If you think that a phone system is an added expenditure for your business, it is time to rethink your priorities. Communication is the golden key that could help your organization climb up the ladder of commercial success faster. After all, productivity increases by 25% in organizations that have a team of well-connected employees.

Gone are the days of using traditional copper-wired phone lines. If you want to introduce speed, agility, and flexibility in your communication practices, it is time to adopt a hosted phone system. What exactly is this new technology all about? Let’s delve into the concept a bit deeper.

What Is Meant By A Hosted VoIP Phone System?

A hosted VoIP phone system refers to a phone network that is not based on your company premises. If you invest in hosted PBX solutions, the server (nerve center of applications) is based at a location other than the physical organization premises. 

A modern VoIP phone system is generally hosted in the cloud, hence all your precious data remains safe and your organization just has to pay a monthly subscription fee to a vendor. Your service provider will ensure that your team members have desk phones and they will just need to connect them to the Internet to communicate with internal or external stakeholders.

Why Does Your Organization Need Hosted IP PBX Solutions?

Here’s a surprising fact – new businesses that switch to hosted VoIP systems can save up to 90% in initial startup costs. This clearly shows how beneficial hosted PBX solutions are for all kinds of businesses, especially new ventures or small-medium enterprises. It is a smart way to increase profitability and requires less capital expenditure.

Unreliable or faulty communication networks can lead to unproductivity and low employee engagement. Organizations need to implement the best business communication practices to create a positive work environment and gain a trustworthy reputation in the market. Investing in the best-hosted small business phone system is one of the smartest business decisions as it will have a profound lasting impact and lead to these transformational advantages:

      • Cost and Savings:

        Cost-effectiveness is perhaps the biggest reason to opt for hosted PBX service. Communication expenses eat into a large portion of business revenues, hence companies are always on the lookout for economical call plans. Hosted VoIP phone platforms eliminate the need of making an upfront heavy investment for a bulky telephone system. Most hosted PBX service providers offer competitive and cost-effective pricing plans that are customized to suit business needs. PBX hosted systems require hardly any infrastructure as the entire servers are maintained by a third-party and organizations only need to ensure high-speed internet to conduct business communication smoothly.

      • Scalability:

        All businesses need a telecommunication system that can grow to cater to their changing requirements. Hosted PBX solutions are highly scalable and modern service vendors allow you to purchase extra phone lines or extensions whenever needed. Organizations do not need to pay for features that they will not use, and it is possible to add extra modules to your package at a later stage. This makes hosted VoIP phone platforms extremely convenient, and business owners will not need to go for a complete communication system overhaul as their business grows – just add the extra features or extensions without any complications!

      • Outsourced Maintenance:

        One of the biggest reasons that companies refuse to adopt virtual telephony is due to the myth that it is very high on maintenance. Implementing hosted PBX solutions is very convenient as the maintenance and upkeep of the servers are handled by an external third-party in an off-site location. This means that your organization will not have to hire many staff members and train them to upgrade and maintain the phone system – all the service, support, and maintenance will be managed professionally. Your company is guaranteed apex HD audio quality at all times, and there is no chance of downtime or line issues.

      • Complete Reliability:

        No business wants to compromise on their business communication. It is 100% essential, and businesses need to go the extra mile to open the paths of communication with clients, suppliers, shareholders, or other stakeholders. A PBX system is to transform business communication platform such as phone calls, instant messages, video conferencing, and live chat. At no time will you experience any difficulties such as time lags, dropped calls, or faulty connections. You can be assured that each call that you make will provide you with crystal clear audio quality, as internet telephony is known for its superior voice quality over traditional PSTN phone connections.

      • Accessibility:

        We live in the 21st century, and companies want a flexible telecommunication solution. A hosted PBX phone system provides flexibility to sales team members on the field, managers traveling for work conferences, and employees working remotely as all they require is a working internet connection to make or receive calls. An increased level of accessibility is highly important these days as it empowers your employees to work from any location. Customers can call at any time of the day and get a quick response for any query that they may have – there is no need for them to wait for working hours or specific times. A hosted IP PBX solution is a long-term asset and it can have a profound positive impact on bottom-line parameters such as customer satisfaction and quality of support service.



Any Disadvantages In Using Hosted PBX Phone Systems?

So, you are quite certain that you need to get a PBX phone system for your organization. However, if there is still a nagging doubt in your mind, here are some disadvantages that you may face if you get a hosted PBX VoIP phone system:

  • Signal Interference:

    One of the possible disadvantages of hosted PBX phone solutions is that there may be signal interference at times that leads to poor audio quality. There also may be a time lag when the call is transferred to mobile phones and this leads to distorted business communication. VoIP-hosted PBX systems need an internet connection to function, hence if there is any breakdown it will lead to communication disruption that is beyond the control of the phone service provider.

  • Vendor Lock-In:

    It is important to choose a credible hosted PBX phone system vendor as there are chances that there may be a contractual lock-in period. Though certain service providers in the market waive off the condition of a lock-in period, most of them give a better pricing plan if an organization signs up for a longer time such as an annual plan. Hence, if you are not satisfied with the features or vendor performance, it may be difficult to switch due to the lock-in period.

It is the era of Internet telephony, so jump on board and ditch the traditional wired telephone system. Enjoy the limitless potential and novel features of hosted PBX phone solutions. It will give a new venture or small business the ability to compete with rival organizations, and capture a wider target audience. The main appeal of a hosted PBX phone system is getting a tailor-made solution with all integrations without the hassles of any maintenance or up-gradation. It also helps that it comes at just a fraction of the cost of a PSTN phone connection and will definitely help your organization boost up profits.

Effective communication can ensure that your clients remain delighted with your service and keep employees engaged in the workplace. Make sure not to ignore your communication practices or you will get left behind in the competitive race. Surge ahead of rivals and gain a strong edge by adopting innovative hosted PBX phone systems. It is the best way to enhance all vital performance parameters and escalate up the ladder of commercial success!

Updated : July 26, 2021


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