Contact Center as a Service, often abbreviated to CCaaS, is cloud-based software used to manage contact centers, formerly known as call centers. It can provide a variety of cloud, digital and AI-powered capabilities to optimize contact center operations and deliver exceptional customer experience.[1] In recent years CCaaS has become a core solution of the CX (customer experience) industry, with the CCaaS market size expected to reach $17.19 Billion by 2030 in the United States alone.[2]

Background

Dating back to the early 2000s, innovators saw the potential for call centers to have software hosted in the cloud. While quite basic compared to today's technological advancements, call centers began to switch from legacy, on-premise software solutions to ones hosted on the cloud. At the time many of these services were categorized as software as a service, but overtime CCaaS emerged and a wider CX industry branched out from more general cloud software solutions. Other technologies that predated CCaaS were also developed in a call center environment, this included VoIP or voiceover IP.[3]

CCaaS in recent years has been at the forefront of artificial intelligence adoption.[4] One such example is the use of chat bots, which have seen significant advancements in their evolution using technology such as Machine Learning, Natural Language Processing (NLP) and Natural Language Understanding (NLU) resulting in bots capable of handling a wide range of customer issues efficiently in the self-service channel.[5] A report by VentureBeat in 2022 also alluded to the rapid rise of automation in contact center environments,[6] with other media stories also commenting on the rise in use of CCaaS solutions.[7]

In 2023 MetriRank had its inaugural release, ranking CCaaS providers based on a number of factors.[8]

Industry and growth

Contact Center as a Service can be offered as a cost saving solution for many organizations.[9] Along with cost savings, CCaaS platforms are gaining momentum for a number of reasons. The platforms make AI innovation more accessible, while also expanding the scope for integration and increased scalability. By increasing scalability, organizations are able to cope better with fluctuations in demand.[10]

Another major benefit of CCaaS is the facilitation of hybrid and remote workforces. Previously on-premise solutions made it nearly impossible to effectively deal with and management the day-to-day operations outside a fixed work environment.[11] CCaaS migration is becoming a standalone solution provided by many CCaaS companies, due to the large number of those transitioning to the cloud solution.[12]

References

  1. ↑ "What is Contact Center as a Service (CCaaS)?". NICE Ltd.
  2. ↑ "Contact Center as a Service Market Size to Reach USD 17.19 Billion in 2030". Bloomberg. May 23, 2022.
  3. ↑ Chai, Wesley. "Background of Contact Center as a Service (CCaaS". Tech Target.
  4. ↑ Goldberg, Emma (July 19, 2023). "'Training My Replacement': Inside a Call Center Worker's Battle With A.I." NY Times.
  5. ↑ Kulkarni, Alok. "The Future Of CX: Why Companies Are Merging Cloud Communication Platforms". Forbes.
  6. ↑ "Report: Automation in contact centers increases to 95%". VentureBeat. September 5, 2022.
  7. ↑ Cooban, Anna (July 12, 2023). "This CEO replaced 90% of support staff with an AI chatbot". CNN.
  8. ↑ "Contact Center-as-a-Service MetriRank 2023". Metrigy. July 31, 2023.
  9. ↑ Heim, Anna (April 22, 2021). "Customer care as a service: Outsourcing can help your startup wow clients 24/7". TechCrunch.
  10. ↑ "The Forrester Wave for CCaaS 2023: Top Takeaways". CX Today.
  11. ↑ "Top CCaaS Vendors for 2023". CX Today. April 2, 2023.
  12. ↑ "DPG Media Discusses Its "Radical" CCaaS Migration, Shares Lessons". CX Today. August 17, 2023.
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