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Understanding VoIP: what is it and how could it benefit my business?

A rising number of businesses around the world are ditching traditional analogue phone systems in favour of VoIP solutions. But what exactly is this technology, and could it benefit your organisation? Here, we take a look at how VoIP works and the advantages it may bring to your business.

Voice over Internet Protocol explained

 VoIP is short for ‘Voice over Internet Protocol’ and it refers to a type of communications technology that is used for carrying voice telephone traffic over a data network – most commonly the internet. It allows users to make calls via their broadband connections and is an increasingly popular alternative to traditional phone systems. VoIP solutions convert sound into packets of data that are then sent over the internet. When they reach their destination, a second VoIP device converts these data packages back into sound.

VoIP can be used as a straight substitute for traditional phone systems, but it also supports a range of extra features. For example, telecommunications companies such as POP Telecom offer VoIP packages that have features such as mobile twinning, which allows users to link their desk extensions to their mobile phones.

Requires no technical expertise

One of the big advantages of using VoIP for your business is the fact that these solutions require very little technical know-how to install and operate. The conversion of voice to digital signals occurs via software as opposed to hardware, meaning the systems are easy to set up, run and adapt. Because of this, they are a user-friendly means of communication for organisations of all types and sizes.

Saves you money

Crucially, VoIP can save you money too – and potentially lots of it over the long term. The installation of these systems tends to be cheaper than conventional phones, and calls are generally less costly too – especially long-distance calls. Particularly if your business makes a lot of phone calls, you might be surprised by how much money this technology can save you.

Gives you added flexibility

VoIP is highly flexible. If you need to scale your phone system up, you can do it quickly, easily and at minimal cost if you have one of these IP telephony solutions in place. In contrast, if you rely on traditional phones, this could take longer and be more expensive. Given that it’s often difficult to predict how much phone capacity you will need weeks or months in advance, this scalability can be a major advantage.

VoIP gives you extra flexibility in other ways too. As mentioned previously, it allows for mobile twinning and other call routing solutions. It also allows users to make and receive calls from their VoIP numbers wherever they are as long as they have a high-speed web connection and a VoIP-enabled device. The technology allows for videoconferencing too.

Better for business continuity

Another benefit of these systems is the fact that they allow for improved business continuity. Whereas with a traditional phone system you are restricted to making and receiving calls in your office where the physical infrastructure of your phone network resides, with VoIP you don’t have this limitation. This means that in the event of an emergency that prevents you from using your office, you are able to stay in contact with your customers, suppliers and so on with ease. This can be vital for protecting your sales, customer service levels and more.

So, if you haven’t yet switched to VoIP technology, now could be the time to make the change. It’s certainly well worth investigating the technology further to see how it may help your business to thrive.