What is Cloud Telephony?

Are you looking to improve the cost and efficiency of the phone system for your business? Cloud Telephony may be the right solution. Why is this better than the traditional phone system? Besides the usage costs, the traditional phone system incurs other fixed and indirect costs in the form of:

•   Equipment costs
•   Facility costs
•   Maintenance costs

With cloud calling, enterprises do not incur any costs besides their Internet connectivity costs. Here’s a deeper look at Cloud Telephony.

Introduction to Cloud Telephony

Simply put, Cloud Telephony (or cloud calling) is a cloud-enabled communication system that allows organisations to operate their business phone calling through the Internet. Also known as Voice-over-Internet-Protocol (VoIP), Cloud Telephony essentially streamlines business communication by migrating their phone services to the cloud.

Additionally, this technology is a form of Unified Communications-as-a-Service (UCaaS), which integrates various communication and collaboration tools on the cloud platform. Effectively, Cloud Telephony providers install and operate their phone equipment, software, and connections from remote locations.

How Cloud Telephony works

This cloud technology converts analogue voice signals into data packets, before transmitting the data through the Internet. Essentially, cloud calling uses VoIP technology that routes the voice call to the right receiver.

Like the traditional phone, the VoIP technology

1. Converts the received voice signals into data packets.
2. Transmits the data packets over the Internet.
3. Reconverts the data packets to analogue form at the destination.

Key components of Cloud Telephony

Besides VoIP technology, Cloud Telephony services include the following key components:

  1.  Virtual PBX (or Private Branch Exchange)

Hosted on the cloud, the virtual PBX component replaces the traditional PBX hardware. This component manages features like call routing and voice mails (without any on-premise equipment).

  2.  Cloud Telephony servers

These are cloud-hosted servers capable of providing capabilities like interactive voice recording (or IVR solutions), call reporting, and call distribution.

  3.  Data centres

Cloud telephony providers also operate cloud-powered data centres to ensure high availability and reliability. With data centres, enterprises can reduce downtime by redirecting traffic from failed to active data centres.

  4.  UCaaS features

Besides cloud calling, Cloud Telephony providers can also provide complimentary UCaaS capabilities such as screen sharing, web conferencing, and team messaging.

Advantages of Cloud Telephony adoption

Here are some of the advantages (or benefits) of Cloud Telephony for enterprises:

  1.  Cost saving

As compared to traditional phone systems, Cloud Telephony services are on average 65% more cost-effective. With cloud calling, organisations can reduce money spent on phone maintenance contracts, limited calling time, SMS services, and toll-free numbers.

  2.  Improved call management

Cloud Telephony services are not restricted to call receiving and sending but include advanced call management features to benefit any company. These features include:

• Automatic call attending enables callers to reach the right team and reduce the number of missed calls.
• Call forwarding, which allows users to forward incoming calls to the right desk or mobile phone.
• IVR solutions for small business enterprises, which is a more professional and conversational mode of providing customer service.
• Call recording, which allows organisations to record customer interactions for future training purposes.

 3.  Scalability

For small and growing companies, Cloud Telephony provides easy scalability or the ability for organisations to add more users. With traditional phones, organisations need to add more on-premise equipment and pay more for adding new phone connections (or numbers).

4.  Mobility

Cloud Telephony services are more suitable in the age of remote working and mobile phone usage by business users. With a Cloud Telephony system, users can use an Internet-enabled device to make calls (while on the move), or even make international calls (without any additional roaming charges). 

Use cases or applications of Cloud Telephony

Depending on the business requirements, Cloud Telephony has different use cases (or applications) for enterprises. Here are some of the common use cases:

   1.  Remote working

With the rise of remote and hybrid working, Cloud Telephony services enable business teams to communicate with each other from various locations. Cloud Telephony systems can also redirect important customer calls to employees when they are not present in the office location.

  2.  Customer support

With cost-effective cloud telephony, small organisations can set up a cloud-hosted call centre to provide customer support. Without any hardware infrastructure, this scalable communication system can help customers to keep in touch with organisations. A cloud IVR solution presents an engaging and interactive mode of recording customers' queries and concerns.

  3.  Training & development

With its in-built call recording feature, Cloud Telephony can record customer’s interactions with customer service agents. Recorded calls are useful for employee training and development. Additionally, recorded calls enable companies to stay compliant with industry regulations.

Security measures in Cloud Telephony

As Cloud Telephony systems deal with sensitive business data, they must have adequate security measures. Measures like end-to-end data encryption are effective for keeping telephony services safe. Here are some additional security measures for Cloud Telephony services:

1. Choose an experienced and reliable Cloud Telephony provider for your business.
2. Configure strong and complex user passwords to prevent unauthorised access by hackers.
3. Update your Cloud Telephony software regularly with the latest bug fixes and security patches.
4. Implement role-based access control to restrict user access to sensitive information.

Choosing the right Cloud Telephony provider

Organisations can choose from a variety of Cloud Telephony providers depending on their allocated budget and business requirements. Here are some key factors that you must consider when choosing the right Cloud Telephony provider:

  1.  High availability

Cloud Telephony systems with the best features are insufficient if they are not available for 24/7 operations. Your Cloud Telephony provider must ensure high availability around the clock. Hence, check out their availability record, along with the measures they take to ensure system availability.

  2.  Security and compliance

Next, make sure your cloud service provider meets the industry standards with certifications in compliance with HIPAA, PCI, and ISO. Additionally, ensure that they have implemented security measures like end-to-end encryption protocols, firewalls, and safe data centres.

  3.  Product features

Depending on your business requirements (for example, international calling), make sure your cloud service provider includes the necessary product features. Check for standard features like call routing, IVR, call recording, and integration with third-party tools like CRM.

  4.  Customer support

The quality of post-implementation customer service is critical when choosing the right cloud service provider. Check for modes of customer support (for example, online chats, phone calls, and email). Additionally, evaluate customer support parameters like wait or response time, technical knowledge, and availability.

Future Trends in Cloud Telephony

Among the emerging trends, Cloud Telephony services are being adopted by small and large enterprises. Thanks to its cost efficiency, more small-to-medium businesses (SMBs) are now switching to Cloud Telephony. With the emergence of remote working, more organisations are adopting cloud calling as their preferred mode of staying connected and productive.

Going forward, unified communications will grow in popularity with its ability to integrate telephony with video conferencing, instant messaging, and other communication mediums. With the 5G cellular technology, mobile phone users will engage in high-quality video conferencing and collaborative efforts.

Are you looking for the best provider of Cloud Telephony in India? Vi Business is here to help you.

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