Cloud Call Center vs. On-Premises Call Center

September 14, 2024
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When a company decides to implement a call center solution, one of the key choices they face is whether to go with a cloud-based or on-premise option. This decision isn’t always straightforward, especially in a startup environment where the definitions of cloud and on-premise call centers can be unclear.
Since the goal of this post is to help determine which option is best for a business, let’s start with the basics.

Choosing the Right Call Center Solution: Understanding the Basics

Cloud Call Center

When companies opt for a cloud contact center solution, they avoid the cost and upkeep of local servers, as the provider manages much of the infrastructure remotely.

On-Premise Call Center

With an on-premise call center, a business takes full responsibility for every customer care task. They own the software, hardware, and network needed to manage calls, and they handle purchasing, evaluating, installing, and maintaining all systems.

On-premises (Onsite) call center:

In this setup, all of your call center’s communication hardware, software, and infrastructure are located and managed within your business premises. The dedicated communication servers can vary in type.

With this system, your IT team handles all aspects of installation, maintenance, and support. From phone servers and headsets to software assistance, everything is managed in-house.

Cloud-based call center software

Cloud-based call center solutions are Accessible from anywhere with an internet connection, unsurprisingly, hosted off-site in the cloud by a business phone service provider. Users access the telephone service through a web browser on their computer or mobile device.
This solution relies on internet access with sufficient bandwidth to comfortably accommodate all users, plus other internet activities. Your business or call center’s data is hosted on the cloud, and the corresponding servers either belong to the service provider or to a third party, such as Google Cloud, AWS, or Microsoft Azure.

Hybrid hosted call center software

Hybrid Call center means your call center’s systems hosted externally and accessed through the internet or intranet. This option blends the advantages and disadvantages of both fully virtual and on-premise setups, creating a balanced approach. While it may seem ideal, hybrid setups can come with a few potential drawbacks.

The major differences between cloud and on-premises call centers

Aspect	Cloud Call Center	On-Premises Call Center
Infrastructure	Hosted by a third-party provider.	Owned and managed by the business.
Setup Time	Quick and easy deployment, can be up and running within minutes.	Longer setup time due to hardware installation and configuration.
Costs	Lower upfront costs, subscription or pay-as-you-go model.	High initial investment in hardware and software, with ongoing maintenance costs.
Maintenance and Updates	Managed by the cloud provider with automatic updates and patches.	Requires in-house IT resources for maintenance, updates & security.
Data Security and Privacy	Typically offer shared responsibility for data security with the cloud provider.	Companies have full control over their security and privacy measures.
Accessibility	Accessible from anywhere with an internet connection.	Requires on-site access.
Scalability	Easily scales up or down based on demand without major effort.	Scaling requires additional hardware and installation, which can be complex and costly.
Features	Provide a wide range of built-in advanced features.	Fewer built-in features and may require additional investments.
Integrations	Easily integrates with other cloud-based tools and applications.	more complex and may require custom solutions.
Management	Managed by the cloud provider.	Requires in-house management.
Staff Requirements	Fewer staff required for management and maintenance.	May require more staff for management and maintenance.
Disaster Recovery and Business Continuity	Built-in redundancy and backup options ensure high availability and continuity.	Requires a separate disaster recovery plan and infrastructure, which can be complex and costly.

Telsip — an all-in-one cloud communications platform that combines a cloud PBX, a cloud contact center, unified OMNI channels, and a WebRTC-powered softphone, with seamless CRM integration and professional support; it delivers intelligent call management, unified conversations, and real-time reports that enhance your team’s efficiency and your customers’ experience.

For more information about Telsip products and services, leave your data and one of our specialists will contact you..