9 Reasons Why Cloud-Based PBX is the Choice of Businesses

Cloud-based PBX is one of the most preferred technologies when it comes to  business phone systems. These phone systems are hosted entirely on servers in off-site data centers and function totally over the internet. The popularity of Cloud PBX is increasing because of the numerous additional features that they offer over the traditional PBX.

In today’s world, there is a shift towards networked communications due to their agile and flexible nature. These networked communications require less maintenance and can integrate with other cloud-based tools to give a smoother experience than before.

While the traditional PBX phone systems are complicated and inept, the modern virtual PBX solutions are reliable and easy to set up and use. As the server is located in a different location and the entire phone system is completely cloud-based, Hosted PBX helps businesses to save resources required for server setup and maintenance.

Working of Cloud-Based PBX  

If you are acquainted with the traditional PBX system this would be a simple digital version of it sans all the cables and bulky hardware. In Cloud phone systems, all the devices are connected to the cloud-based phone platform.

Cloud PBX and VoIP systems are interrelated. This is because to use the Cloud PBX, a VoIP system is required. Therefore, to save further hassle for businesses various VoIP Service Providers offer both VoIP Service and the Cloud PBX together.

When compared to the traditional PBX, the cloud phone system is more reliable than the former one. While many people are still skeptical regarding the virtual phone system, it does not leave much space for doubt.

Multiple servers support the load thus maintaining the uptime for the service. This is a decisive factor as many businesses are still apprehensive to convert to the cloud phone solutions thinking of the reliability factor. And in addition to reliability, Cloud phone service is also ahead in terms of scalability as well. 

9 Reasons why Cloud PBX is the choice for businesses

Here are some of the major factors why businesses should opt for Cloud PBX.

Low-Cost Set-up & Maintenance

The traditional business phone system was downright costly. From the server, cables to calling devices, and more hardware for the whole system to function properly made the traditional PBX system a bulky and heavy maintenance one. The set-up was time-consuming, costly and so was its upkeep.

On the contrary, in a Cloud phone system, there is hardly any heavy hardware to set up or maintain. All the necessary software and installation are assisted and completed by the Service Provider.

Being a cloud-based service, this business phone system operates in a virtual environment. Therefore, businesses do not need to worry about server or any phone maintenance saving both time and money.

Flexible, Reliable, Scalable

Imagine the amount of time and resource it would require if a business starts expanding and needs to add multiple users. In the traditional phone system, it would take several days to complete the set up with all separate lines and connections.

But due to the flexible nature of the virtual phone system of cloud business phone service, it is very convenient to add or remove users without much hassle. Businesses can also integrate the existing traditional phone system hardware into the Cloud-based telephone system as per their requirements.

In terms of reliability, Cloud phone systems are ahead of the traditional system as multiple servers located at different places are always in action and are able to maintain the uptime for the services. Also, businesses with a virtual Phone system find it easier to manage as most of the heavy lifting regarding technical details and server are managed by the Cloud PBX service provider, thereby leaving them to concentrate on their main goals.

Integration with Other Technologies

Traditional phone system integration with other technologies was a difficult feat to achieve. Since it lacked many of the upgraded features as in the cloud PBX and most importantly the internet access, the traditional phone system faces a huge drawback here.

With rapid digitalization and the gradual shift of all technologies towards the virtual platform, Cloud based phone systems here have an upper hand. Being already cloud-based and enabled with the ability to use the internet, it is much easier to integrate this phone system with any other technologies like marketing automation or CRM software for effortless data management.

Unified Communication

Technologies in the 21st century are becoming more compact and trying to provide all-in-one solutions. Therefore things like integration with other technologies and unified communication are gaining momentum.

While this would be far-fetched for the traditional phone system with a limited bunch of features, the Cloud PBX can easily achieve this. With this virtual phone system, users in a company’s network can experience a complete set of features and also switch from calls to video conferencing while simultaneously sending files to one another.

Better Call Monitoring & Call Management

In terms of calling features, the Cloud phone system has left its traditional counterpart far behind. In addition to standard features like call queuing, IVR functionality, call conferencing, web conferencing other advanced features are also available.

While the feature of call monitoring existed with the traditional phone system, with the virtual phone system it has gone several miles ahead. In-call management features like call barging, call recording, advanced call monitoring and reporting are readily available now. These features help to create a team-based environment and help in overall performance.

With call monitoring and call management, businesses can review the performances of their agents and also identify the parts that need improvement.

Better Collaboration

With access to the internet and together with unified communications and integration with other technologies, the virtual business phone system has way better collaboration abilities as compared to the traditional one.

The hosted cloud phone system increases collaboration across the entire business. It helps to link various departments on a higher level where sharing information is quick and simple.

Teams can collaborate one-on-one or form groups and message, call or share files even while conferencing. It helps improve the workplace environment by bringing in greater and better interaction all the while increasing productivity.

Device Compatibility

Traditional PBX has fixed phone lines which limits its mobility. And being connected from a different location other than the office premises would be impossible. And therefore to keep up with the present, the solution of this lies with the Cloud PBX.

Today’s world is fast paced with many people having to stay connected and work even while travelling. The combination of Cloud PBX and smartphone here saves the day. Various Cloud PBX providers offer apps supporting multiple platforms like iOS, Android and more.

Through these mobile apps business personnel would get access to all the features as in a computer or the devices used at the office location. Here, with Cloud phone service businesses can make use of the device-friendly feature to the full extent.

Auto Updates & Data Backups

As a Hosted phone system, Cloud-based PBX does not need any manual update as required in the traditional phone systems. Here all that is necessary to keep the system in good condition is software updates. The latest versions of the software usually bring an improvement to the existing version along with some additional new features as well.

With carrier-grade servers working round the clock, data backup is not an issue in the cloud phone system. Cloud service providers also offer high levels of security to keep all the sensitive business information safe.

Remote access

Virtual phone systems eliminate much of the physical hardware. The server is hosted at a different location, phone systems are mostly devices that are user-friendly and offer mobility, and often as the software is installed in private mobile devices removes any further need for phones.

Remote access is a very big advantage for Cloud telephone systems. It also helps to keep the data safe in any case of damage or destruction at the office location.

In addition to this, with the help of a virtual phone system, businesses can also include a remote workforce who can work for their location just by installing the software in their own device like any laptop, PC, or smartphone.


Simply said, the Cloud PBX brings a lot to the table. It improves communication in ways which was impossible with the traditional phone system.

Mobility, flexibility, scalability, integration with other techs, remote access, collaboration, advanced features, better security, and much more completely changes the way we perceive communications in a business or office.

And the best part is as the cost for this virtual phone system is less, even small businesses can easily opt for Cloud-based PBX.

Note- This blog was last updated on 12-01-2022.

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