When have I ever started with the solution "put it in the cloud"? Hmm? Do you even read the articles anymore? Or you just see "cloud" then whip your your Mighty Ragekeyboard of Justice? Dear $deity man, I have a pretty solid track record as being one of the most anti-cloud writers The Register has! I have written any number of articles warning about the many and varied dangers, and not to take the supposed cost savings at face value.
Despite that, the cloud is worth consideration. It is - for backups - probably even cheaper (under the right circumstances). It's one tool amongst many, but it is an increasingly valid and important one. Even to "cloud haters" like me.
What shocks me is that you are so averse to cloud computing that you would advise customers to be prepared to simply lose data rather than use the cloud. And, of course, you're assuming that the customer has sorted and organized all their data or has the time to do so. In many cases - in my experience, in most cases - it is actually cheaper to just buy the extra damned storage space than it is to throw umpteen man-hours at an organization and rationalization project.
While I agree that not everything in every company has to be backed up, or made disaster proof, not every company has the means to make that determination, either. And - to be perfectly blunt about this - not only are you better safe than sorry, but the cost of cloud storage just isn't high enough to piss and moan about any more. The cost of data loss, however can be the whole company.
So, while you and I could sit here listing exceptions to every rule, the existence of an exception does not invalidate the rule. The rule is: everyone needs backups and everyone should be sending some or all of those backups to a disaster recovery site. The addendum to that rule is that cloud backups are generally cheaper and certainly way the heck easier for most companies, like it or not.
Now i personally don't like it - I have massive data sovereignty concerns with cloud computing - but my personal preference doesn't change reality. And I submit to you sir that your preferences don't change reality either.