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What Generates a Greater ROI: On-Premises Infrastructure or the Cloud?

by Geoff Mina, CEO, Connect First - January 7, 2015

What Generates a Greater ROI: On-Premises Infrastructure or the Cloud?

Geoff Mina, CEO of Connect First

Right now business leaders everywhere are asking the same question: Invest in an on-premises, or cloud-based contact center infrastructure solution? It’s well known that investing in a cloud-based contact center solution can save your business a lot of money. After all, you won’t have to part with a copious amount of capital and operational expenditure. You will receive a plug-and-play solution that your agents can get started using right away.

But which solution will generate a greater return on your investment over the long term? Let’s compare the two and find out:

On-Premises: Advocates of a legacy contact center system will argue that by keeping your hardware in-house, you will gain greater control over your operation by being able to perform administrative tasks like rebooting your servers whenever you want. Legacy advocates also claim that keeping your servers in-house will let you search deeper into your data history, as you can control exactly how long you want to store information. Further, they claim that you will have the peace of mind of knowing exactly how much storage capacity you have remaining on your servers at all times.

The cloud: Aside from saving you hundreds of thousands of dollars in capital and operational expenditure over the duration of your contract, cloud-based contact center solutions come with cutting-edge tools that can speed up agent tasks and improve the overall customer experience. These solutions include tools such as automatic call distribution, interactive voice response software and a full suite of quality reporting services. These tools will transform customer care in your organization from reactive to proactive. You will be able to glean valuable customer insight that you can use to enhance agent and consumer interactions over all of your different channels (DMG Consulting).

Another thing to consider is that it is difficult to predict when your business will grow. Your contact center could experience sudden growth, or prolonged periods of inactivity. Since the cloud is fully scalable, you will be able to navigate these changes without having to worry about issues such as capacity shortages or having to power idle servers. This will translate to greater contact center cost savings for your organization, as you will always have a contact center solution that conforms exactly to your business’s needs.

The verdict: Keep in mind that no two contact centers are built the same, and so every one has unique individual requirements. What works in one location might not work in another. But if you want to get the best value, a cloud provider can offer you as much security, control and visibility into your data and network as you would find in an on-premises solution. You will be able to drive greater efficiencies and financial returns without the hassle of having to manage and maintain your infrastructure. And the money that you save on capital and operational expenditure can be pumped right back into your organization, meaning you can allocate more money into research and development, hiring and marketing.

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