What Are the Benefits of VOIP?
August 18, 2022
Voice-over-internet-protocol (VoIP) technology solves your customer and colleague communication pain-points quickly and efficiently using the internet. VoIP is increasingly popular today as businesses shift to more permanent remote work setups and require effective communication systems that are cost-effective and functional following the COVID-19 pandemic.
61% of companies are switching to VoIP, reducing their telecom costs by an average of 50% by switching from landlines to VoIP. VoIP comes with several benefits, including incredible amounts of flexibility. If you’re considering VoIP system implementation, definitely read on.
What Is VoIP?
In layman's terms, Voice over Internet Protocol (VoIP) refers to the technology used to make phone calls using an internet connection. More specifically, VoIP is the technology that converts your voice into a digital signal that allows you to make a call from your computer or another data-driven device. It is essentially the difference between making a call via landline and making a call using an app on your phone or computer.
Anyone with access to an internet connection can use VoIP for communication, and increasingly that is what both households and businesses are doing. VoIP is an excellent alternative to traditional landlines because there is less startup cost involved. It allows you to make calls using the internet, saving money on long-distance charges.
Setting up a business phone number with VoIP is usually cheaper than installing a landline phone, and it can be done in just a few minutes with a VoIP service provider.
How VoIP Systems Work
So, how does a VoIP system work? Imagine you or a team member is working on a device – it could be a computer, a smartphone, or a VoIP phone. You log in to your VoIP service provider app and make a call to a client.
The VoIP service provider app will convert your analog sound waves into digital data and then transmit them to your internet router. From the router, your internet service provider sends the digital data to your VoIP service provider’s servers. The call reaches the servers and is then re-routed to your client’s phone, regardless of whether it is VoIP enabled or not.
There are a lot of steps in the process, but the call is near-instantaneous. For the person receiving the VoIP call, it seems like any typical phone call. Today, sound technology is so advanced that there is hardly any difference between the quality of a traditional landline phone call and a VoIP call. The phone number associated with your VoIP number will appear on the receiving end as a regular phone number.
In most cases, you can decide from where you would like the number to originate.
Benefits of VoIP
There are many reasons to consider using VoIP technology for personal communications or business needs. Not only is VoIP inexpensive, it gives you and your network flexibility, especially if you are using it for your business.
VoIP Is Affordable
VoIP has a major advantage over traditional land telephone lines, and that is cost. When you contract a VoIP service provider, you’ll have lower monthly costs both domestically and internationally.
Thanks to the internet connection, VoIP frees you from traditional telephone companies. There is no flat fee for calls, but rather you pay for the amount of time you are on the line. In addition, companies can operate their VoIP system across locations, and calls are free when calling within the network.
Access Your Phone System Anywhere
VoIP frees you from traditional phones or headsets. You don’t need to be in the office to use VoIP technology to make calls. Your fixed number, however, will remain the same.
You can also have calls forwarded to your personal or company cellphone to be available even if you’re out of the office.
Leverage Advanced Options
VoIP allows businesses to facilitate conference calls and record them for future reference and, in some cases, remain compliant. There is a central system that allows for online call management to track where and when calls are happening and with who. This is also a great feature to make sure you don’t miss any client calls or new inquiries.
Businesses can also use VoIP to improve their customer service experience. The centralization of call monitoring facilitates communication across multiple VoIP lines. Customers can contact companies more easily using VoIP, and they avoid waiting to be attended to since calls are easily forwarded to the next available system agent.
Most VoIP systems have call identification systems, so you know which client is on the line, and you can integrate the system with your CRM to automatically track any client interactions.
Enjoy More Flexibility than Traditional Phone Systems
VoIP is a system that allows you to utilize various phone numbers quickly, and billing is done by extension, so you can calculate which numbers are going to have more traffic and budget for their use. Most VoIP systems are also pay-as-you-go, so you don’t need to get stuck with a lasting contract.
In general, a VoIP system gives you flexible features that make it an easy option to adopt for businesses that want to adapt and improve their communication. VoIP systems can be used in multiple work settings and scenarios, leaving you with an efficient option to meet your business communication needs.
Manage Incoming Calls
VoIP technology allows you to screen calls in the office or on your cell phone. Depending on the system you adopt, you can also identify where incoming calls originate and possibly more information about the caller before you even pick up the phone. Incoming call management allows you to customize how and when you receive calls, depending on your business’s hours and your target market segmentation. Forwarding various segments to the anticipated reception location will streamline your customer service overall.
VoIP gives you the flexibility to record specific calls. Building on incoming call management, you can preset your VoIP system to automatically record certain calls depending on who you have on the line. Recordings can also be tagged to be stored in your customer relationship management system for future reference and to ensure your communication with your client or customer is consistent.
When specific clients or customers are flagged for recording (privacy regulations, of course, apply), it can help your sales, marketing, and customer service teams engage in the most effective and useful levels of communication.
VoIP systems can be used with specifically dedicated phone systems, but they can also be installed, normally with an app, on a personal computer or cellphone so that it can be used on the go like a normal network provider's cellphone service.
VoIP is more attractive because it can be used across various operating systems without a hitch. You just need internet access. This can empower your team to use their home office hardware with your VoIP system with minimal investment in new devices.
Coupling Information Systems
Chances are you have already invested in various customer management or sales management systems, and taking call notes can be somewhat of a hassle. With VoIP, you can integrate all your systems to ensure your calls are recorded and transcribed for easy access when needed by your internal teams.
As mentioned above, call recordings with permission can be extremely valuable to retain all of the information your sales, marketing, strategy, and customer service teams when on a call can be used to nurture client relationships and learn from past interactions. VoIP can also integrate with your CRM and automatically update client or contact cards, making your sales and marketing teams’ lives easier.
Need Help with VoIP Implementation?
The IT Proactive team can design, implement and install VoIP phone systems that integrate with your current wiring and network infrastructure. We are experts in cellphone integration, auto attendant setup, call routing, call center integration, and Outlook and web integrations, plus much more.