Usefulness of VoIP Technology in Small Businesses

VoIP Technology

Usefulness Of VoIP Technology In Small Businesses

VoIP technology has multiple features which benefit small businesses. With the help of VoIP technology, one can lower the production costs. Also, it helps to their business to witness rapid growth.


VoIP Technology is one of the most interesting technologies of the 21st century. As the internet is available easily, the VoIP usage increases worldwide. Developments in technology and introduction of latest features add to the progress of the VoIP industry.  Because of its advanced features, VoIP leaves the old PSTN telecommunication network far behind. Now people prefer VoIP over other means of telecommunication. The most striking feature of VoIP technology that attracts people most is the low-cost feature. VoIP technology charges a minimal amount of what the traditional service providers charge. Here you can read more about the IP Telephony: Various Uses & Future Prospects of IP Telephony

Workings of VoIP technology

VoIP technology that allows its users to make calls using the internet. This is different to the traditional PSTN or the analog phone system. In VoIP technology, the conversion of analog voice calls into packets of data take place. The packets thereafter travel like any other type of data, such as e-mail, over the public Internet or any private Internet Protocol (IP) network. At times the IP Packets convert to a regular telephone signal. This happens when there is a regular telephone at the receiving end of the call. To know more about VoIP technology check here.

Uses of VoIP Technology in Business

There are many uses of VoIP technology. And many small businesses take up this technology for the betterment of their services. According to report, with the use of VoIP technology, small businesses reduce the cost of their local calls by up to 40%. And on the matter of international calls, the cost reduces by 90%. VoIP also helps to cut down the initial start-up costs for a new business by up to 90%. Therefore, one can find VoIP in popular industries like estate management sector, hospitality industry, educational sector, oil & gas industry, fast foods supermarkets and chain stores, health sector, banking industry, outsourcing and many more.
Here are some ways in which VoIP technology is used in small businesses:

  • Cost reduction:

For a small business, the production cost is important. If the production costs are more than the outcome, the business faces loss. VoIP helps in lowering the production cost. The huge amount of money which goes in paying telephone bills for a business consumes much of the capital amount. Hence with VoIP one can add extra phone lines easily. VoIP allows sending more than one phone call across the same web-based network. Therefore this also helps to reduce the cost of putting up several phone lines.

  • Better communication:

To make a business successful, communication is one of the most important things. With good communication, a business prospers. Communication bridges the gap between different sections of a business. This also helps them to coordinate better. VoIP technology offers some of the best ways for communication available in today’s world.

  • Faster and easier:

VoIP speeds up to several processes. With the traditional PSTN, the waiting period for calls is long, thereby causing delays. With the speed of 4G and superior Wi-Fi networks, VoIP works smoothly with no delays. Hence VoIP is the preference. Some people object VoIP on the basis of the quality. But this issue arises only in areas where internet connection is poor and hence effects the VoIP services.

  • Real-time communication:

The real-time communication system allows the users to exchange information instantly. In today’s world, faster interaction is one of the prime necessities of any business.  Real-time communication improves any business. The increase of the productivity results in higher mobility and too quick decision making. Real-time communication is not only just the passing of the information but also one-to-one communication. It is the instant transmission of the message where the source and the destination both are present at the same time.

  • Conferencing:

Web conferencing combines together the advantages of a typical phone conversation and those of a live video feed. It also provides the ability to conduct chats via IM (instant messaging) during the web conference. This feature allows one to type, text and communicates verbally to other attendees of the conference. Conferencing is also useful in business which has branches in multiple countries across the world.  Personal or face-to-face meetings are possible through conferencing. Here workers from different locations around the world come together for discussion. Therefore saving both time and travel expenditure.

  • Increase in flexibility, mobility & productivity:

With businesses now spreading worldwide, companies recruit people from different countries according to the requirement. As it is not always feasible to open office location across nations, these remote workers work from their home. This increases productivity as the company has skilled professionals without adding any extra cost. VoIP technology is also flexible in terms of accessibility. One can access and use VoIP from anywhere in the world and at any time as long as you have an internet connection. One can further use VoIP devices on-the-go bringing in the feature of mobility.

  • The latest addition of features:

Some of the other interesting VoIP features include: Call routing and call forwarding, voice and data integration, automated attendant.

VoIP as a technology not only benefits the end users or the consumers but also provides business opportunities as well. There are many VoIP Service Providers around the world who provide quality services. Apart from the benefits of VoIP in a business, VoIP business itself proves to be a choice of the entrepreneurs. To know how VoIP business is a good choice for you check here: Why Should You Choose Reseller VoIP Business?


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