Published : March 28, 2020
VoIP stands for Voice Over Internet Protocol. A stable internet connection can get phone services delivered through the Internet connection instead of from the local phone company. A medium is required to turn analog phone signals into digital signals that can be sent over the internet. The two main reasons that make your business flexible all around the world with VoIP are its low cost and increased functionality.
The VoIP phone number is an emerging new technology that makes it possible to make and receive phone calls over the Internet connection instead of from the local phone company. With this new technology, a business can make phone calls at a fraction of the cost if there is a stabilized internet connection.
A virtual phone system is a cloud-based phone system rooted onto the internet. When a caller connects the business number, calls are routed forward to the preset telephone numbers chosen by the caller.
A system where employees use multiple telephones in an interconnected network that allows employees to use features like call handling, call transferring, conference calling, call monitoring and accounting, private and shared voice message boxes, etc., is called a business phone system. A business phone system depends on the size of the business. There can be just a few telephones in a small business up to a complex private branch exchange (PBX) system in large businesses.
The main drawback of traditional PBX systems or physical phone line systems is that you are required to make changes to the system once it has been set up and configured properly. It is not a one-time investment of time and money, and it has to be updated and changed frequently. Although, a lot of work has to be done beforehand, for example, purchasing the equipment, installing the software and training personnel to use the system properly.
Communication systems have to be upgraded and changed over time. When a new employee is hired in the business replacing a current employee, changes have to be made in the phone system. A department or project the team is working on can come to a halt when the service provider is making changes in the system. Such a situation can result in loss of revenue, waste of time and effort, and increased customer frustration. Changing the configuration of the PBX system requires the replacement of hardware and other equipment.
These drawbacks can be eliminated from the business with the use of a virtual phone system and VoIP services. Since VoIP is an IP-based technology, it is easy to get things done on a click of a button or to change a setting. It does not require a specialist or technician to make the necessary adjustments when the business undergoes changes or when a new employee is hired in the company. If a new employee is hired in the business, they can have a number and a line assigned to them immediately. It ensures that there is no time wasted. When an employee retires or resigns from the company, phone numbers, lines, or other resources linked to that person can be easily removed.
Basic features of VoIP
- Internet-based system administration
- Mobile management (iOS and Android)
- Automated attendant
- Hold music
- Call forwarding
- Conference bridging
- Conference calling
- Caller ID
- Call blocking
- Call waiting
- Call transferring
- Find Me/Follow Me
- Ring groups
- One-line sharing on multiple phones/devices
- Video conferencing
- Voicemail to Email (as an audio file)
- Voicemail to Text
- Fax to Text (as PDF)
A business can save a lot of time and money if it does not have to wait for a number to be added. Nowadays, businesses have to be flexible so that they can take advantage of their opportunities and handle demand pressures.
Also, it is difficult for a business to estimate from the beginning how many phone lines they will need in the future. With traditional phone systems, they have to pay for the extra resources even when they’re not using them.
With VoIP, businesses can easily adapt to changes without losing much time and without excessive financial expenses. In today’s competitive world, customers are not going to wait for a while for your business to get more lines added. They want their problems to be solved without waiting for it for too long. Clients don’t want project team workers sitting idle, waiting for new phone lines to begin their work.
Benefits of VoIP Phone Service
1. Lower Costs
Cost savings and low expenditures are one of the main benefits of VoIP in a business environment. It can be installed easily, and lines can be added instantly. It is a one-time investment that can be updated, upgraded, and modified as per the need of the business. Traditional phone lines charge for every minute of call time, but with VoIP, the only maintenance cost is the monthly charges from ISP.
2. Cost-Effective Hardware and Software
One additional cost-benefit that VoIP comes with is the limited costs associated with hardware and software required to operate the system. The sellers provide their clients with the most recent updated software and provide current hardware. It eliminates the need for businesses to purchase their own phones and infrastructure, which can result in additional cost savings.
3. Quick Setup
Because VoIP service can be offered as a hosted solution, setup is a breeze. There is no equipment to install, and companies can get started using their existing devices such as a smartphone, tablet, or desktop computer. They can even use an existing desk phone with a required VoIP adapter. Setup is so quick that often services can be completed within a matter of hours.
4. Worldwide Access
VoIP helps the employees to communicate effectively globally. VoIP helps the employees to utilize the voice, fax, and data services of the company through the intranet. With technological advancements every day, VoIP has become extremely portable, allowing its users to connect from offices, houses, and abroad.
5. Virtual Numbers are Portable
Business VoIP services are not limited to a particular physical location. So it can be used while traveling also. Mobile VoIP is useful for business because there is no wait time when relocating office locations. The phone number can work at the new office location provided there is a stable internet connection available.
6. Network Flexibility
VoIP helps the IT department of the company to enjoy the underlying network that need not be a part of a specific technology layout. That means the existing ethernet, SONET, ATM, WiFi can be used as the foundation of the network. The complexity of traditional phone line networks is eliminated. It allows for a more standardized system to be implemented in the business that supports a variety of communication types and less requirement of equipment.
VoIP Phone Services allows organizations to expand globally. Virtual numbers are not fixed to a specific location like in traditional phone lines. There is no need to deal with a local phone provider. Businesses can choose from thousands of national and international area codes. In this way, they can expand and establish themselves in another worldwide market without the need of having a physical office at a particular location. VoIP phone services represent a new architecture in making phone calls, provided there is a stable internet connection available in the area. Through VoIP, the business can combine voice, email, faxing, and video in a standard technology that allows for greater team collaboration.
Updated : December 9, 2024
Naim Vakeel is a content writer who specializes in making the integration and management of business phone systems simple and practical. His content is all about providing clear, actionable advice on how to use VoIP and virtual phone solutions effectively, helping businesses streamline their communication setup.
Subscribe to our newsletter & never miss our latest news and promotions.
+24K people have already subscribed