Can a cloud PBX save you money? Yes, $240 per user per year

Cloud PBX (Private Branch Exchange) is a modern upgrade to traditional phone systems. This is web-based communications software that allows users to log into the system like any other software through a web browser, desktop app, or mobile app. You can use an IP-enabled desk phone, but you don’t have to.

Administrators can just as easily manage settings, add or remove users, and troubleshoot issues. It’s easy to deploy, with no physical wires or infrastructure required.

Besides convenience and ease, there is another major benefit: cost savings.

Potential savings compared to wired systems

Cloud PBX service costs, on average, around $30 per user per month. This is a conservative estimate that reflects the cost of a plan with the standard feature set.

A traditional phone line costs around $50 per user per month, not including maintenance costs.

Saving $20 may not seem like much, but it amounts to $240 per year. Moreover, this applies on a per-user basis. If you have 20 users, you’ll save $4,800 per year.

In reality, the savings are likely to be much greater. You don’t have to worry about system maintenance, upgrades or anything like that. All of this should be included in your regular monthly subscription fee.

If you already have a full in-house IT team, you can manage your own cloud systems for a lot less money. These systems can run for as little as $5 per user per month.

Although these figures are only estimates, they highlight the potential for cost savings.

What is included in a cloud PBX?

Best of all, a cloud-based setup eliminates the need for expensive initial investments. And because there is no physical infrastructure, these types of systems are incredibly flexible and scalable.

But perhaps the most important aspect is that users can make and receive calls from any device connected to the Internet (called a softphone).

With a mobile app on your smartphone, you don’t have to sit at your desk. You can also work from home and use your laptop instead of your desk phone. Ultimately providing unparalleled mobility.

Beyond that, cloud PBXs include a variety of features that are difficult or impossible to obtain in traditional PSTN systems.

Every provider offers different features, but most offer the following standard features:

• Unlimited incoming and outgoing calls: Most providers will not restrict you. Some offer lower monthly rates but limit you to 500 or 1,000 minutes per month. If you have users who rarely use their phones, this can be a smart way to save money.
• Voicemail: They often include advanced features such as voicemail-to-email, voicemail transcription, and visual voicemail.
• Text message: This is often included in the entry-level or mid-tier of most providers. Users can text customers, clients, and each other.
• Collaboration tools: Many cloud PBX systems include video conferencing, audio conferencing, team chat, file sharing, and even fax capabilities. You can subscribe all on one platform rather than separate subscriptions.
• Call routing: You can set up custom call routing and forwarding rules based on factors such as time of day, holidays, and lunch breaks.
• caller ID: This lets you know who is calling. By connecting your CRM, you can view additional details, such as previous purchases, before responding.
• Call recording: You can save recordings for a specific amount of time and choose between manual or automatic recording. Depending on your provider, you may need to upgrade to a mid or top tier for this.
• Virtual Receptionist: Want to greet callers professionally? This is how you do it.
• Basic analysis: Most systems cover the basics such as call history, quality of service, and standard usage data.

For most teams, a standard phone system with the above features will suffice.

But call centers, sales, and customer support teams may need more robust opportunities for customization, automation, and high-volume call handling.

These types of systems cost more, but you get what you pay for. Advanced cloud PBX features include:

• IVR: Interactive voice response allows you to create phone menus to ensure callers are routed to the right person.
• Automatic call distribution: ACD allows you to set up a variety of rules that specify how calls are routed to various departments and employees. There are a variety of strategies, including skill-based, next available agent, preferred agent, and more.
• Callback: If the queue gets too long, you can automatically give callers the option to call back once they reach the front of the line.
• Autodialer: Predictive, progressive, and power dialing allow users to call many people more easily. Different types of dialers have different characteristics, but the goal is efficient outbound calling.
• Voice analysis: This takes standard analysis one step further. The system can help you record calls and identify recurring topics, sentiment, customer satisfaction, agent engagement, compliance compliance, and more.
• Workforce optimization: As your team grows, scheduling, forecasting, engagement, performance management, and quality assurance become more important.

Whether you need basic or advanced features, upgrading to a better plan with more features doesn’t require a new system.

All you have to do is contact your service provider. They will take care of the rest. Once your account upgrade is complete, you’ll be able to start using all the new tools and features you need right within the software you already use.

Cloud PBX vs. in-house system management

We mentioned earlier that you can save more money by managing your cloud PBX system yourself. While that’s true, cost isn’t the only thing to consider when making this decision.

You also need to think about technical expertise, resource allocation, security requirements, and business requirements.

Manage your own cloud phone system

It may seem simple to purchase software and install it on your own server. But the reality is more complicated. Routing calls and SIP trunk services requires an IP PBX, which allows the IP PBX to connect to landlines, VoIP phone systems, and cell phones.

In addition to setup, you are also responsible for security, redundancy, and quality of service.

If you don’t already have an experienced IT team, you need to hire one.

The advantage is that you can customize everything to fit your needs at a much lower price. Nor are we subject to the control of third parties, who have their own requirements, rules and regulations.

Overall, managing it yourself is more accessible for larger businesses or those with special needs that a paid cloud PBX service can’t meet.

Use cloud PBX service

Cloud PBX services cost more per user, but eliminate the burden of managing the system yourself. This means that the provider takes care of security, updates, maintenance, redundancy, and everything else you need.

It’s a hassle-free option for even small businesses to have a dedicated phone system.

Conclusion? Each approach has its advantages. On-premise management provides greater control and customization, while cloud PBX services are easier and more convenient.