Frost & Sullivan: Strong Industry Growth in Hosted Contact Center Market in North America Despite Economic Meltdown

Compelling Financial Benefits

Nov 06, 2009, 15:33 ET from Frost & Sullivan

MOUNTAIN VIEW, Calif., Nov. 6 /PRNewswire/ -- Hosted contact center technology companies and application service providers continue to grow revenues in an increasingly competitive arena, despite poor economic conditions in North America. The primary reason is that the hosted model offers clients faced with reduced budgets and capital constraints an opportunity to deploy contact center on demand (CCOD) solutions with relative ease and speed.


The sheer number of North American hosted market participants has increased in a significant way - offering end users a suite of the latest features, options and functionality. New analysis from Frost & Sullivan (, North American Hosted Contact Center Markets, finds that this market earned revenues of $396.4 million in 2008 and estimates this to reach $1.5 billion in 2015.

If you are interested in further information about the study, please send an e-mail to Jake Wengroff, Global Director of Corporate Communications, at, with your full name, company name, title, telephone number, company e-mail address, company website, city, state and country.

Inherent advantages such as flexibility, low cost of entry, and scalability drive the deployment of hosted contact center solutions across North America. Leasing contact center technology allows organizations to deflect the high upfront capital expenditure normally associated with premise deployments.

"Despite the economic downturn, market participants have had tremendous success with hosted deployments for new and existing clients," notes Frost & Sullivan Strategic Analyst Michael DeSalles. "Hosted technology providers offer a compelling set of financial and business benefits to a demanding client base. This includes the elimination of capital expenditures combined with access to a flexible agent deployment platform. Vendors today offer a full line-up of robust contact center features. This helps to significantly reduce costs, along with the opportunity to gain access to state-of-the-art technology. The days of massive financial outlays for contact center premise equipment are going away."

At the same time, the hosted model is not without its share of challenges. Customers cite a perceived lack of control over operations and concerns over the security of critical customer data. Clearly, older legacy investments in premise-based technology present growth challenges for the hosted deployment model. In this study Frost & Sullivan offers new insight into hosted outbound solutions and detailed profiles of primary vendors in this niche space. This type of hosted service delivery provides companies with contemporary notification applications for proactive alerting and value messaging. It also has the added benefit of maximizing customer satisfaction for simple transactions that do not require agent intervention.

North American Hosted Contact Center Markets is part of the Contact Centers Growth Partnership Service program, which also includes research in the following markets: North America, Europe, Middle East, and Africa (EMEA), and Asia Pacific. All research services included in subscriptions provide detailed market opportunities and industry trends that have been evaluated following extensive interviews with market participants. Interviews with the press are available.

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North American Hosted Contact Center Markets


    Jake Wengroff
    Global Director, Corporate Communications - North America
    P: 210.247.3806
    C: 917.952.6816
    F: 210.348.1003

SOURCE Frost & Sullivan