Why Cloud Phone Systems Cost So Much Less than Conventional On-Premises Phone Systems

VoIP for Business

It’s NOT Too Good to be True: Why Cloud Phone Systems Cost So Much Less than Conventional On-Premises Phone Systems

Though we’d rather not admit it, we’ve all suffered the misery of purchasing something that was so inexpensive that it seemed too good to be true — but we went ahead and bought it anyway, only to discover that the little voice in our head was 100% right.

For example, how many of us have bought an ultra cheap toaster, only to have it break down in a matter of months, weeks — or sometimes even days? And how many times have we booked a bargain basement motel room, only to find ourselves lying awake in bed at night wondering if they’re filming an episode of COPS on the property.

However, sometimes when we’re faced with a surprisingly low price for something, it’s actually NOT too good to be true. And one of the best examples of this is a cloud telephone system. Here are the 10 key reasons why:

  1. With a cloud phone system, there is no expensive on-site Private Branch Exchange (PBX) system to purchase, along with one or more servers and interface cards. All that organizations need to purchase is IP phones, a managed router, and (if necessary) a network switch.
  2. With a cloud phone system, there is no need to purchase and maintain a separate IT infrastructure for telecommunications. This is because all voice and unified communication functions (e.g. instant messaging, video conferencing, etc.) run on an organization’s existing data network, which is already being used to transfer files, send/receive emails, connect to the web, and so on.
  3. With a cloud phone system, there are no domestic long distance costs — which can save organizations anywhere from $20/month to over $100/month.
  4. With a cloud phone system, all technical support, maintenance and ongoing upgrades (e.g. security patches, innovations, etc.) are handled by the VoIP Solutions Provider. There is no need for organizations to hire in-house VoIP specialists, or burden their (already exhausted) IT team.
  5. Because a cloud phone system uses an off-site PBX, organizations reduce their electricity consumption — and hence their utility bill. They also free up usable office space that would otherwise be required to house an on-site PBX system and associated hardware.
  6. Unlike a conventional phone system, a cloud phone system doesn’t count every single employee as a user. Instead, what matters is how many open lines (a.k.a. seats) an organization needs. This is substantially cheaper for organizations that have a large workforce, but either don’t need to give everyone their own dedicated phone line, or typically only have a small number of employees making/receiving calls at the same time.
  7. Conventional phone carriers are notorious for increasing fees. With a cloud phone system, the price in the contract is the price that organizations pay — guaranteed.
  8. When a conventional phone system reaches its end-of-life or full capacity, replacing it can cost hundreds of thousands of dollars. With a cloud phone system, this is a non-issue. The system never needs to be replaced, and scaling up (i.e. adding more seats) is affordable, takes a matter of seconds, and can be done from anywhere through a web-based portal.
  9. Expanding a cloud phone system to new locations is remarkably simple and 100% free: organizations simply unplug their IP phones, and plug them back in at the new location. This is not the case with a conventional phone system, which comes with a hefty MAC (move, add, change) costs.
  10. With a cloud phone system, organizations can stay connected with remote workers through a free mobile app. This is simply not an option for a conventional phone system at any cost.

The Bottom Line

Alas, some things in life are too good to be true (like those bracelets that claim to cure arthritis). But some things in life are less expensive for rational and verifiable reasons. A cloud phone system clearly falls in this category, which is why so many organizations have made the switch. For example, here is what our customer Graham County Schools had to say:

“Our phone system had been out of date for years, and everyone we talked to said that it was going to cost us well over $100,000 to replace it — which was simply not feasible for us as a small school system with a limited budget. That is when we came across Carolina Digital Phone and everything changed. They were friendly and very well versed in the product, and the cost was well within our budget. We also purchased affordable IP phones, and the monthly savings will pay for them in the first year or two. The experience with Carolina Digital Phone continues to be wonderful. They came and installed everything, and worked great with our IT department. I would recommend them to anyone looking for a new phone system!” Robert Moody, Assistant Superintendent at Graham County Schools

To learn more about how we can help your organization reap substantial and ongoing savings, contact us for your free, no risk and no obligation consultation and demo.

We can visit you at your location, or connect with you over the web. Call us now at (336) 544-4000.

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.