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Why You Should Invest in VoIP for Your Business

Updated: Nov 6, 2022


woman talking on the phone while using a computer

For small enterprises, VoIP (Voice over Internet Protocol) phone services make sense. In fact, according to recent data, more than one-third of all companies currently use a VoIP phone system, with most of those companies having fewer than 50 employees.


According to Tina Liu, the senior product marketing manager for the 88 phone system, she states that "with VoIP, voice data is delivered [through an Internet connection] in digital form rather than connecting into a traditional phone socket like you would via the public switched telephone network (PSTN)."


What is VoIP?

The term "VoIP" refers to internet-based phone service. Voice communications are digitised and routed through internet lines as opposed to regular phone lines to transmit them.


VoIP technology has advanced dramatically since its commercial debut in the 1990s, as has its public interest in it. Users used to claim that VoIP had poor sound quality than a landline in the beginning, but such problems are no longer an issue.


How does VoIP work?

Your voice is recorded through computer software, which then converts it into a digital signal that is transmitted via the internet. All of this takes place instantaneously.


Benefits of VoIP

More organisations are converting to VoIP phone systems for a variety of factors, the majority of which are not necessarily financial.


1. Call quality

Modern VoIP networks sound even better than landline networks thanks to the use of cutting-edge high-definition codecs, according to Matt McGinnis, assistant vice president of product marketing for VoIP provider RingCentral.


2. Simplified equipment

Along with improved audio quality, VoIP is becoming a more viable alternative for small enterprises thanks to the cloud. Businesses who opt for a cloud-hosted VoIP phone solution don't need to buy any equipment or hire an IT staff to setup and manage it, instead of running specific wire and installing special equipment.


The majority of the initial gear and software are eliminated by cloud VoIP solutions, which simply need an Internet connection to function, according to McGinnis. "This makes it simple to show up and deploy and decreases the amount of capital expenditure required."


VoIP is a great option for small businesses due to the development of the technology and its comparatively inexpensive cost, but businesses need still conduct due diligence before deciding.


3. Ease of use

Owner of the children's formal wear business BlackNBianco, Lisa Chu, expressed her appreciation for the VoIP system's ability to do away with all of the intricate technical assistance that her landline required.


Chu stated, "Diagnosing and repairing the problems when the landline goes down is never easy or quick, leaving me and my colleagues incredibly frustrated. VoIP is very user-friendly, and with the right network, we haven't run into any major problems that make it difficult for us to speak with our consumers."


4. Scalability

According to Tyler Yost, director of strategy at the marketing firm Blue Corona, using a cloud-based solution also makes it simple to add phone lines when new staff are employed. Over the previous five years, he claimed, his business has expanded frequently, and each time, adding phone lines was a straightforward procedure.


They plug the phone into an Ethernet port, and we're up and running after pressing just two buttons on the internet interface, according to Yost.


5. Remote connectivity

One of the main advantages of VoIP is that it enables employees to take their business phone line with them wherever they go, which is very useful for companies with employees who work remotely or in different locations. The majority of VoIP service providers offer a mobile phone system app that may be configured to ring whenever a client or customer phones a staff member's work number. Additionally, these apps enable staff members to place calls from their mobile devices on the corporate line.


The Florida-based IT staffing company Protech's client partner Elizabeth Becker said she appreciates how their VoIP technology enables employees to work from anywhere.


No matter where your employees are physically seated, Becker claimed that VoIP systems enable business to continue as usual. "Having a VoIP system makes it simpler to allow staff some flexibility while keeping communication open."


6. Cost considerations

Another factor driving companies to adopt VoIP is cost. Instead of charging a price based on the total number of minutes used by everyone in the firm, most VoIP companies charge a monthly per-user fee. In actuality, several VoIP service providers offer unrestricted access to their offerings. Although free providers frequently offer less capabilities than commercial services, this demonstrates how cheap VoIP can become. Many small businesses can save a lot of money by doing that and by not having to spend outrageous sums of money on specialised equipment and IT employees to keep it functioning.


Some cloud-based solutions cost just $10 to $25 a month per user.


VoIP and Internet telephony provide the primary benefit of not having to pay the fees associated with traditional telephone service, according to Liu. Additionally, you can consolidate all of your business phone service, IM/Presence, mobility, videoconferencing service, and calling expenses with one VoIP provider, including local, long-distance, and toll-free calls.


7. Advanced features

VoIP can replicate features found in conventional calling, like caller ID, caller holding, call forwarding, and more. Additionally, VoIP makes it much simpler to use features like call recording. Since the call has already been digitised, it is quite simple to add a feature that records the digital file.


Integration of business tool can be provided by VoIP services. This enables the integration of your calls with other messaging platforms like chat and email. These capabilities allow you to categorise communication by party and period so that you can easily evaluate a discussion that spanned many mediums.


Every company should make sure they have access to VoIP's more potent conference services, which includes video integration.


Is VoIP right for you?

According to Chris Sherwood, an Oregon-based phone system analyst, whether a VoIP phone system makes sense for a small business depends entirely on the calibre of its network and its requirements.


Sherwood commented on what he considers when determining whether VoIP is a good option: "Most importantly, you want to make sure they have enough upload bandwidth for the quantity of phone conversations they plan to have going continuously."


Businesses must also consider if they have adequate bandwidth to manage other network traffic and whether their firewall and router can give VoIP traffic priority over conventional Internet traffic, according to Sherwood.


VoIP is definitely a suitable choice for many businesses if the network can support it.


VoIP has many advantages for organisations where it makes sense, according to Sherwood, including lower maintenance and monthly recurring usage expenses, convenience of use, and improved functionality that were previously only available in enterprise-level PBXs.


The majority of VoIP companies offer a wide range of capabilities, including voicemail, virtual receptionists, call forwarding, call recording, on-hold music, voicemail-to-email, conference calling, video conferencing, instant messaging, call screening, missed alarms, and call logging.


If you need help to migrate to VoIP PABX, call Simplyfree.


Simplyfree is based in Wellington, New Zealand and provides smart business phone solutions such as Voip Phones, Fibre, Broadband, Toll-Free, 0800 numbers, Unified Communications, Conference Calls, Call waiting, Call queuing, Voicemail to email, call recording, video team meetings and more!



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