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VoIP and Lower TCO Stoke Hosted On-Demand Contact Center Trend

Product Type: Market Research Report
Published by: Yankee Group
Published: October 2006
Product Code: R388-2289
Description
The Hosted Contact Center: A Recycled Solution with a New Technology Twist

Call center solutions have traditionally been provided by customer premises-based hardware and software implementations operated and managed by the telecommunications or IT organization within the enterprise. The Automatic Call Distribution (ACD) functionality was initially introduced as a subsystem of the general business telephony process by switch providers such as AT&T, Fujitsu, Mitel, NEC, Nortel and Siemens. As the needs of users became more rigorous and the requirements for call distribution became more robust, these ACD applications became more sophisticated and suppliers such as Aspect Communications and Rockwell began offering standalone ACD products to work with a multitude of major business telecommunications switches. For several decades, such premises-based standalone ACD products remained the “gold standard” for companies attempting to differentiate their customer call centers and customer service capabilities from the crowd.

Although managed service providers have made several attempts since the 1990s to provide ACD and call center functionality via an off-premises hosted or managed solution such as Centrex ACD, premises-based solutions continued to dominate the marketplace. Hosted solutions were simply considered substandard when measured in feature capabilities, ease of application integration, security and geographic coverage capabilities. System reliability and flexibility were also concerns at that time. This was especially true for company executives who considered their call center functionality a mission-critical ingredient to the success of their corporation.
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