• /
  • /
  • /

5 Compelling Reasons You Need Hosted Phone

July 20, 2017
Technology changes are rapid these days and your enterprise communication system is constantly aging. If you’re still running on your premise-based PBX, you may be in desperate need of an upgrade. You need to weigh the pros and cons of premise-based vs. hosted as it relates to your business needs and direction. But, I’m going to bet you’ll land on the same conclusion – Hosted Phone is the logical choice. Here are five reasons why:

1. Reduced TCO (Total Cost of Ownership).

Hosted solutions dramatically reduce the initial capital expenditure. Like a car driven off the lot, once your premise-based system is installed, it starts aging. Maintenance and repair costs can add up over time. Hosted systems will require training and managed service related expenses. But, these will be considerably lower over time vs. a premise-based PBX. Plus, the cloud keeps your service up-to-date automatically.

2. Agility.

Businesses need to the ability to react quickly in today’s competitive climate. Organizations today need to modify their infrastructure faster than ever before. In addition, with hosted phones, CRM and ERP software can be integrated with the hosted phone system easier than premise-based phones. This can be done with Salesforce, MS Dynamics, SAP, Oracle, etc… and potential home grown software as well.

3. Scalability.

Hand in hand with agility, scalability is one of the greatest benefits of a cloud solution, as far as I’m concerned. Every business has fluctuations. Some are seasonal, some are tied to the market trends, but we all have them. Having the ability to expand and contract your resources, like call centers, on an as needed basis within the course of single day is incredibly valuable. You can virtually eliminate the threat of downtime during a peak time, keeping your customers happy. Vendor trip charges are a thing of the past; the hosted phone portal allows you most all the latitude you need at your fingertips.

4. Resiliency.

The very notion of downtime is becoming unacceptable to many clients. If you are an e-commerce business, the second your “store front” goes down, you start losing customers that you may never get back. Downtime costs are staggering. In 2015, the Ponemon Institute suggested that the cost of downtime per minute was $5600. That is a bill that adds up quickly. Downtime includes:
  • Lost sales
  • Loss of customers/ customer complaints
  • Reduced staff productivity
  • Overtime expenses
  • IT expenditures to repair the issue
  • Potential compliance issues in the event of lost/breached data
  • Lost trust in your brand!
Being able to keep your communications with your clients and vendors in tact and accessible in the event of a disaster is crucial. If your office goes down, a hosted phone system can immediately reroute your calls to your teams mobile phones. If you have a tech on site that needs customer file access ASAP, they can access them instantly via the cloud while on-site. Just a few examples of simple lines of accessibility and redundancy that can save your business.

5. Mobility

If you’re hoping to attract new talent to your organization, offering flexible work schedules can be very persuasive. Science has supported that flexibility in the workplace can boost productivity, increase job satisfaction, and increase staff retention. Hosted phone allows your team to have the same access as they would in the office, but from anywhere.


If any of these reasons make sense with your business objectives, perhaps you need to consider a hosted phone system. Contact the Hosted Phone experts at Corporate Technologies Group today. Read our Hosted Phone Readiness Checklist for more information.

Hosted Phone Checklist