What is Contact Center as a Service (CCaaS)?

Contact Center as a Service (CCaaS) provides companies a low-maintenance system for serving customers on multiple communication channels. Businesses can access all the channels and features they need through provider-hosted, cloud-based software on a desktop computer.

This article will cover CCaaS in depth, explaining its key features, benefits, use cases, and the top providers.

• What is CCaaS?
• How CCaaS Works
• CCaaS vs On-Premise
• Benefits
• Key Features
• Use Cases
• How to Choose a Provider
• Top Providers

What is CCaaS?

Contact Center as a Service (CCaaS) is a customer-service software that combines multiple communication channels: voice calling, SMS texting, web chat and chatbots, email, and social media. CCaaS software bundles these channels into one dashboard, with supportive features like IVR menus, call queues, analytics, call monitoring, and more.

CCaaS platforms are cloud-hosted by the provider, allowing users to access the platform through a desktop app. Providers offer scalable, pay-as-you-go pricing for companies to add and remove users easily.

How CCaaS Works

CCaaS leverages the cloud to allow businesses to manage customer interactions without needing an expensive or outdated on-premise hardware. Operating in the cloud, companies can scale effortlessly, support their remote agents, and receive instant updates without prohibitive maintenance issues. CCaaS reduces costs while assuring businesses have access to the latest array of communication technologies.

Unlike traditional call centers, CCaaS supports omnichannel communication (voice, email, live chat, social media, and SMS) to accommodate users’ preferences. Intelligent call routing and Interactive Voice Response (IVR) features speed up inquiries, while seamless integration with CRM systems provide agents with real-time customer data for more personalized interactions.

CCaaS Software vs On-Premise Contact Center

CCaaS is software-based and hosted in the cloud by your provider, while an on-premise contact center is hardware-based and maintained in-office by the company using it. Generally, CCaaS is cheaper, easier to set up, and lower maintenance.

Here’s a further comparison of CCaaS vs on-premise contact centers:

Benefits of CCaaS Solutions

CCaaS is a low-maintenance solution with a quick setup process and advanced features for high-powered customer support. However, these are just some of the reasons why so many customer-centric businesses are leaving legacy on-premises systems behind and migrating to the cloud.

Here are the major benefits of using CCaaS software: 

• Empowers remote teams
• Lowers costs
• Scalability
• Increases productivity
• AI-powered features
• Data-powered insights
• Optimizes sales efforts
• Better customer service
• Provider support

Empowers Remote Teams

Since cloud-based CCaaS isn’t limited to one physical location, team members can work from a computer anywhere they have an internet connection. This means managers can hire remote staff from around the country or globe.

Lowers Costs

Businesses avoid paying for equipment, hardware, maintenance, and in-house IT teams–while free unlimited domestic calling lowers telephony expenses. These savings are increasing as CCaaS providers integrate more self-service and AI features, which are expected to reduce customer support staffing needs 20-30% by 2026.

Scalability

Businesses can add new contact center agents by purchasing a user subscription and sending the employee an invite code via email. Companies then purchase a new business phone number and assign it to the agent, who can begin using the features and channels. The agent removal process is just as instantaneous, enabling companies to adjust the workforce as needed.

Increases Productivity

Call monitoring tools like whisper and barge make it easier for supervisors to monitor teams of agents. Routing tools like IVR and call queues guide inbound calls to the right department, so call center staff spend more time serving customers.

AI-Powered Features

CCaaS platforms include advanced AI features like automatic post-meeting summaries, real-time call transcription, live Agent Assist, CRM call pops, and virtual agents (IVA). These tools support supervisors and agents, saving time for everyone.

Data-Backed Insights

Advanced analytics powered by NLU and speech recognition provide real-time and historical insights. Data includes agent performance, call volume, channel usage, and advanced metrics like customer sentiment and the most commonly used keywords. View all this data in the analytics portal.

By contrast, on-premise phone systems don’t provide any data insights.

Sales Optimization

CCaaS platforms include dozens of features that automate or improve sales performance. TCPA-compliant text message campaigns, voicemail drop, outbound auto-dialers, call scripts, and automated follow-ups shorten the sales cycle and get your agents in touch with more customers.

Better Customer Service 

CCaaS features like IVR, virtual agents, and chatbots provide customer self-service for 24/7 customer convenience. CRM integrations connect your call center with customer profiles and data, giving agents fuller context to provide strong support. Call routing strategies and queues reduce hold times, leading to quicker issue resolution.

Provider Support

CCaaS providers offer 24/7 network monitoring with real-time status alerts, live and automated customer support on multiple channels, custom onboarding and employee training packages, on-demand training webinars, and priority support add-ons for enterprise clients.

CCaaS Key Features to Look For

Contact center software bundles hundreds of features that UCaaS systems, CPaaS platforms, and on-premise call centers don’t have. These include multiple communication channels, routing and self-service tools, call monitoring, and a desktop agent dashboard that unifies all these capabilities.

Here’s a list of features to look for in your CCaaS solution:

• Multiple communication channels
• Customer self-service
• AI & Automation
• Routing
• Queueing
• Desktop dashboard
• Workforce optimization tools
• Call and activity monitoring
• Analytics and reporting
• Third-party integrations

Multiple Communication Channels

CCaaS providers empower omnichannel, two-way communication across multiple communication channels: VoIP telephony, SMS text messaging, web chat embedded into your website or app, social media messaging, and email.

The agent dashboard lets agents manage all of these channels from one inbox. Agents can jump between channels with one click, even continuing one conversation. This convenience is part of why omnichannel customer-service tools are expected to hold a 13.6% annual growth rate through 2030.

Customer Self-Service: IVR, IVAs, and Chatbots

CCaaS platforms empower 24/7 customer service with intelligent self-service options like IVR menus, embeddable custom website chatbots, and Intelligent Virtual Assistants (IVAs) with machine learning for entirely automated support interactions.

Self-service makes things easier for customers, which is useful–87% of millennials say that convenience is a priority.

AI and Automation

AI-powered chatbots and virtual assistants take over routine inquiries to free up human agents for the more complex issues. Automated workflows streamline processes like call routing, scheduling follow-ups, and ticket creation to reduce response times and make service more consistent. Speech analytics and sentiment analysis enable businesses to assess customer emotions and adjust interactions in real time.

Routing Features

Contact center software includes several routing features that automatically distribute inbound calls, messages, and tasks to the right agent or department. IVR menus give customers options of which department they want to contact, and skills-based routing helps match callers with the agent best-suited to help.

Call Queuing

Call queueing groups users into separate “departments,” each with its own hold queue that organizes overflow callers. Many of today’s CCaaS platforms let you implement automated queue callbacks, which let customers hang up and reserve their place in line with a callback number.

Desktop Dashboard

The desktop dashboard is where the agent accesses their CCaaS app–including all the channels, routing features, and tasks. Many CCaaS systems let agents view multiple tasks at once, or view the customer’s profile and interaction history while serving them.

Workforce Management and Workforce Optimization Features

Real-time AI-powered Agent Assist displays suggested responses/canned responses/scripts pulled from integrated internal knowledge bases, automatic schedule suggestions/forecasting with machine learning algorithms, real-time agent wallboards and performance gamification, schedule adherence monitoring, etc.

Real-time Activity Monitoring

Admins can monitor all or individual agent interactions across channels in real-time, using whisper and barge capabilities to provide in-interaction agent coaching. Admins can also enable real-time SLA notifications if performance standards slip below a certain level, or if customer sentiment reaches problematic territory.

Analytics and Reporting

Real-time and historical  QoS/usage reports, basic call/interaction logs, pre-made reporting templates, custom KPIs, customer sentiment analysis, customer surveys, performance analytics, CSAT/NPS scores, text and speech analytics, etc.

Third-Party Integrations+APIs

Pre-built integrations with popular third-party CRM systems, collaboration tools, video calling apps, marketing tools, and security software (Slack, Microsoft Teams, Zoom, Asana, Zendesk, Salesforce, Zapier, HubSpot, etc.) CCaaS providers should also include API access and have a thriving developer community.

Common CCaaS Use Cases

CCaaS platforms serve essentially any use case that involves customer service. This includes sales teams, customer-support teams, and marketing companies of any size. Any industry can implement a contact center, including retail, ecommerce, law, education, hotels, finance, and others.

Here are some of the most common CCaaS use cases:

• Sales and telemarketing groups: Contact center software facilitates outbound sales calls, manages lead status and customer journey information, and enables customer outreach across multiple channels.
• Finance companies and debt collection agencies: Use automated messaging to send automated payment reminders, accept payments via phone, and provide automated account and balance updates
• Healthcare companies: CCaaS self-service tools and IVAs accept bill payments, provide account updates, schedule appointments and send appointment reminders, and ensure HIPAA-compliant communication
• Nonprofits and government agencies: Virtual agents and automated phone menus help to collect donations, play automated campaign messages, engage with voters en masse, and provide day-of SMS election updates
• Travel and hospitality industry: Use SMS to confirm reservations, send real-time flight updates, allow for rebookings, and automate customer support
• Customer Support and Helpdesks: Use CCaaS to streamline customer service operations, offer live chat, automate ticketing, and leverage AI-powered self-service options to improve response times
• Government and Public Services: CCaaS powers citizen support, emergency response hotlines, automated service updates, and efficient handling of inquiries related to public services

To learn more about additional CCaaS software or to access customer reviews and in-depth feature comparisons of the five providers mentioned here, check out our interactive table of the top contact center software and virtual call center software.

How to Choose a CCaaS Provider

When choosing a CCaaS solution for your company, look for a provider with the features and channels to meet your business needs. Check out user reviews, examine tutorials and demo videos, and use a free trial if you can.

Here are the best practices for choosing the right CCaaS provider:

• Examine the features and plans: Look at the features and channels that each provider includes in each plan tier. Determine which plan offers the best value–all your “must have” features with minimal excess features you probably won't use.
• Assess Reliability and Uptime:A dependable CCaaS provider should offer at least 99.99% uptime or carrier grade services with minimal service disruptions. Check their SLAs to ensure reliable performance and availability.
• Read user reviews: Especially if choosing between multiple platforms, reading user reviews and provider comparisons ensures you’re getting the pros and cons of the software–not just the story the provider wants you to hear. These reviews will help you get an idea of the platform’s reliability, ease of use, and customer support.
• Check available integrations: Each CCaaS provider offers a library of third-party integrations for synced functionality. Look for a software system that integrates with tools your company uses often–such as communication platforms, UCaaS systems, and CRM software.
• Evaluate Security & Compliance: Ensure the provider follows industry regulations like GDPR, HIPAA, and PCI-DSS and has strong security measures to protect sensitive customer data.
• Consider Pricing Structure: CCaaS providers offer varying pricing models, including per-user, per-minute, and usage-based. To maximize savings, select a pricing structure that aligns with your call volume and operational requirements.
• Use free trials and demos: Most CCaaS providers offer free trial periods lasting from one to two weeks. For your top one or two choices, take advantage of this period to see how well your agents and supervisors adjust to the desktop interface. For your other top choices, check out several of the demos on their website to get a feel for the UI.

The 5 Best CCaaS Providers

Genesys

Genesys Cloud CX is a feature-rich omnichannel contact center software that unifies voice and text-based communication channels into one platform for sales and customer support. Accessible on desktop and mobile, the software app includes inbound and outbound VoIP calling, email, web chat, SMS, and messaging apps.

In addition to these telecommunications channels, Genesys features advanced workforce management tools, call distribution and queueing, team collaboration, AI and automation, analytics and insights, and customer self-service.

Genesys is best for:

• Companies that depend heavily on customer self-service
• Collections agencies/financial industries that rarely meet clients in person
• Companies that use multiple business communication software options

Genesys is not right for:

• Small businesses with minimal customer support needs
• Organizations seeking a budget-friendly, one-size-fits-all communication solution

NICE CXone

NICE CXone is an open cloud contact center software designed to create a frictionless customer experience across voice and digital channels. NICE CXone optimizes all Customer eXperience interactions (CXi) thanks to Enlighten AI-powered customer self-service and in-conversation agent assistance, workforce management and workflow optimization tools, and detailed live and historical monitoring.

NICE CXone offers over 30 native and integrated third-party business communication channels, including CXone Voice as a Service (VaaS) in 130+ countries. Additionally it offers both inbound/outbound voice calling, voicemail, Interactive Voice Response (IVR), social media platforms and Bring Your Own Channel (BYOC) functionality to integrate your custom business app or more targeted communication channels.

NICE CXone is best for:

• Companies that want advanced automations
• Businesses that need customer self-service tools
• Companies that want a customizable solution

NICE CXone is not right for:

• Low volume contact centers
• Companies without an in-house IT department
• Businesses that need team collaboration tools

Talkdesk

Talkdesk is a cloud-based contact center software leveraging AI and automation to improve the customer experience, streamline business communications, and increase productivity. Its CX Cloud empowers SMBs to manage all aspects of customer contact and care in-house and across multiple channels.

With advanced customer self-service options like conversational AI, Live Agent Assist, and multi-level IVR, Talkdesk frees up agents and allows customers to get the answers they need quickly and at their convenience, instead of keeping customers waiting for callbacks or on hold.

Talkdesk is best for:

• Businesses that embrace AI-powered customer service solutions
• Companies looking for a cloud-native, scalable contact center
• Organizations that prioritize integrations with CRM and other business tools

Talkdesk is not right for:

• Small businesses with low customer support volume
• Companies that require extensive on-premise infrastructure
• Organizations looking for a simple, out-of-the-box solution without customization

8x8

8x8 is a CCaaS solution ideal for cloud contact centers that need a high level of software customization and overall scalability. 8x8 offers native CRM capabilities and supports numerous third-party CRM solutions like Zoho, Microsoft Dynamics, and Zendesk.

Other standout 8x8 features include a high video meeting participant cap of 500, team chat messaging, and real-time, multi-screen monitoring. All 8x8 plans include real-time artificial intelligence and analytics. Competitors often reserve these advanced features for high-tier plans. The UCaaS and CX plans offer 48-country unlimited voice areas, respectively. This is a significantly wider unlimited area than other VoIP providers.

8x8 is best for:

• Businesses looking for an all-in-one VoIP and contact center solution
• Companies that need global calling and multi-channel communication
• Organizations that prioritize strong security and compliance features

8x8 is not right for:

• Small businesses with minimal communication needs
• Companies that require deep customization and advanced integrations
• Organizations looking for a basic, budget-friendly phone system

Five9

Five9 is a cloud-based contact center and CX software that provides intelligent solutions through an omnichannel platform. Features include inbound and outbound voice calling, digital engagement tools, workforce management, and quality management. Five9 incorporates employee engagement tools, such as workforce and performance management, workforce optimization, gamification, and interaction analytics.

Five9’s platform offers a range of features, including inbound, outbound, and blended call center suites, and digital engagement across various channels like chat, email, SMS, social media messaging, and video chat. Its AI-powered virtual agents, workflow automation, and agent assistance tools work together to optimize agent call handling.

Five9 is best for:

• Companies that need a cloud-based, AI-powered contact center
• Businesses looking for strong outbound dialing capabilities
• Organizations that require robust workforce management and analytics

Five9 is not right for:

• Small businesses with low call volumes and simple needs
• Companies looking for an on-premise contact center solution
• Organizations that prioritize internal team collaboration tools

CCaaS enables organizations to streamline customer support across various channels without relying on traditional on-premise systems. With features like automation, analytics, and CRM integrations, businesses can improve service quality while optimizing costs.

As businesses continue to prioritize seamless customer experiences, adopting a CCaaS model is key to staying competitive and future-proofing customer service operations.