Pros & Cons of Cloud-Based Phone Systems: An Extensive Review

The way we talk to each other might be changing with all the new video calls and messages, but we still like to talk on the phone a lot, even more, over 60% of people like calling companies when they need help. 

Companies are also moving away from old phones and are now using cloud phones that are faster and easier to use. These new systems will be super important in the future, and by the year 2032, the cloud phone market will be worth $51.5 billion!

These phones are very popular because of their flexibility and they grow with the company. Whether your enterprise is small-scale or large-scale, the cloud phone has those useful features that help one keep the show running smoothly. 

But is a cloud-based phone system right for your business? In this blog, we will discuss the main pros and cons of cloud-based phone systems to help you make a decision.

What Is a Cloud-Based Phone System?

Cloud-based phone system is a VoIP ( Voice over Internet Protocol) system that operates over the Internet rather than traditional phone lines or on-premises systems. It allows users to receive or make phone calls through the internet without any disturbance. It has become a more reliable and flexible means of communication to individuals.

While working with the team, one can simply make or join calls to complete the given task. The app also offers various functions, such as voicemail, video chat, voicemail forwarding, etc.

What are the Advantages of a Cloud-Based Phone System?

A cloud-based phone system provides several key advantages that can transform how businesses manage communications. Here are the following advantages of a cloud-based phone system:

1. Cost-Effective

Cloud-based systems are basically cost-effective. You can set up this system at a lower cost and if needed, you can add more devices without any difficulties and expenses. Through this system, you can easily have a call with more upgraded features like both nationally and internationally.

2. Scalability

Scalability is a significant advantage of cloud phone systems. Let’s say you’re running a marketing campaign and expect a lot of calls. You’ll need to add more users to handle the calls. 

A cloud phone system allows you to add or remove users at any time easily, and there is no need to purchase any additional equipment. Whether your business becomes busier or quieter, the system tailors to your needs. It is simple and does not cause any problems.

3. Mobility and Flexibility

 Cloud phone systems provide excellent mobility and flexibility for your team. As long as they have internet access, they can easily make and take business calls from anywhere, whether they’re working from home, in the office, or on the go. It’s extremely useful that they can use a variety of technology, such as their computers, tablets, and smartphones. 

This setup is perfect for businesses where employees work remotely or travel frequently. It makes business communication much easier and more simple by keeping everyone connected without the inconvenience of being forced to use a particular place or device.

4. Faster implementation and Setup

Your phone system should help your business grow, not slow down. Adding new lines to a traditional phone setup requires a significant amount of time and money. You must install additional lines for each new employee, which can take weeks and reduce productivity.

A cloud-based phone system is much easier. You can easily add new users whenever you need them, with no complicated setups. It responds to your team’s needs and keeps all communications running easily, allowing you to focus on growing your business.

5. Unified Communication

Cloud-based phone systems combine all of your business communications into a single platform without requiring infrastructure or remote work tools. It is also known as Unified Communications as a Service, which includes calling, video conferencing, instant messaging, conference calls, and file sharing.

UCaaS improves collaboration and productivity for on-premise and remote employees by equipping each of them with every piece of communication capability required for their jobs. Cloud phone services quicken the onboarding process for employees while minimizing virtual meetings and eliminating most of the headaches created by traditional phone systems lacking modern features cloud VoIP offers.

What are the Disadvantages of a Cloud-Based Phone System?

Here are the following disadvantages of a cloud-based phone system:

I. Dependence on Internet Connectivity

As we have already mentioned, a phone-based cloud system works through the connection on the internet. Sometimes, poor internet service may cause delay and errors that directly harms official works. 

More reliability might encourage hackers to hack and reveal your system. An Internet service provider must be upgraded to its latest version in order to depend on the phone-based cloud system.

II.  Security

A phone-based cloud system lacks security. There is a high risk of hacking, scams, and cyber-attacks on information, which can result in delays in the completion of tasks given to employees. 

If the cloud phone system lacks strong security measures such as encryption, additional passwords, and effective firewalls, it can become an easy target. 

This is why businesses must choose a provider with strong security measures in place to keep their systems safe. Traditional phone systems face less risk because they do not use the internet.

III.  Limited Control

Businesses that use a cloud PBX phone system have less control over how they customize or set up their phone systems. The majority of the setup is managed by the cloud phone system provider, which can limit how businesses can customize things to meet their specific requirements.

For example, unlike on-premise systems, where businesses have complete control, some advanced settings or hardware options might not be available.

IV. Phone and Router Purchases

Cloud-based phone systems may be costly due to favorable phone and router purchases. The internet connection may not work on specific devices of some employees, which causes problems at work. A poor internet connection may cause poor call quality and disruptions. Furthermore, routers must be updated to increase their working capacity.

V. Complexity in Advanced Features

The advanced feature in a cloud-based system might be the most challenging feature if there are no technically skilled employees. They may require specific training and technical knowledge to fully utilize the available features, which can take time and resources.

VI. Vendor Lock-In Risks

Vendor lock-in risk is the main disadvantage of cloud-based phone systems. For example, if you wanted to switch vendors then it can be difficult and expensive for you to transfer all data. 

If you are stuck in some vendor services, they may not deliver you necessary services at the right time. Moreover, they can charge more than usual for other additional services.

VII. Challenges in Meeting Compliance

Some industries, such as healthcare and finance, have strict regulations to follow. Keeping up with these regulations can be difficult for cloud phone systems. Not all cloud providers follow to the security and data standards required by law.

 Businesses in these areas must make sure that their cloud provider meets important regulations such as GDPR or HIPAA to avoid fines or legal issues.

Top Tips For Moving Your Phone Service To The Cloud

Moving your phone service to the cloud can be a smart choice, but it requires careful planning. Here are the following top tips for moving your phone services to the cloud:

1. Understand the Pros and Cons of Cloud-based Phone Systems

Start by looking at the pros and cons of cloud-based phone systems. The advantages of using a cloud phone system include reduced costs and the ability to change your service as your company grows easily.

Beware of the disadvantages of cloud telephony, such as security risks and the need for a stable internet connection.

2. Explore Cloud VoIP Features

Check out features like call forwarding, voicemail to email, and video conferencing to make the most of cloud PBX’s pros and cons. These tools make communication easier and more effective for your team.

3. Evaluate Traditional vs. Cloud Phone Systems

Think about the costs and ease of use when choosing between traditional vs. cloud phone systems. Cloud systems typically have lower costs and require less maintenance than traditional systems, which often involve significant upfront payments and ongoing maintenance.

4. Conduct a Cloud Telephony Cost Comparison

Perform a cloud telephony cost comparison to determine how moving to the cloud can save you money. You can save money on hardware and pay fixed monthly fees, making it easier to plan your budget.

5. Recognize VoIP phone system

Remember the benefits of using a VoIP phone system. These include improved call quality and the ability to work from anywhere. This flexibility is especially beneficial to remote teams, allowing them to remain connected and productive. 

6. Assess Cloud Communication Security Risks

Check the security risks related to cloud communication. Verify the security measures that your provider has set in place. Make sure they follow industry regulations to prevent violations of your data.

7. Plan for Smooth Transition

By providing your staff with new system training, you can provide a smooth transition. During the transition, provide assistance and resources to confirm that everyone is able to use the new cloud phone system efficiently and to reduce confusion.

8. Choose the Right Provider

It is essential to select a trustworthy supplier. Choose one that provides transparent Service level agreements (SLAs) and outstanding customer support. This will prevent surprises later on and confirm that you have assistance when needed.

Final Words

Cloud phone systems allow for flexibility and economies with VoIP and video calling. They are ideal for changes but dependent on good enough internet and there may also be possible security concerns.

When choosing a system, ensure it will meet your company’s needs, fully integrate with your existing tools, and provide constant service.

 A good system can improve the communication process and contribute to growth. Just remember to consider the benefits against the possible drawbacks before you make your choice.

FAQs

What are the pros and cons of moving to the cloud?

Here are the pros and cons of moving to the cloud:

Pros:

• Cost savings
• Scalability
• Accessibility
• Automatic updates
• Enhanced collaboration

Cons:

• Security risks
• Downtime risks
• Limited control
• Compliance challenges
• Long-term costs

What are 5 advantages of cloud storage?

Here are the 5 advantages of cloud storage:

• Accessibility
• Scalability
• Cost-effectiveness
• Data security
• Collaboration

What are two risks they will have if they use a cloud-based system?

Two significant risks of using a cloud-based system are:

• Data security and privacy
• Service downtime

What is cloud-based computing?

Cloud computing provides computing services such as storage, databases, and software through the internet, allowing for greater flexibility and scalability in the absence of physical hardware.