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Cloud based phone systems

Cloud based phone systems for your business explained

November 25, 2020

Cloud based phone technology is propelling today’s businesses, providing agile and affordable phone system solutions that enhance customer experiences, streamline business processes and improve efficiencies.

And the appetite for it amongst businesses is growing. So, what is a cloud based phone system and how does it work?

What is a cloud business phone system?

A cloud phone system is a phone service that allows you to make and receive calls over the internet. Rather than maintaining software via a server, such as a private branch exchange (PBX) on the business premises, cloud phone systems and all of its information and data is hosted in the cloud by a third party service provider, like Business Telecom.   

They can be used across any internet-enabled device such as computer software, Voice over Internet Protocol (VoIP) enabled phones, smartphone apps and even traditional phones with adapters.     

What’s the difference between a cloud phone system and a traditional phone system?

A cloud phone system replaces traditional landlines that are slowly being phased out. Unlike cloud based phone systems, traditional telephone lines rely on networks of copper wires, branch exchanges and switches. These days, traditional phones can work through VoIP, which runs the phone lines through internet connections. Cloud phone systems take the concept further by using the internet to transmit your voice as data.

Because cloud phone systems are hosted in the cloud, there’s no need for big, expensive hardware to be stored onsite. All you need is a broadband internet connection to start making calls. Purchasing a hosted cloud phone service is done via a service provider, and you then pay ongoing fees usually on a subscription basis. Installation is also a quick and easy process that can be completed in a matter of minutes.

(H2) How do cloud based phone systems work?

Cloud based phone services are delivered entirely over the internet by transferring voice signals between two IP addresses. Because everything is hosted offsite, deployment and set up is quick and easy, freeing up businesses from ongoing IT maintenance, repairs and upgrades.

It works like this:

  • Voice signals are transmitted into pieces of data that travel through the internet to the VoIP provider, which is then sent to the receiver.
  • The VoIP service provider uses the cloud based Private Branch Exchange (PBX) to route the call.
  • Call data can be sent to any VoIP phone or landline.
  • When the data reaches its destination, it converts back into voice signals.

In the early days of VoIP, there were concerns and issues regarding call quality and lag, but today phone calls over the internet are common and deliver exceptional call clarity.

What to consider about cloud phone systems

With the rollout of NBN, now is a smart time to be assessing your business phone solution. There are a few things to think about when deciding whether a cloud based phone system is right for your business.

One of the key considerations is that your phone service and applications run entirely via the internet in the cloud. If your bandwidth is good and you have strong, reliable connectivity, then it’s a great idea. But if you don’t, then you’ll struggle to benefit from a cloud system, as it won’t work effectively to its full potential.

If you are moving your phone system to the cloud, make sure you consult your service provider to ensure they have your connectivity set up in a way where if one internet provider has an outage, there is some form of backup available to you so that your business isn’t impacted.

Why use a cloud phone system for your business?

A cloud based phone system offers more in the way of features and productivity than a legacy phone system. When you combine it with remote working capabilities, a cloud phone service can make communicating and collaborating easier. 

With a cloud system, you save on costly maintenance and updates, because everything is handled by your service provider and easily updated in the cloud, so you don’t need to buy new equipment.

For a small business, it means they too can benefit from an array of unified communications features that normally only a premise based enterprise phone system would provide. This includes voicemail to email, auto attendants, instant messaging, extension dialling, follow-me features and mobility.

Who can benefit from a cloud phone system?

As more service providers are offering cloud voice solutions, more businesses are making the switch, but is now the ideal time for you? You need to consider your business size, needs and budget to decide whether it’s a good fit.

Here are a few scenarios where businesses may benefit from upgrading to a cloud system:

  • Businesses without a team of IT staff who can oversee and maintain PBX equipment onsite
  • Businesses operating at multiple sites
  • Growing start-ups with unpredictable future capacity needs
  • Businesses that require flexible remote working capabilities
  • Businesses without a traditional office space
  • Seasonal businesses with fluctuating communications needs

If done right, moving your business communications to the cloud will increase performance, flexibility and reduce your monthly bills.

Are you considering a cloud based phone system for your business? At Business Telecom, we offer complete cloud phone service solutions to meet your communication needs. Get in touch with us today to get started.