Although many businesses worldwide have embraced cloud services, among Caribbean businesses the general sentiment appears to range from reluctance to automatic dismissal. Here we highlight four key reasons why that might be so.

 

It is almost 10 years since there was a marked uptick in the range and type of services being delivered in the cloud. Moreover, and to varying degrees, we tend to have a good idea of the pros and cons of using cloud-based services; and suffice it to say, the cloud tends to be an attractive choice in many instances.

However, while most of us are happy to use services, such as Gmail, Hotmail, Google Drive and Dropbox, without thinking – even in a business setting – in the Caribbean, there still appears to a general reluctance to use other cloud-based services and applications. Why? We discuss four reasons.

1.  An expectation of indefinite freeness

In addition their popularity and wide acceptance, one of the biggest pulls of Gmail, Hotmail, Google Drive, Dropbox, etc., is the fact that they offer a free plan, which seem to satisfy the needs of many individuals and businesses. However, depending on the service, most cloud-based vendors do not offer their products/services for free indefinitely. There might be a generous trial period, say for up to 30 days, when no fee is charged, but eventually, a fee will become payable.

Although it might not be readily admitted, people can be reluctant to consider securing certain cloud-based service if they need to pay for it. The same posture is frequently taken with respect to mobile applications. It therefore means that although a particular cloud service might be extremely useful to a business, it is (almost automatically) dismissed if a fee is attached.

2.  The price hurdle

One of the benefits of selecting a cloud based service is the fact that it tends not to require a huge capital outlay. Generally, cloud services are scalable, and pricing is based on user consumption. As a result, the monthly (or weekly) outlay tends to be quite small, but is a recurring expense.

However, as much as cloud services might be considerable cheaper than purchasing the equipment and/or application outright (for example), the price of a cloud service, especially since it is usually a recurrent expense, can add up. Over the course of a year or two, and using software applications as an example, the amount spent may rival the price of a standalone version of an application.

3.  Overwhelmed by options

For almost any category of cloud service, there are numerous options from which to choose. Although the options might have common basic features, the plans are rarely identical, may have a wide variety of bells and whistles, and considerably different price points. It can thus be difficult to compare them – apples to apples.

Sadly, many micro, small, and even mid-sized, business may not have the expertise to evaluate the options available – although they might benefit the most by using such services. The team or individual who makes purchasing decisions may just feel overwhelmed by the process and ultimately, resign themselves (and the  business) to make do with the status quo.

4.  The learning curve

Finally, consider a scenario where a business has been using Microsoft Excel to record its expenses, and is thinking about investing is a cloud-based accounting application, which would facilitate more comprehensive bookkeeping. In addition to selecting the right vendor, and then the right package for its needs, provision would need to made for staff training, to ensure that product can, at the very least, be used correctly.

In a small business, where manpower might already be stretched, it might be especially sensitive to disruptions in its operations. Hence, it may be of the view that it cannot spare the time, resources and discomfort to the business for its team to learn the new product, plus whatever transition period (to the new product) that might needed.

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