Contact Center: Hosted vs Buy

The hosted business model gives enterprises access to contact center infrastructure and the other contact center applications they need to cost effectively provide an efficient and outstanding customer experience.

The hosting business model:

-Allows companies to acquire functionally rich technology and applications without a large capital investment or long-term commitment.

-Is highly scalable  and gives users ongoing technical support and access to innovation and upgrades at no additional cost.

-Provides ease of provisioning, a reduced maintenance burden and the opportunity to “try before you buy” 

Another important factor to take into consideration when doing a host vs. buy analysis is the impact of ongoing operating costs. When the cost of IT support staff and rent and occupancy are added to the equation, it also slants the financial decision in favor of hosting, in many situations.

DMG Consulting cautions that if an organization were to purchase a premise-based contact center solution and not make any upgrades or enhancements over the life of the asset, it would likely cost them less than if they used a hosted solution. However, if an organization plans to keep their ACD current, take advantage of product enhancements, or has to upgrade their hardware every few years, it is likely that a hosted solution would prove more financially beneficial. 

Liveops, which offers innovative solutoins aimed at solving technology and workforce needs for today’s business, has sponsored a DMG Report: Hosted Contact Center Infrastructure Market Report.  This report is a ‘must-read’ if you are looking into hosted technology.

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