If there was any doubt on the increased importance of contact centers, the recent earnings growth of contact center software company 8X8 should put that debate to bed. Despite self-service channels and mobile applications, customers still want personalized and direct interaction with a company and the contact center serves to fulfill that role.
Part of the revenue increase can be put on the acquisition of Contactual, which helped 8X8 attract larger customers, such as Jamba and General Electric, according to this Fierce Enterprise Communications (News - Alert) report. After the acquisition, the company began seeing increases in revenue, which is up to $23.3 million in the third quarter (31 percent increase from this time last year).
Apart from the acquisition of Contactual (News - Alert), cloud business computing is what’s driving the upward run, according to one 8X8 executive. On average, customers are spending $239 per month with 8X8 for its services. While revenue is meeting record highs, churn is at an all-time low.
8X8 is also dishing out more services per customer, reaching 14.1 after seeing 12.4 in the previous quarter. Part of the reason for its higher product margins was due to 8X8’s decision to push higher price points, on products such as its contact center software, within newly formed relationships with bigger companies.
What started as a multimedia semiconductor and software company in 1987 has turned into a provider of innovative business communications and cloud computing solutions with 54 partners, including CenturyLink, SaskTel, and Bell Canada (News - Alert). Through these partnerships, 8X8 has inked deals with 83 new customers, including AT&T Mobility.
Plus, 8X8 was recently selected by the Garden Grove, Ca. city government to host its disaster recovery IT operations. Although this is a new venture for 8X8, its business solutions are an easy match for the task.
All things considered, 2012 will likely be the biggest year yet for the company, according to its chairman, Bryan Martin.
"What we’re seeing is across the board adoption of these services," Martin said of their communications and hosting solutions, which include cloud servers, managed dedicated servers, private cloud server virtualization and Vblock hosting solutions.
8X8’s contact center software adds key benefits to high tech companies. It’s designed specifically to increase first call resolution and improve agent productivity, and it can deploy agents anywhere.
The virtual contact center provided by 8X8 uses the Internet and VoIP technology to provide superior service. The interfaces are positioned as easy to use, as is its integration with popular CRM solutions - Salesforce and NetSuite (News - Alert). Most importantly, 8X8 uses patented multimedia high-throughput that delivers framework to effectively provide voice, email, web-chat, and desktop collaboration.
More than 25,000 companies trust 8X8 with their business communications services, a number that continues to grow. While consumers become more educated about their choices in the market, companies like 8x8 (News - Alert) are developing the right contact center software to meet the needs of a new and more informed audience.
Susan J. Campbell is a contributing editor for TMCnet and has also written for eastbiz.com. To read more of Susan’s articles, please visit her columnist page.Edited by Chris DiMarco