudTalk is a cloud-based provider that serves businesses and contact centers of all sizes. 

With CloudTalk, you can create intuitive and customized call flows that connect your customers to the right agents every time. Plus, you can make real-time adjustments to your automation so you never miss a call again.

CloudTalk customers can take advantage of the following features: 

• Easy Call Routing and Forwarding: Automatically direct calls to the right team or individual, ensuring no call is missed and improving customer satisfaction.
• Interactive Voice Response (IVR): Create customizable voice menus to guide callers to the appropriate department or information, enhancing self-service options.
• Voicemail to Email: Receive voicemails directly in your email inbox, allowing for easy access and quick responses even if you’re on the go. .
• Call Recording: Record calls for quality assurance, training purposes, or legal compliance, ensuring that you can review and analyze conversations as needed.
• Auto-Attendants: Start incoming calls with custom, branded greetings and direct callers to the right department or agent depending on their needs. 
• Customizable Dashboard and Analytics: Gain insights into call metrics and performance with an intuitive Analytics Dashboard, helping you track key call center metrics and make data-driven decisions to optimize your communication strategy. 
• Sentiment Analysis: Understand customers’ sentiment over each call and tailor sales and support conversations to increase satisfaction.
• Talk/Listen Ratio: Uncover talking patterns and improve customer interactions with data-driven feedback

Invest in High-Reliability Business Communications  

Cloud-based phone systems may not be right for every business, but they’ll be a great fit for most organizations. If you’re looking for a unified communications platform that can improve internal collaboration and the customer experience simultaneously—all while saving costs and streamlining workflows—look at cloud-based service providers. 

When you partner with CloudTalk, you get a highly-rated VoIP provider with advanced features and strong reliability and security. This way, you can create a unified ecosystem for sales and customer service teams’ communication—where every professional can engage in more productive and meaningful conversations

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