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January 29, 2021

What is VoIP? and How Can It Benefit Your Business?

Posted by Tom Strong
  
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Whether a business is big or small, all companies rely on phone systems to stay connected and to get the job done. From front desk receptionists routing calls to executives to high-volume call centers taking hundreds of calls a day, it is more important than ever that a company's phone system is tailored to fit your business needs and processes.


An increasing number of SMBs, government agencies, and multinational corporations have turned to VoIP phone systems for their communication needs. 

In this article, we discuss what VoIP is and how it can benefit your business.

What is VoIP and How Does it Work?

VoIP - which stands for Voice Over Internet Protocol - is quite simply using the same networks and technologies that your computers use to access their network and the internet to transmit your phone calls. This results in a lot of benefits.

What Are the Benefits of VoIP for Businesses?

Cost is often touted as the principal benefit of deploying a VoIP system. While lower monthly bills to your telephone provider can certainly result, deploying a modern telephony system can really transform your business and give you a competitive advantage over your competitors.

1. Lower Costs 

Using traditional copper phone lines can get very costly. Dial tone services are consistently getting more expensive which can result in higher operating costs. Copper is expensive to maintain for telephone companies which results in a high per-line cost. Since VoIP uses IP networks to handle voice traffic, it is often cheaper to install and scale compared to traditional systems and simultaneously offers increased capabilities. Adding lines could be as easy as a quick call or support ticket into your provider instead of waiting on a full day appointment from a technician to come install a new line. This can mean adding a new phone number, or staff member can be completed in minutes as opposed to weeks. 

 Implementing a VoIP system can allow businesses to reduce their telecom costs while providing additional functionality to their operations. 

2. Increased Software Functionality

VoIP systems come with a wide array of capabilities that can support your business. Things like call recording, detailed reporting, powerful and flexible routing, outlook integration, and conferencing. These systems are designed to give you information about your business, enable your compliance requirements and just make communicating easier.

On top of that, they can integrate with your business integrations to make your business smarter and more efficient.

Imagine having a phone system that can:

  1. Be able to let your customers know about your current promotions, hours, or other critical information while they’re waiting to speak to someone.
  2. Being able to automatically open a customer's account when answering a phone call, saving your staff time to let them focus on serving your customer. 
  3. Provide self-service opportunities to your customers to make it easier for them to do business with you.

If you have ever had the thought of “I wish my phone system could…” there is a high likelihood that it is possible with a VoIP deployment. 

3. Increased Mobility and flexibility

The COVID-19 pandemic taught us that for many businesses, a remote workforce might be here to stay. VoIP offers increased mobility to both employees and business owners, making it an excellent option for companies with multiple locations (or home offices). While a traditional system is confined to a single receiver, VoIP allows you to answer calls from any device from anywhere at any time.  

VoIP encourages the "Bring Your Own Device" (BYOD) method of thinking. Employees prefer flexibility and having the ability to access information and enterprise applications at any time is essential. VoIP allows companies to employ a robust mobility solution, leveraging enterprise UC capabilities on devices they already possess or even allowing you to place a work phone in someone's home office.

Being able to support your employees getting their work calls regardless of where they are working can keep your business going in unpredictable times.


If you are considering a VoIP system for your business needs, we encourage you to look at the VoIP Business Phone Buyer's Checklist. This list will help you identify the right questions to ask and help you start your research process. You'll also find a free eBook download to help you find the best communication systems for your business. 
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