According to TechTarget, “Many on-premises systems are still out there, according to a Nemertes Research study on unified communications and collaboration. More than 700 companies participated in the study, and 47% of them still use on-premises platforms for their telephony and UC needs.”
The article goes on to state that “Just 28% have fully migrated to a pure-cloud UCaaS product in which telephony and unified communications services are provided via a multi-tenant, shared service on a subscription basis.”
Larger enterprise (2500+ employees) operate depreciated PBX systems, while Cisco and Microsoft have been pushing them to adopt Spark and Teams. In many respects, Cisco and Microsoft will win a majority of the market share.
I see a couple of problems with this kind of thinking: “CenturyLink may be motivated to help its business customers save money by migrating to IP-based voice service, but the telco is finding that businesses see efficiency and usability for their employees as the key drivers,” in a Fierce article.
Why are we still banging the “Save Money” drum? Especially from a telco that got crushed due to saving money?
“CenturyLink conducted a survey with 250 IT decision-makers that looked at hosted VoIP as well as the challenges, benefits and drivers of using or considering a hosted VoIP solution….While service cost and security are key considerations in migrating to managed VoIP, 60% of the survey respondents said they’re likely to evaluate new hosted VoIP solutions in the next year to be more efficient and innovative. Concerns about cost/ROI and security/visibility in the network each garnered response rates of almost 25%.”
We have market research (at least 10years of it) and ignore it all to sell what we want/have the way we want/have. Definition of Insanity.
Innovation may be what drives some customers.
Amazon’s Alexa for Business is one big innovation. And as I mentioned it takes the tech out of the way of the small business user. THAT is what should have happened years ago. Instead we fight over which phone type and who is paying for the handset and install.
And who was a collaborator with AWS? RingCentral. How wasn’t it Vonage Business, the Amazon Chime partner?
“These integrations with Amazon® Alexa enable the use of voice commands to join meetings, send text messages, listen to voicemails, and make calls in an easy and intuitive way. RingCentral Meetings™ for Alexa for Business reduces the friction of starting and managing online meetings or conference calls simply by using voice commands.”
Another interesting move comes from Craig Walker at DIALPAD. “Dialpad has announced the release of a new service, intended to help small businesses and remote workers by eliminating their monthly phone bills. This new release, Dialpad Free, extends the company’s missions statement from “Kill the Desk Phone” to “Kill the Phone Bill,” by offering a free business phone system without a trial period.” [UCStrategies] [Note: It is only available to G Suite users in the Bay area currently.]
And a final new look is the Cloud Key System that AireSpring rolled out. This is what telecom can sell: Replacement service with a cost saving. Wheel House!
Hosted VoIP and UC Players are going to have to re-think their product offerings in 2018. They will need to get Creative to combat the consumerization of comms.