What Is Cloud Telephony System & How It Works?

What is Cloud Telephony

Want to reduce the cost of your phone system while increasing its functionality? You’ve probably heard of cloud telephony and wish to discover if it may benefit your unique use case.

If you’re considering switching from your current business phone service to cloud telephony, you’ve come to the perfect spot. In this article, we’ll go over the fundamentals of cloud telephony, how it works, how it helps your organization, and how to pick your cloud telephony provider.

What is Cloud Telephony?

Cloud telephony can also be referred to as cloud calling or cloud communication. It is a sort of unified communications as a service (UCaaS) that combines numerous communication systems and collaboration capabilities while providing voice communication services via a third-party host, a cloud telephony service provider. It is a web-based or application-based communication platform that allows for remote access through the internet. It replaces traditional, costly, and time-consuming on-premise phone systems with innovative, cost-effective, and rapid remote phone systems that can be accessed from any computer or mobile device with an internet connection. It is also known as a hosted Private Branch Exchange (PBX) solution based on VoIP that shifts company phone service to the cloud. 

Cloud telephony technologies simplify corporate communications and scale with the company. Whether you are expanding your business, shifting to a bigger office, hiring remote employees or adding more employees to your team, with the help of cloud calling, you can make it effortless and cost-effective. 

Furthermore, cloud phony system offers the following advantages to businesses:

  • Ownership costs are reduced.
  • Reliability 
  • High availability or uptime
  • Scalability
  • System advancements and updates

How Does Cloud Telephony System Works? 

A Cloud telephone system works with the help of voice over internet protocol (VoIP). When an agent dial or call the number whom they want to call, your service provider handles all the routing process. In technical terms, it converts analogue voice signals into data packets and transmits them over your internet connection. That’s how your phone connects to the person you’re dialling.

Individual phone extensions would be replaced by a VoIP desk phone on your end. Instead of using a landline, you plug your phones into your current network. You may also utilize a softphone, which is a computer, tablet, or smartphone app. In both situations, you’re dialling from a contemporary, user-friendly interface and making a call in a matter of seconds.

Because cloud telephony is hosted in the cloud, you can manage your company phone system via an online dashboard, giving you complete control over phone numbers, call routing, adding new users, and more.

What Is The Difference Between Cloud Telephony Vs. Traditional PBX? 

Employees who are the end-user of the call or who pick up the call would not feel any kind of noticeable difference between cloud phone and traditional PBX. But, when we look inside the system, there is a whole different thing. 

The best of cloud telephony is that you don’t have to keep any physical device or equipment. Your employees can connect with each other or the prospects, and they just need an internet-connected device. Even they can call from anywhere in the world; they just need wi-fi or 4G connection. 

Starting with cloud telephony is simple and cost-effective from the standpoint of any organization. Instead of a complicated and costly process to connect to the PSTN, all you need is a VoIP service provider and a stable broadband connection.

Traditional PBX is a considerably more difficult task to set up and manage. This is why: 

The first consideration is the cost and labour of setup. A telephone provider must come to your site and install stationary equipment, and you will be charged for both the work and the equipment.

You must also manage the technical configuration of the Private Branch Exchange (PBX) equipment at your site. If something overheats, breaks, or becomes outdated, it must be repaired or replaced. It’s not only expensive, but it also erodes your team’s productivity and attention.

A typical PBX raises the cost of your phone calls, particularly long-distance calls. It only provides basic calling capabilities, which might be inconvenient if you wish to use sophisticated services such as HD audio, voicemail-to-email, or call analytics.

If your business is expanding, you may wish to create more locations, add extra phone lines, or implement remote working possibilities. Traditional PBX systems are difficult to scale because they require additional equipment, maintenance, and expenditures. They are also inconvenient for employees who travel for business and need to stay productive because their phone number is linked to an actual desk phone.

A traditional PBX system might be an excellent alternative for small businesses with few changing demands and no plans to grow. However, if you want to expand and ensure that your phone system doesn’t keep you down, a cloud phone system will be ideal.

Voice Cloud Communication Products That Can Help Your Business To Grow 

  1. Cloud Contact Center
  2. IVR software Solution 
  3. Virtual Number 
  4. Number Masking 
  5. Missed Call Feature
  6. Lead Management 
  7. Automated Outbound Calling 
  8. Toll-Free Number 
  9. Click-to-call
  10. Auto Dialer 

Benefits of Cloud Telephony

What does a phone system issue mean for your business? A lot, according to our State of Business Communication Report, and it might become worse. In 2019, 83 per cent of businesses lost a customer, missed a crucial deadline, or fired an employee due to a communication breakdown.

It comes as no surprise. Our working environment has grown dynamic and diversified, and we require technology to stay on top. If you don’t want to lose a customer, an employee, or your peace of mind due to communication issues, here are some cloud telephony advantages you should be aware of.

  • Easy and Quick Installation

Implementing cloud telephony requires no on-premise infrastructure. This advantage means you can be up and running in just a matter of days; in some cases, it can be installed in just a few hours. 

There is no waiting for a technician, no phone line installation, no delays, and no time-consuming procedure of employing full-time staff to configure your new telephone system. Everything is handled by your cloud telephony provider. You’ll obtain virtual phone numbers right away, as well as access to a dashboard where you can control the full phone service.

  • Your phone system’s adaptability and scalability

A cloud phone system can make business pretty easy. A VoIP solution, in particular, will allow you to add extra users with a few mouse clicks.

You’d have to pay extra every time you hired a new employee and wanted to allocate them a phone line using standard PBX. Their desk phone requires wiring, which might take some time to install. If you rely on an on-site phone system, your expansion will always cause delays and extra expenditures.

A cloud-based PBX is not only scalable but also simple to administer. You do not need to be an IT professional. For example, if your call volume spikes during the busiest periods of the year, you may quickly add and delete lines.

  • Reduced operating costs for your company phone system

There are several ways that cloud telephony services might save you money. You may save up to 65% off your regular phone bill. Cloud telephony not totally eliminates but minimizes your company of maintenance contracts, limited calling minutes, restricted local and toll-free phone lines, and the cost of separate corporate SMS services.

There are no unexpected maintenance charges or invoices with cloud telephony. If you’re bootstrapping and want to get started as cheaply as possible, you may forego purchasing VoIP phones and instead utilize computers with headsets via softphone software.

  • Enhanced mobility 

Over time, companies are progressively shifting to remote working alternatives. Hosted phone systems are the ideal solution for this.

As long as they have an internet connection, your employees may access their corporate phone lines from anywhere in the world. It’s not just for taking calls; customers can also check their voicemail and set up or adjust call routing while on the road.

Cloud telephony is suitable for businesses that value remote work, have satellite offices, or various office locations.

  • Robust and effective calling features

We’re not simply talking about things that appear excellent on paper. Cloud telephony’s advanced calling capabilities enable you to work smarter and more effectively and focus on the right things at the right time. You may eliminate manual, repetitive processes and improve team cooperation and customer service.

Below we have mentioned some of the most helpful cloud telephony call management features:

  • Auto-attendant, which directs your caller to the appropriate team.
  • Call forwarding is the process of handling inbound calls based on established criteria.
  • A more conversational alternative to automated customer support is Advanced Interactive Voice Response (IVR).
  • Call forwarding allows you to route calls to any desk phone or mobile phone.
  • Remote meetings can be more effective using video conferencing and screen sharing.
  • Toll-free numbers enable consumers to call you from landlines without incurring additional toll charges.
  • Local phone numbers will allow you to develop a local presence anywhere you wish.
  • Call recording is done safely and reliably so that you can provide exceptional service.

Even better, you’ll get access to these services as well as HD audio and video call quality. This is a massive advantage for remote teams. Nothing is more annoying than a bad-sounding conference call.

  • Excellent dependability and resilience

Can you afford to lose your clients or customers by going unavailable? What are the implications for your business if something goes wrong with the electrical grid? Faulty wiring, overheating, or a little storm may disrupt your connection and reputation.

Reputable cloud telephony solutions guarantee 99.999 per cent uptime, allowing you to continue working uninterrupted no matter what happens. It also features built-in redundancy, so in the event of jitter or other difficulties, your calls will remain online, and you will always have a backup available.

Cloud communication is convenient for storing and accessing all of your data on a single platform.

  • Work Gets Easier With Integrated Communications

Cloud communications allow you to store and access all of your data on a single platform.

When you utilize different systems for calls and meetings, you end up with notes and essential facts scattered all over the place. Notebooks, computer notes, spreadsheets, Post-It notes, and so on. Finding previous exchanges might take a long time and disrupt everyone’s flow.

Everything is consolidated into a single user interface with cloud telephony. It may be used to work with colleagues, manage clients, evaluate real-time data, collect feedback, and advance critical initiatives.

You’ll streamline your corporate communication routine and go through your day more effectively. No more annoying interruptions or wasting time looking for critical information.

How To Choose A Good And Reliable Cloud Telephony Service Provider

When going out for a cloud telephony solution, here are the things you should consider before choosing a solution for your call center. 

  • Service Quality and Reliability
  • Customer Support 
  • Actual Pricing For The Service
  • Security And Industry Compliance
SanCCS: The Best Cloud Call Center Solution

SanCCS by SAN Softwares could be the best suitable cloud telephony software for your call center or support center. It is easy to set up and scale calling software that has almost all the essential cloud features that a calling software should have. We have added a few features:

  • Automated Call Distribution
  • Real-Time Analytics and Report
  • Multilevel IVR
  • Self-Designable Web-Based CRM
  • Seamless Integration
  • Skill Based Routing
  • Agent Performance MIS
  • Unified Agent Desktop
  • Click to call
  • Thoughtful UI
  • Omni Channel
  • Customer service

Frequently Asked Questions

Cloud telephony, also known as cloud calling, is a technology that allows businesses to make and receive phone calls over the internet rather than using traditional phone lines. It integrates various communication tools, including voice services, through a cloud-based platform. This system eliminates the need for on-premise equipment and offers scalability, reduced costs, and ease of management.
Cloud telephony works by using Voice over Internet Protocol (VoIP) to convert voice signals into data packets. When a call is made, these packets are transmitted over the internet to the intended recipient. The entire process is managed by a cloud telephony provider, and users can make calls using a desk phone connected to the internet or a softphone app on their devices.
 Cloud telephony offers several advantages, including:
  • Reduced ownership costs
  •  Easy scalability and system upgrades
  • Enhanced flexibility by enabling agents to work remotely.
  •  High reliability and uptime
  •  Remote accessibility, allowing employees to make calls from anywhere
  • Advanced features like call routing, IVR, and call analytics.
The main difference between cloud telephony and traditional PBX systems lies in the infrastructure. Cloud telephony operates entirely over the internet and requires no physical hardware on-site, making it more flexible and cost-effective. Traditional PBX systems, on the other hand, rely on physical equipment and are more expensive to install and maintain. Cloud telephony also offers better scalability and advanced features that traditional PBX systems lack.
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