The Major Impacts of Cloud Services on Online Businesses

cloud businessIn a survey conducted by Invesp, more than 80 percent of internet users have gone online to buy something. They also found that more than half of online users have shopped online on more than one occasion. Research shows that people these days prefer online shopping because it’s cost-efficient, it saves time, there’s more variety, and comparing prices is easier. The trend in e-commerce gave businesses the courage to venture online, fuelling the growth of online businesses over the last decade. This shift eventually led to the development of online business solutions and one of them is cloud hosting.

The practicality of cloud for online businesses is unquestionable. For starters, it encourages collaboration. But its impact on online businesses is far from shallow. As a matter of fact it has a myriad of major impacts on online businesses such as cost reduction, flexibility, efficiency, opportunities for expansion and innovation, and a competitive edge.

Cloud hosting reduces costs

Physical storage of files required companies to hire and maintain a team of experts. These IT professionals are responsible for keeping your company data secured and accessible to the right people. Sadly, it takes money to keep them around. Cloud hosting allows businesses to outsource their data storage online, eliminating the need to hire experts as well as the cost required to maintain them. Compared to physical data storage, cloud hosting is also cheaper. This means less expenditure and more savings for any online business.

Cloud hosting promotes flexibility and efficiency

Having a team of in-house experts entails limitations in both control and execution. Your business will be limited to the capability of your group and their coverage is restricted to local areas. Cloud hosting resolves that by granting businesses greater control over data. Since everything is accessible online, operations can be executed anywhere on the globe. These, in turn, promote efficiency.

Besides flexibility in data control and execution, cloud hosting gives businesses the flexibility to establish short-term partnerships with their providers. It allows them to weigh their options until they find a suitable cloud provider. If a host falls short of what is expected, a business can easily switch to another a new service by the end of a contract.

Cloud hosting encourages innovation and business expansion

With time and money on the side of online businesses, they are given the opportunity to innovate and come up with new products or services. The money can also be used to expand existing services and create new products, allowing businesses to cater to more customers and bring in more revenue.

Cloud hosting grants leverage

Online businesses need to adapt to the modern paradigm. That is, if they want to survive and stand a chance against their competitors. Embracing cloud hosting is a sign of that.

Failing to recognize the need to adapt doesn’t lead to immediate extinction but eventually, businesses will find it harder to keep up with their competitors. Cloud hosting brings them one step closer to recent advancements and makes them highly competitive.

About the Author: This article was written by Norris Lemuel Lasay, an internet specialist who writes articles about online business solutions such as cloud computing and outsourcing. He also writes articles for his business at, a consultation firm that helps businesses find internet companies which suit their needs.

Image by nokhoog_buchachon

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  • cynthia kocialski

    Current megatrends in technology are cloud, mobile, and social. The cloud is commoditizing networking, communications, and information technology. It’s simply a better economic model. Many older technology companies are struggling to move into the cloud and maintain their legacy offerings at the same time. Check this out –