Voice over Internet Protocol (VoIP) phone systems have revolutionized business communications. In this comprehensive guide for beginners, we‘ll cover everything you need to know about making the switch from traditional landlines to cloud-based VoIP services.
Contents
- Chapter 1: What Exactly is VoIP and How Does it Work?
- Chapter 2: Key Benefits of VoIP Phone Service for Businesses
- Chapter 3: VoIP System Components and Hardware
- Chapter 4: Selecting and Implementing a VoIP Solution
- Chapter 5: Residential VoIP Providers for Remote Workers
- Chapter 6: Troubleshooting VoIP Call Quality Issues
- Chapter 7: VoIP Integrations and Unified Communications
- Chapter 8: VoIP Security, Reliability and Call Quality
- Chapter 9: VoIP Glossary for Beginners
- Chapter 10: Conclusion and Recommendations
Chapter 1: What Exactly is VoIP and How Does it Work?
VoIP, stands for Voice over Internet Protocol, is a technology that allows users to make and receive phone calls over the Internet instead of traditional analog telephone lines.
In simple terms, VoIP converts voice communications into data packets that are transmitted over IP networks like the Internet. It digitizes analog audio signals from your voice, compresses them, and sends them as small packets of data to the recipient. At the other end, the packets are decompressed, decoded and converted back into audible signals for the listener.
VoIP converts voice to data packets that are transmitted over the Internet.
VoIP leverages your existing Internet connection to route calls instead of relying on the traditional Public Switched Telephone Network (PSTN). This allows businesses to consolidate voice and data communications over a common network infrastructure.
The roots of VoIP date back to the 1970s when early packet network research laid the groundwork for voice communications over wide area networks. But it wasn‘t until the late 90s and early 2000s that VoIP started to become viable for mainstream business use cases.
Advances in audio codecs for compression, network infrastructure upgrades to broadband, and protocols like SIP (Session Initiation Protocol) standardized VoIP deployments and opened the floodgates.
According to a report by Transparency Market Research, the global VoIP services market stood at a valuation of US$80 billion in 2018. It is projected to expand at an impressive CAGR of 10% from 2019 to 2027.
The report cites the steady shift from traditional PSTN networks to VoIP by enterprise and government customers as a major driver for growth. Cost efficiency, flexibility, mobility and advanced features are propelling VoIP adoption worldwide.
Chapter 2: Key Benefits of VoIP Phone Service for Businesses
There are many reasons why VoIP makes sense for modern businesses:
Cost Savings
VoIP helps reduce telephony costs substantially for businesses. Because voice calls are handled as data over the Internet, most VoIP providers offer unlimited local and long distance calling as part of a flat monthly fee. There are no per-minute charges and international calls are very cheap too.
According to a study by MetTel, companies can save up to 80% compared to traditional phone services. The savings quickly add up considering how much businesses spend on communications.
Flexibility and Mobility
Unlike cumbersome legacy phone systems tied to an office, VoIP systems allow you make calls from anywhere with an Internet connection. Your business number isn‘t linked to a physical location.
VoIP works seamlessly across desktop IP phones, mobile devices, laptop softphones and legacy phones hooked up to an ATA. Employees have tremendous flexibility to work productively from home, job sites or on the road.
Powerful Features
VoIP providers include a wide array of advanced calling features right out of the box. For instance, interactive voice response (IVR) provides automated attendants and menus for callers.
Other popular features include:
- Voicemail to email
- Music on hold
- Auto-dialing
- Call recording
- Ring groups
- Smartphone integration
- CRM integration
- Call analytics
Traditional phone services charge extra fees for add-ons. VoIP includes them as standard.
Scalability
With legacy phone hardware, adding extensions or new lines requires installing new copper wiring. VoIP virtual phone networks are extremely elastic and can be scaled up instantly through software.
As your business grows, you can add agents, phone numbers and capabilities with a few mouse clicks. The technology aligns well with today‘s dynamic work environments.
Improved Reliability
Because calls are transmitted over the Internet, VoIP systems route around local outages or issues. Packets take different paths as needed for reliability.
And with providers like RingCentral, capabilities like auto-call forwarding to staff cell phones act as a failsafe when your primary business Internet connection goes down.
Multi-Device Convenience
VoIP works seamlessly across various devices – desktop IP phones, smartphone mobile apps, laptop softphones and analog phones paired with an ATA adapter.
Employees have full mobility and can take business calls anywhere across multiple devices. This supports flexible work arrangements.
Chapter 3: VoIP System Components and Hardware
There are a variety of components required to get VoIP working for your business:
VoIP Desktop Phones
Dedicated VoIP desk phones look and work much like traditional office phones with handsets, cradles and programmable buttons. But instead of plugging into phone jacks, they connect to your router and local area network via Ethernet.
Popular models include:
- Polycom VVX Series
- Yealink T4 Series
- Cisco 7800 Series
- Avaya J100 Series
Analog Telephone Adapters (ATAs)
An ATA lets you use traditional analog phones with a VoIP network. Simply plug your regular business phone into the ATA using an RJ11 connector. ATAs convert the analog signals for transmission over digital VoIP networks.
Some leading ATAs are:
- Cisco SPA112
- Polycom ATA
- Grandstream HT802
- Patton SN4132
VoIP Gateways
Gateways connect your existing on-premises PBX system to the cloud VoIP provider. This leverages legacy equipment while transitioning to VoIP.
VoIP Routers
Routers provide the IP networking foundation to connect VoIP equipment to the Internet. Any quality business-class router with QoS capabilities, like the Cisco RV340 or TP-Link ER605, will work.
Softphones
A softphone is a software app that allows making VoIP calls directly from your desktop, laptop or mobile device using a headset. Leading options include RingCentral and Zoom softphones.
VoIP Headsets
Headsets with microphones keep your hands free while handling calls. Wireless Bluetooth headsets allow maximum mobility around the office. Top models include Plantronics Voyager 5200 UC and Jabra Evolve 75.
Chapter 4: Selecting and Implementing a VoIP Solution
With the right components in place, implementing a VoIP solution involves three key steps:
1. Selecting a Reliable VoIP Provider
Reputable business VoIP providers like Nextiva, RingCentral and 8×8 offer full-featured service packages at reasonable monthly rates. Compare offerings to pick a provider that best meets your needs.
2. Porting Phone Numbers
Minimize business disruptions by porting your existing numbers over to the new provider. They‘ll handle the number migration free of charge.
3. Training Employees
User training and support is vital when rolling out new communications tools. Take employees through how to use the desktop phones, softphones and mobile apps. Provide user guides and documentation.
Chapter 5: Residential VoIP Providers for Remote Workers
VoIP systems tailored for consumers can be a great option for remote employees working from home. Here are top residential VoIP providers:
Provider | Starting Price | Key Features | Rating |
---|---|---|---|
Ooma | $19.95/month | Unlimited US calls, voicemail, 50+ features, mobile app | 4.5/5 |
Vonage | $29.99/month | Unlimited calls, team messaging, video meetings | 4.3/5 |
Nextiva | $20.95/month | Unlimited calls, SMS, voicemail to email, CRM integrations | 4.7/5 |
8×8 | $29/month | Unlimited calls, meet, chat, SMS + advanced analytics | 4.4/5 |
RingCentral | $29.99/month | Unlimited calls, HD video meetings, integrations | 4.6/5 |
Ooma and Vonage are cost-effective for simple voice calls, while Nextiva, 8×8 and RingCentral add robust features for remote work needs.
Chapter 6: Troubleshooting VoIP Call Quality Issues
While VoIP call quality should equal or surpass landlines, occasionally issues like latency and choppy calls can arise:
Common VoIP call quality issues that can impact clarity
Here are some top troubleshooting tips for resolving call quality problems:
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Upgrade internet speeds – Ensuring sufficient bandwidth with at least 10-25 Mbps down mitigates most issues.
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QoS settings – Enable Quality of Service on routers and switches to prioritize voice traffic.
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Hardwire connections – For desktop phones, connect via Ethernet instead of WiFi whenever possible.
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Check levels – Ensure sound levels properly calibrated, no echoes, distortion or background noise.
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Update firmware – Upgrade routers, switches and phones to latest firmware for fixes.
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Contact support – VoIP providers have experts to diagnose the exact cause of garbled calls.
Following best practices when setting up your network, devices and connections minimizes disruptive VoIP issues. But even then, the occasional glitch may arise requiring support to pinpoint the root cause.
Chapter 7: VoIP Integrations and Unified Communications
Aside from pure voice calls, VoIP systems can integrate with other solutions for unified business communications:
CRM Integration
By linking your VoIP solution to you CRM software like Salesforce or Microsoft Dynamics, helpful caller information automatically pops up on phone screens when customer calls come in.
Video Conferencing
VoIP providers often include video call capabilities out of the box. And team messaging apps like Slack connect directly with VoIP for audio meetings.
Call Center Support
Features like intelligent call routing and real-time dashboards provide visibility into call volumes and agent performance.
Helpdesk Ticketing
Integrating VoIP with helpdesk apps like Zendesk or Freshdesk lets you view relevant ticket details and customer history during support calls.
Office Productivity Suites
VoIP connectivity within Office 365 and G Suite environments enables convenient collaboration.
With some configuration, VoIP platforms can interconnect with virtually all your other business applications for seamless productivity. This streamlines communications and operations.
Chapter 8: VoIP Security, Reliability and Call Quality
Many prospective VoIP adopters have questions regarding security, dependability and call clarity. Let‘s address some common concerns.
Is VoIP Secure?
Leading business VoIP providers implement strong safeguards like end-to-end encryption to protect calls and prevent eavesdropping. VoIP is very secure overall, especially compared to unencrypted analog systems.
Is VoIP Reliable?
VoIP systems are engineered for maximum uptime and route around local outages. With proper bandwidth and call forwarding to cell phones, overall telephony reliability improves compared to old copper lines.
How Good is VoIP Call Quality?
VoIP voice quality is excellent across modern high-speed broadband connections. HD audio with wideband codecs like G.722 deliver superior call clarity exceeding traditional phone services.
Chapter 9: VoIP Glossary for Beginners
Let‘s go over some common VoIP acronyms and jargon:
- ATA – Analog Telephone Adapter
- Codec – Encoding algorithms that compress audio signals
- PBX – Private Branch Exchange
- PoE – Power over Ethernet
- SIP – Session Initiation Protocol
- UC – Unified Communications
- VoIP – Voice over Internet Protocol
Chapter 10: Conclusion and Recommendations
VoIP phone systems provide tremendous business benefits compared to traditional copper line services. Lower costs, improved mobility, built-in features and scalability make VoIP the ideal communications medium for the modern distributed workplace.
Based on extensive first-hand experience, we strongly recommend using enterprise-grade VoIP solutions from top providers like Nextiva, RingCentral or 8×8 rather than opting for cheap consumer-grade options.
Working with a reputable partner ensures reliable uptime, stellar customer support and full-featured packages tailored to your specific needs. The additional peace of mind is well worth the incremental investment.
We hope this comprehensive beginner‘s guide to understanding VoIP has helped demystify the technology and illuminated why it is rapidly becoming the new worldwide standard for business telephony. Let us know if you have any other VoIP questions!