Cloud-based call center vs. on-site call center

May 20, 2022

Introduction

As businesses continue to grow and scale, they are faced with the decision to either set up an on-site call center or to migrate to a cloud-based call center. The decision can be daunting, but it's essential to make the right choice for the business's efficiency and productivity. In this blog post, we'll compare the two options and analyze the pros and cons.

Cloud-based call center

A cloud-based call center is a virtual system that provides businesses with tools and resources to handle customer interactions without having a physical call center on site. It's a cost-effective option for businesses to handle interactions from different locations without the need to invest in expensive hardware, infrastructure, and personnel. It's a flexible and scalable solution that provides businesses with access to customer data in real-time and allows agents to work remotely from any location.

Pros

  • Lower start-up and maintenance costs - With no need for premises, hardware, installation, and maintenance costs, a cloud-based call center can prove much cheaper
  • Scalable - Businesses can easily add or remove agents as per their needs with cloud-based call centers, making this the most flexible of the two options.
  • Accessible - Customers can reach the call center from any location, which makes it suitable for businesses with customers who are geographically dispersed.
  • Highly Automated - Cloud-based call centers use automation software that can reduce the number of interactions needed to help the customer.

Cons

  • Internet connection dependent - Cloud-based call centers are entirely reliant on internet connectivity, and a poor connection can affect an agent's ability to take calls.
  • Warning on privacy - Cloud-based storage can raise concerns about the privacy and security of sensitive customer data.
  • Limited control over infrastructure - as the infrastructure is wholly owned by a third party, businesses can be at the mercy of the infrastructure provider.

On-Site Call Center

An on-site call center is a physical location where a company houses its agents to handle customer interactions. It requires on-site infrastructure, including hardware, software, and personnel. The operation also requires a significant up-front financial cost, and hiring and maintaining personnel can put a strain on resources.

Pros

  • Easier to manage - All infrastructure is in one place, and organizations usually have greater control over their call center's operations, functions, and agents.
  • Better quality - On-site call centers can have better call quality and fewer connection problems compared to a cloud-based call center since they usually have dedicated internet connections.
  • Greater privacy control - an on-site call center often means more control over user data, so privacy concerns are lessened.

Cons

  • More Expensive to run in the long term - On-site call centers can be expensive to run initially and also require maintenance, repairs, continued training, and hiring new employees over time.
  • Not scalable - scale-up is difficult with an on-site call center as growth puts a strain on resources from technology to human.

Conclusion

There isn't a one-size-fits-all answer to the question of which is the better choice - cloud-based or on-site call centers - as the best option for each business depends on its unique requirements. With flexibility, scalability, and accessibility, cloud-based call centers have emerged as the go-to option for many businesses today. However, on-site call centers remain the better choice for businesses with highly complex requirements or businesses that deal with highly sensitive client data. It's essential to weigh up the advantages and disadvantages of each option and identify what is most important to your company to make the appropriate choice.

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