Business

VoIP vs Landline; the battle for better business phone sorted!

VoIP vs Landline; the battle for better business phone sorted!

An effective communication link between a company and its clients and its workforce is ultimately crucial in the success of that business. Whether it’s the internal communication, critical for effective performance or with the clients, necessary for the businesses sustainability a voice communication channel is unavoidable. Research states that approximately 70 percent of the leads are lost by businesses due to their failure in responding to the calls in due time, usually 2 days.

Considering these statistical results, it becomes imperative to have a business phone installed at your facility. But the big question remains: Whether to go for a Landline or VoIP?

Worry no more, read away to have this dilemma sorted, once and for all.

Don’t have time to go through the entire text? Click on the necessary topics and read away:

What is Voice over Internet Protocol (VoIP)?

What is Landline?

Landline vs VoIP

Comparing Functionality

Advantages and disadvantages

Sample pricing structure of Business VoIP

How to set up a VoIP connection

Bottom Line

 VoIP vs Landline

 

What is VoIP?

The Voice over Internet Protocol (VoIP) as the name suggests, works on the business’s existing Internet connection instead of copper wires, it uses the internet connection to send and receive voice messages by converting audio signals to digital ones traveling over the broadband internet service, be it fiber optic, cable or DSL.

Approximately 25% of households in the U.S. were using VoIP in 2013 and the number has grown significantly over time. The benefits and features offered by VoIP as compared to traditional landlines are making businesses and households to make a switch to them. Let’s have a detailed look at the pros and cons, to make this decision easier for you.

What is Landline?

The good old Landline service, also termed as PSTN’s (Public Switched Telephone Networks) run on analog systems through copper wiring done by a local service provider. And In order for businesses to have multiple phone extensions and features like call transferring and extension directories, they’ll have to get a private branch exchange (PBX) installed on the facility of business operations.

 

— “Save up to 33 minutes per day per resource!” —

Functionality Compared

VoIP and landline phones have major technological, scale and cost differences, some of the prominent ones are listed underneath.

VoIP and landline phones

VoIP vs Landline; the good the bad

Business needs vary from market to market, industry to industry and category to category. And each business has its unique needs to operate smoothly.

Advantages Landline VoIP
●       Service independent of internet connectivity and works just as fine in a situation of a power outage

●       Simple and convenient technology helps save time in usage-trainings and maintenance periods.

●       Data transfer over copper wires is safer than one over the internet in the form of data packets

●       One can conveniently count on landline option in emergency situations.

●       With improved technology and better internet speeds, VoIP is getting more reliable over time.

●       Unlimited Domestic calling feature almost always offered by all service providers

●       A great number of additional features as compared to landlines in almost the same expense or burden on your pocket.

●       Easiest Scalability to meet your specific business needs, without having to install additional hardware.

●       It doesn’t necessarily require a physical phone, can be activated on any mobile device or desktop virtual phone software too.

●       Features like team collaboration, Video and file sharing option and much more to facilitate you in carrying out effective business operations.

 

 

Disadvantages Landline VoIP
●       Higher adaption and maintenance costs with lesser features and functionality

●       Due to limited features, every new feature asks for new hardware installation and additional costs to function

●       Lesser service providers hence lesser options to choose from, even harder for rural areas.

●       Scalability requires greater effort since new hardware has to be installed for it to work.

●       Complete lack of mobility since the connection is fixed at one place.

●       Service is still dependent upon internet connection and electricity and might fail in situations of Power outages, loads of work still needs  to be done in this domain

 

Hence, along with the pros and cons, the good the bad, landlines are reliable in situations of power outages but in terms of utility and features, VoIP tend to win the battle.

The VoIP industry is expected to grow to a whopping $140 billion by the year 2021. Businesses are investing in this technology thus ensuring its better future and technological growth. Research states that businesses accommodating VoIP technology for communication purposes can save up to 33 minutes per day per resource since it allows instant direct access to the target person. VoIP comes with the feature of call transfer or rerouting, in case you’re unavailable your call will automatically be rerouted to your peer depending upon the features you have had activated for your VoIP connection.

Sample Pricing Structure for Business VoIP:

A handsome number of service providers are, luckily, offering this technology at competitive rates with great features, we have compared a few for your convenience, just an attempt to give you a clearer picture.

On a general note, Business VoIP services start on average at as low as $15.99/month. Pricing will vary depending upon the time of subscription and some offer bundles on annual or month-to-month billing subscription.

Almost all providers don’t charge anything in the name of setup fee since no considerable hardware set up is needed. The provider will have to get account information and will give you phone numbers in case you don’t have existing ones and your organization will be good to go.

VoIP is the only offering which will have different charges depending upon the package you choose but still will be considerably lower than the amount of expenses caused by landline services in the longer run.

For example, we went on to look at the Business Phone Services offered by Spectrum packages

  • The service starts as low as $29.99/mo when bundled
  • Unlimited Local and long distance calls
  • Covering areas U.S, Canada, Puerto Rico, Guam, and the Virgin Islands
  • And has over 30 Business calling features such as Caller ID, Voicemail, Hold, call hunting, 3 Way Calling, Voicemail to Email, the last number redial and a lot more.

All of this costs a lot less on average if bundled with internet or TV packages according to the individual business requirements. To sum it up, VoIP is a long-term investment which will only grow positively, over the period of time.

How to switch to VoIP?

Now that the debate has come to a conclusion, you must be wondering how you can make the switch, and shift to VoIP and enjoy great features and cost-effective services. All you need is:

  • A reliable ISP (Internet Service Provider)
  • SIP enabled device, the one used to set up voice communication over the internet.
  • The VoIP service provider, even better you can opt for both internet and voice service from the same provider.

Conclusion:

VoIP market is full of service providers giving you a handful of options to choose from and competitive rates to compare and choose what suits your organizational needs best. Share your experience with us in the comments below, let me know how I can be of any help to you.