VoIP vs. Traditional Business Phone Systems

VoIP vs. Traditional Business Phone Systems: 6 Ways VoIP Can Save You Money

In Knowledge Base Blog by Robert ConibearLeave a Comment

Cost-cutting has been all the rage in recent months.

With more employees than ever working from home, it’s no surprise: managers have every reason to streamline their operations.

But the truth is: switching your business phone systems from traditional hardware to VoIP services makes sense whether your teammates work remotely or not.

VoIP services not only put an advanced feature set at everyone’s fingertips. They can save businesses large and small a lot of money when compared to more traditional on-site PBX phone systems.

Here are six ways a VoIP provider can help your company save — starting today.

6 Ways VoIP Services Save You Money

If you’re unsure whether switching to VoIP makes sense, here are six cost-saving benefits to consider.

1. Minimal Upfront Expenses

Most traditional business phone systems are expensive to set up. 

You have to pay for the hardware. And if you want to add a feature (say, an auto-attendant to direct calls to the right department), you’ll have to pay for installation, then pay again for the ongoing service.

Now consider that your employees sit scattered across home offices: replicating functionality across multiple locations can mean paying again and again — just to get the same features in more than one place.

Compare the above to cloud-based VoIP services: your VoIP provider can offer their entire feature-set through your existing phone system, including all the functionality your team needs at a price your business can afford.

And should the time come to add more employees to the service, you can do so in real-time, all without paying for additional installations.

2. Low-cost Calls (Local & International)

As the name suggests, ‘Voice over Internet Protocol’ converts voice calls into data that can pass over any internet connection. 

In doing so, the service can all-but-eliminate costly interstate or long-distance call fees. Even international calls can cost as little as 50% of traditional landline telecommunications, depending on the VoIP provider you use.

Some VoIP services also offer international phone numbers on request, meaning you can establish a global presence without ever leaving your home (indeed, your phone bill would barely increase at all).

Outbound calls simply happen using domestic caller IDs, giving the impression you’re a local business — while toll-free numbers re-route to an extension in your home country.

3. No Maintenance Surcharges

Every system needs maintenance. Hardware and software can fail. And you need to factor in these kinds of ongoing costs to any telephone service you use.

Moreover, if you rely on traditional business phone systems, a failure can take an age to rectify, with the downtime costing your business thousands in lost revenues. And that’s before you even consider the cost of the fix.

When you choose a cloud-based VoIP phone service, hardware failures practically vanish, meaning no lost sales. In parallel, the service provider works in the background to perform ongoing maintenance in real-time, all for a fixed monthly fee.

No unexpected costs and next-to-no downtime adds up to significant potential savings.

Not to mention the time saved on simplified budgeting.

4. Unlimited Mobility At No Extra Charge

A traditional landline can have you tied to your chair for fear of missing ‘that important sales call’ — that is, unless you manually re-route calls to a chosen mobile each time you step away from your desk.

On the other hand, a VoIP phone service doesn’t connect to a physical location. Instead, it associates with an account, allowing you to travel freely and take your phone line with you wherever you go.

You can even turn your existing smartphone into a ‘softphone’ by downloading an app, extending your VoIP network without having to buy a new device — then all you need to do is configure your mobile to ring when there’s no answer at your desk, and you’ll never miss a sale.

Better still, any mobile can securely access company directories, preserving productivity and appearances no matter where you roam.

5. Only Pay For The Features You Need

When you use a standard phone service, you have to pre-empt the features you’ll need in the future to avoid falling short on functionality. These come at a cost. And you might end up paying for services you don’t use.

The leading VoIP providers offer flexible subscriptions that allow you to pay for what you need, nothing more. This way, even smaller businesses can access more advanced features like auto-assistants, call re-routing, voicemail-to-email, and ‘Follow Me.’

And these are the kinds of services that enable small businesses to scale and succeed by offering a remarkable customer experience at an affordable cost.

6. Upgrade For Free

No matter the system you use, you’ll need to upgrade it eventually.

Upgrades are the company’s responsibility if you have a traditional on-premises setup, whereas if you use internet telephony, your VoIP provider should upgrade the service on your behalf.

Not only will they do this, but they’ll do it for free, ensuring you get state-of-the-art equipment that’s always up-to-date.

How To Convert A Standard Phone Line To VoIP

VoIP services use a technology called Session Initiation Protocol; or, SIP, for short. The SIP establishes the connection between two phone lines, which lets you make standard and conference calls using an internet connection.

If you have an on-premises PBX, you can connect to SIP trunk services to make and receive VoIP-enabled calls using your existing system and still enjoy all the cost-saving benefits outlined above. But the only way to make the most of VoIP is to find the right provider for your business.

Here are the best VoIP providers we recommend — if you’d like help making a choice, give AngelCom a call at (844) 516-2111.