Even if you don’t know what it means, you’ve likely heard the term “VoIP” before. Businesses have used Voice over Internet Protocol (VoIP) for decades as their primary method of communication.

We’ll discuss what VoIP means, how it works, and other interesting facts about VoIP!

Related: SE Telecom Voice Solutions

What Does VoIP Mean?

VoIP doesn’t use phone lines; instead, it allows you to make calls over your internet connection. Voice over Internet Protocol providers set up these calls rather than a telephone company.

It uses digital signals to send your voice to others and vice versa. VoIP is an effective, affordable option for many businesses — there’s no need to run copper wires through their buildings as long as they have an internet connection.

We’ll explore the benefits of VoIP for businesses later in this article, but for now, let’s look at how VoIP works.

Looking for the best VoIP solution for your organization? Book a demo with our VoIP experts to see how your business can benefit!

How Do VoIP Work for Business?

As we mentioned above, VoIP phone systems allow businesses and people to make calls using their internet connection. If you can access the internet, you can make calls to any other phone, even if it doesn’t use VoIP.

A simple Voice over Internet Protocol setup needs two things besides an internet connection — a compatible desk phone and a reliable service provider. Many businesses prefer VoIP over landlines because the phones offer features not possible with other types of services.

You would manage this VoIP service through your provider’s online dashboard, where all of your VoIP data gets stored. You can add new lines, set up call forwarding, and customize other professional calling features.

You probably pay for an internet connection already; why should you pay a telephone provider when you can spend much less on a VoIP provider and get reliable service with more features? With the widespread availability of high-speed internet, it’s easier than ever to get started with VoIP.

Why Businesses Choose VoIP Over Other Phone Systems

Many companies use VoIP services for various reasons. For example, VoIP provides reliable service at a significantly lower cost than landlines. You also don’t need a server room, like with a PBX system — a VoIP-enabled desk phone is all each employee needs.

In addition, VoIP phone systems come with an array of professional features:

  1. Auto Attendant

When you call another company, you get an automated menu that directs you to the right person or department — an auto attendant.

Auto attendants are standard features you get with most VoIP services. They can forward calls, direct your customers, and answer common questions — an auto attendant is an excellent tool that helps your company project professionalism when customers call.

Related: RingCentral VoIP Services

  1. Call Encryption
A smartphone with a lock symbol

VoIP is a safe, secure way for business owners to handle calls regarding sensitive information, like payment details and confidential conversations.

VoIP desk phones and service providers have built-in security measures to keep your business’s data and your customer’s information safe.

It’s also possible to encrypt calls through your VoIP provider to make it almost impossible for anyone to listen in or record ingoing and outgoing calls.

  1. Call Recording

VoIP also makes recording calls through your phone system easy, allowing you to monitor conversations between your customer support team and your customers. You need to ensure your CSRs handle each call with care, and with VoIP, you can do so without extra effort.

These recordings are a secure way to find where your team can improve and where they are doing great. In addition, VoIP recording doesn’t require you to buy extra hardware like with a landline phone system.

  1. HD Quality

Your CSRs need to clearly hear your customers, and your team needs to be able to communicate with each other efficiently — call quality is something that landlines don’t excel at; VoIP services ensure your calls come in and go out clear as day.

Plus, you can get HD noise-canceling VoIP headsets to get even better sound quality from your phone system.

  1. Mobile and Desktop Service

If you get a high-quality VoIP phone system and work with a reputable provider, you’ll be able to use software to take and make calls from any device, from anywhere.

So, especially as hybrid and remote work is thriving, your employees can use the same VoIP service at home or at the office.

They can make calls and send texts through the VoIP service without having a separate desk phone!

  1. Unified Communications

Finally, some VoIP services act as a unified communications platform — you don’t have to use ten different apps for communication; instead, you use a fully-integrated system for your entire company.

It also makes it seamless for employees to connect with your customers and their coworkers, as they can instantly transfer calls between their desk phones and mobile devices.

The features of a unified communications platform also include things like screen sharing, video chat, conference calling, and more.

Choose the Right VoIP Service Provider for Your Business

Two men viewing VoIP service providers on a tablet

If you have an internet connection, saving money and increasing employee productivity is easy by switching to a VoIP system.

Related: Remote Office Phone Systems

You can choose between getting VoIP desk phones for your in-office team or using “softphones” — apps that allow you to make and take calls from any device connected to the internet.

The final piece you’ll need is a VoIP service provider that can meet all of your needs. The best way to get a reliable VoIP system for high-quality calls is by partnering with a reliable vendor.

You’ll want to consider factors like:

  • Upfront installation fees and monthly costs
  • The VoIP provider’s customer service quality
  • Business case studies and reviews from users
  • Their average uptime (this determines reliability)
  • How easy it is to use their phone system, app, etc.

At SE Telecom, we help businesses communicate better. If you want a communications solution that saves money and increases efficiency in and out of your office, reach out today.