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Top 10 Benefits of VoIP Phone System

VoIP-Voice over Internet Protocol is Internet based telephony of modern era; it is also referred to as IP telephony. As the name suggests, it is used for placing calls (incoming and outgoing calls) over the internet protocol.

VoIP is a cloud-based phone system.  Analog signals are turned into digital signals. These digital signals are compressed into data packets and transmitted over the IP network. On the receiving end these data packets are uncompressed and turned into analog signals or voice again that can be heard by the listener.

There is a plethora of VoIP software available on the market; most of them are providing free services along with paid plans. Following are some examples of VoIP software:

  1. WhatApp
  2. Skype
  3. Viber  
  4. Google Voice
  5. Google Hangouts
  6. Facebook Messenger
  7. Zoom

Due to extensive range of benefits, VoIP has become an essential component of modern businesses. Let’s explore top 10 benefits of VoIP phone system that are making it popular.

VoIP is Affordable

VoIP is affordable in multiple ways such as it reduces cost for long distance calls, saves the cost of expensive hardware, minimises expenses on office space, more numbers can be added free of cost.

 In businesses you need to make long distance or international calls frequently. With traditional phone system, international calling is very expensive. Whereas VoIP uses internet protocol for placing international calls at minimal charges, thus reducing cost.

Unlike traditional phone system, VoIP phone system does not require any hardware or expensive equipment. Only a robust internet connection is required along with internet connected device which can work as a VoIP phone, thus saves you from buying expensive hardware.

If your business is at multiple locations, VoIP is ideal for you as you do not need to buy separate hardware for multiple offices. With VoIP, you do not need to worry about office space, the electricity or maintenance charges and transport/fuel allowance for your employees as VoIP allows remote working. The remote workforce can be managed by VoIP free of cost, without spending money on offices and bills etc.

Now, you can add more numbers or participants over the internet, without paying any charges. It eliminates the need for individual lines. Whereas with traditional phone system, you need to pay for adding more lines. 

There are no upfront costs or maintenance charges. You just need to pay internet fee and that’s it… the best thing is that most of the VoIP features are free. Thus, VoIP users can proudly claim that it is cost effective; saves your money and reduces expenses. 

  •  VoIP is incredibly Flexible

VoIP is flexible in a way that it allows working from any devices such as smartphones, computers, laptops, tabs. Unlike traditional phone system, you do not need to be tied to your desk phone for business communications. You can easily switch between desktop and mobile phones for effective communication.

VoIP is without bounds, it allows remote working, means you can work from anywhere using network connection. VoIP provides access around the globe. You can use the same business phone number for business communications no matter wherever you are. 

  •  VoIP is Easily Scalable

As your business expands, you do not need to add expensive hardware or phone lines. Unlike traditional phone system, more phone numbers can be added in no time directly from your management portal as your userbase grows, thus supporting business growth. Whereas adding more lines in traditional telephone system is not easy at all; it is slow and costly.

VoIP can be implemented quickly as scaling up or down is easy as your business grows or changes. It can be upgraded and configured easily according to your individual or business requirements unlike traditional telephony.

  •  HD Calling

VoIP offers clarity and high-quality audio/video calling, without any lag, latency or dropped calls as long as fast speed and stable internet connection is available.

  •  VoIP is Reliable

With advancement of technology, VoIP is also evolving. It is adopted by many businesses worldwide.

  •  VoIP makes business mobile

VoIP increases mobility, you can perform your business operations while on the go. It is ideal for the businesses having remote workforce, because it can easily integrate with your mobile wherever you go. VoIP allows data access possible for remote workforce as data is stored within cloud. Your remote teams now access data and VoIP tools from anywhere provided with internet connection.

  •  VoIP is a disruptive technology

It safeguards your business future as it is constantly developing and offering new features causing disruption in telecommunication industry, whereas other technologies are becoming redundant and outdated. That is the reason, you do not feel insecure while investing in VoIP technology.

VoIP is disruptive as it jeopardised the future of traditional telephony by introducing latest features.

  • VoIP offers multi-channel communication

VoIP not only offers instant messaging, but voice calling, sending voice notes, virtual faxing, and video conferencing and much more. VoIP offers unified communication platform-meaning all communication under one roof.

  •  Increased security

VoIP security features safeguard your company against cybercrimes by data encryption and identity management and authentication. Being a cloud-based telephone system, it stores data within a cloud, and nobody can access data without permission, thus providing a secure platform.

While calling you can create your own pin which is end to end encrypted and others can access to it if you share that pin and allow them to participate.

  •  Integration

It is a cloud-based phone system and can be integrated with other cloud-based applications. you can integrate your business phone system in Microsoft Outlook, Microsoft Teams or your CRM and more. CRM integration allows you to develop an insight into every communication that a customer is having with your organisation Through integration, VoIP offers a centralised platform. This centralized control may result in improved productivity.

Artificial Intelligence, when integrates with VoIP offers several functions like automation, analysing call data, speech recognition, scheduling and organising meetings/tasks, pattern recognition and provides customers’ information. This can help the remote workforce in handling customers and providing better customer experience. 

When VoIP integrates with IoT, manages remote workforce as well as enhance business performance and ensure security.

  • Advanced Features

Hosted VoIP is flexible and can scale to your needs. Small scale or start-ups may need minimal features but larger enterprises need to unlock advanced features for effective business communications Advanced Features of VoIP Phone systems include:

  • Voicemail-to-email – With this feature, important messages are delivered as audio files directly to your email account so you can pick them up on whatever device you’re using.
  • Pre-recorded messages to people on hold – The people who are waiting on hold can listen to a pre-recorded message. Some businesses utilise this time for product/service promotions 
  • Auto attendants lend credibility and better customer experience by automatically responding call.
  • Call recording- Call recording allows call monitoring to avoid inappropriate use of language over the phone call.
  • Unlimited VoIP numbers – You can avail unlimited VoIP phone numbers. Whether local, national or even international, you can add a new number quickly.
  • Call routing – this feature allows you to set up call routing based on the time of day, so calls are sent to various destinations or played a different recorded message depending on the time they call you.
  • Busy lamp keys – through this feature, you can check the availability of your co workers
  • Reporting and monitoring – Many VoIP services for contact centre solutions offer easy access to the metrics and oversight you need to make smarter staffing and training decisions.
  • Interactive voice recognition (IVR): By using this feature, you can route your client’s call to the relevant department allowing your customers to speak their needs.
  • Automated Call Distribution: For contact centres or high call volume needs
  • Remote Management – Web-based administration for adding phone lines
  • Video chat and teleconferencing – allows you to communicate, collaborate, plan, and conduct virtual meetings among team members.
  • Virtual faxing- Now you can send and receive Fax from computer, instead of using fax machine.
  • Call analytics and Reporting – Data can be viewed through call analytics and reports about employees’ performance can be generated automatically.
  • Dashboards – allow managers to be updated about teams’ or individual performance


Any company that is in search of robust, efficient and cheaper telecommunication system, will be suggested to have VoIP. VoIP is a communication and collaboration platform. It is a better alternative to traditional phone system in many ways such as flexibility, scalability, mobility, affordability, reliability. It is brimming with advanced features, optimises business operations and last but not the least it is cost effective. All these benefits make VoIP distinctive from other technologies.


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