The $22-billion call center market — dominated by legacy solutions from Avaya, Cisco Systems and Genesys — is ripe for disruption. Of the estimated 14.5 million call center agents worldwide, 95 percent of them still sign into on-premise offerings.
However, thanks to Software-as-a-Service (SaaS) total cost of ownership (TCO) savings of as much as 40 percent and relatively easy implementations, the transition to the cloud has already begun: It’s estimated that within two years the cloud penetration rate in call centers will reach 13 percent.
At this month’s JP Morgan Global Technology, Media and Telecom Conference, Mike Burkland, CEO of Five9, an emerging provider of on-demand software for contact centers, explained that the migration to the cloud is tied to the refresh cycle for on-premise solutions. Instead of spending big bucks to upgrade to the latest legacy offerings, the refresh often acts as a trigger opportunity to bring call centers to the cloud.