The Case for Cloud-Based Veterinary Software: How Legacy Systems Compare

According to recent data, around 60% of practices continue to rely on local servers, despite the growing advantages of moving to the cloud. If your hospital is among them, you could be missing out on the many benefits that cloud-based veterinary software has to offer.
In Shepherd’s recent white paper, “Veterinary Research: Optimizing for Clinical and Operational Outcomes in 2025,” the team analyzed data from 460 veterinary practice pet portals, representing about 90 small animal general practices in the U.S., to identify patterns in practice performance. The findings point to improvements in efficiency, profitability, and quality of care for hospitals that made the switch.
Here’s how cloud-based software compares to traditional server-based systems, and what you should know about upgrading.
Is your server-based system holding you back?
Legacy practice management systems have been the foundation of veterinary software and electronic medical records (EMR) since the early 1990s. However, they’ve become a barrier to growth for many in today’s fast-paced, digitally connected world.
Legacy systems use expensive hardware that requires replacement every four to eight years, which can cost $6,000 or more. These systems typically come with steep learning curves, limited flexibility, problems integrating with new software and tools, and a need for ongoing IT support.
The impact on your business might be larger than you think. Our research found that practices relying on server-based systems saw 18.1% lower average client transactions (ACT), 14.8% less revenue, and 58.8% more no-shows compared to those using modern, cloud-based systems.
The advantages of cloud-based veterinary software
Cloud-based veterinary software offers a modern alternative. Instead of storing data locally, platforms store information securely in the cloud, where they are accessible from anywhere with an internet connection. The flexibility of the cloud unlocks a wide range of benefits for veterinary practices.
Mobility
Cloud-based veterinary software is not tied to a single location or computer. Teams can access electronic medical records (EMR), update charts, and review administrative reports from home or while traveling. The system updates automatically, eliminating the need for an IT visit or paying for a bug patch.
Affordability
Cloud-based systems also reduce monthly overhead costs. Instead of investing in servers and hardware, you’ll pay a monthly subscription fee. Some platforms even include data migration and onboarding in the subscription.
Practicality
Some cloud-based veterinary software systems, including Shepherd, are designed by veterinarians, so they’re built with real-world workflows that provide solutions to real-world problems. You may find that staff training, recordkeeping, and scheduling go more smoothly with a cloud-based system.
Performance
Switching to cloud-based veterinary software not only makes your life as a veterinary practice leader easier. Making the switch can also create significant improvements in your bottom line.
According to our data, practices that switched saw:
- 18.1% higher ACT within four months
- 17.3% revenue growth due to better charge capture
- 96.5% charge capture rate, exceeding the industry average
- 41.2% fewer no-shows
- 2 additional appointments per day (on average)
How to evaluate your current veterinary software system
Before exploring new platforms, take stock of your current system’s strengths and weaknesses, and whether your software aligns with your goals for efficiency, patient care, and client service.
- Does your current software make things easier or slow you down?
- Is it easy for your team to learn and use, or is it a source of frustration?
- Does your software capture charges consistently?
- Does your software streamline medical recordkeeping?
- Can your software keep up with practice growth?
If your answers point to more cons than pros, it may be time to explore modern veterinary software that’s cloud-based and customizable to your team’s changing workflows.
Practice smarter in the cloud
Cloud-based veterinary software is proven to improve performance, reduce inefficiencies, and create a better experience for your clients and team. Data collected and analyzed by Shepherd shows that practices that switch from server-based software to cloud-based systems see higher revenues and stronger client engagement.
If you’re evaluating your current system or planning for future growth, check out the complete white paper from Shepherd. With clear comparisons between server-based and cloud-based systems, and real-world performance metrics, it’s a practical resource for any practice looking to upgrade. Schedule a demo to see how Shepherd can help you practice smarter.
