What are Hosted Contact Centers?

Did you know that more than 85% of organizations will embrace a cloud-first principle by 2025 and cannot fully execute their digital strategies without using cloud-native architectures and technologies?

This shift is revolutionizing the way contact centers operate. By swapping out traditional, on-site setups for flexible, hosted solutions, businesses can streamline their operations, boost customer satisfaction, and effortlessly adapt to the ever-changing needs of today’s tech-savvy customers.

Table of Contents:

1. What is a Hosted Contact Center?
2. What is the difference between Hosted and On-Premises Call Centers?
3. Advantages of Implementing a Hosted Contact Center
4. Factors to Consider when Selecting a Hosted Call Center
5. 5 Hosted Contact Centers FAQs

What is a Hosted Contact Center?

A hosted contact center is a cloud-based platform that manages and supports your customer interactions.

Instead of owning and managing your own on-premises contact center equipment, you rent it from another contact center. This contact center handles the technical parts, leaving you to focus on providing excellent customer service.

A hosted contact center provides organizations of all sizes with a flexible, scalable, and cost-effective option for efficiently managing customers.

What is the difference between Hosted and On-Premises Call Centers?

Feature	Hosted Call Center	On-Premises Call Center
Infrastructure	Cloud-based, with servers hosted off-site	Hardware and software installed on-site
Capital Investment	Lower initial costs; subscription-based	Higher upfront costs due to equipment purchase
Scalability	Easily scalable to meet demand	Scaling can be complex and costly
Accessibility	Accessed via the internet from anywhere	Limited to a physical location; less flexible
Maintenance	Managed by service provider	Managed by a service provider
Updates	Automatic, frequent updates by the provider	Manual updates needed, often requiring downtime
Security	Relies on provider’s security measures	Requires in-house security management
Customization	Limited customization options	High degree of customization possible
Disaster Recovery	Built-in redundancy and recovery processes	Requires separate disaster recovery solutions
Integration	Easily integrates with various cloud services	May require additional hardware/software

Advantages of Implementing a Hosted Contact Center

1. Flexible Access from Anywhere

A hosted contact center allows your team to work from anywhere with an internet connection.

This flexibility enables remote work that is not limited by geography.

Your agents may answer calls and reply to customers while on the go, ensuring that service quality stays good regardless of location.

2. Easy Scalability

Hosted contact centers enable quick and easy scalability. Whether you have a seasonal increase in client queries or need to downsize, you can modify your resources without the hassle of managing the contact center.

This scalability allows you to expand your business without worrying about contact center limitations.

3. Cut Down on Upfront Costs

Hosted contact centers often require less upfront investment than on-premises systems.

With subscription pricing, you avoid the high expenditures of purchasing technology and installing software. Because of their low cost, innovative customer service solutions like hosted contact centers are more accessible to organizations of all sizes.

4. Access Advanced Features

Hosted contact centers frequently include advanced capabilities such as automated call distribution, real-time statistics, and integrated CRM systems.

You can take advantage of these complex features without managing software upgrades or maintenance; the service provider handles them.

5. Built-in data Protection for security

Your customers’ data security is paramount, and reputable. Hosted contact centers offer robust security measures, including encryption, compliance with industry standards, and regular performance audits.

By relying on a specialized provider for security, you can focus on delivering excellent service while they handle the complexities of data protection.

4 Factors to Consider when Selecting a Hosted Call Center

1. Assess the Pricing Models and Total Cost of Ownership

Compare pricing structures, such as per-minute billing, flat monthly fees, or tiered plans, to see which best fits your call center budget.

Consider the entire cost of ownership, including membership fees and hidden costs such as setup fees, integration fees, and additional charges for premium products or sophisticated analytics. This complete research can assist you in avoiding unforeseen charges in the long run.

2. Ensure Security Measures and Compliance Standards

Security is critical in call center operations, especially when handling sensitive customer information. Examine the provider’s security process, which includes data encryption, secure access control, and periodic security audits.

Confirm that the provider follows applicable industry laws, such as HIPAA for healthcare and PCI DSS for payment processing. This guarantees that your company meets regulatory requirements while preserving customer data.

3. Feature Comparison, Integrations, and configurability

Examine the features offered by each potential hosted call center like call routing, interactive voice response (IVR), call recording, analytics, and reporting tools.

Assess the simplicity of integration with your existing systems and software, such as CRM systems, to ensure a smooth workflow. Consider how adaptable the platform is for tailoring features and functionality to your operational requirements.

4. Enhances Agent Experience

Determine how the hosted call center solution may enhance customer and agent experiences.

Look for features such as omnichannel support, which allows consumers to contact you over numerous channels (phone, chat, email, and so on), and robust reporting tools that help agents track their performance.

A user-friendly interface for your agents can boost productivity and happiness, resulting in better customer service outcomes. Consider options that offer training and support to help your workforce adjust to new technologies.

5 Hosted contact centers FAQs