VoIP Systems 101: An Introduction to VoIP Communication

VoIP Systems 101: An Introduction to VoIP Communication

The best VoIP systems help small and large companies maintain their business communication with more reliability and cost-effectiveness compared to traditional phone systems. Read more to learn about the unique characteristics of VoIP systems to see how they can be the ideal solution to your company’s communication woes.

What is a VoIP System?

Voice over Internet Protocol, also known as VoIP systems, allows you to make and receive calls via your internet connection. Since its inception, VoIP systems have evolved to resolve all communication needs of modern businesses trying to thrive in this post-pandemic environment with enhanced communication tools and collaboration tools.

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How Does a VoIP System Work?

VoIP systems convert your call from analog to digital using digital data packets that are compressed and transmitted via the internet. The receiver of the call will receive uncompressed data and receive your message.

To make calls using a VoIP system, you will need a SIP-compatible desk phone and a VoIP calling app to make calls over your internet service provider’s connection. This allows your company to eliminate the cost of phone communication when you can use your internet connection for multiple purposes.

Hence, the requirements to maintain an efficient VoIP system include the following:

Network Router

It is important that your VoIP router can handle the network bandwidth required to make clear VoIP system phone calls. Investing in a separate router for your business’s VoIP system may be wise.

Phones and Devices

You may want to look into SIP trunking business phones, softphones, or analog telephones with VoIP adapters to use your VoIP system successfully.

What Can a VoIP System Do?

Let’s explore the different types of VoIP systems available now:

Hosted VoIP systems

Hosted VoIP systems provide unified communication solutions using cloud-based phone systems or cloud PBX services. As the name suggests, Hosted VoIP systems are hosted and managed by a third-party VoIP provider. This is ideal for small businesses that are not looking to make huge investments in their communication infrastructure. The best part about hosted VoIP systems is the automatic updates and upgrades provided by the service providers. Hence, there will not be any downtime when using hosted VoIP systems.

You can subscribe to a VoIP system provider of your choice and deploy a limited plan on a per-user basis. With growing concerns about VoIP system security, you can be assured that hosted VoIP systems will frequently update their security features to ensure VoIP security.

On-Premise VoIP systems

On-premise VoIP systems come with hefty price tags and can be ideal for large enterprises that need constant communication between departments. This is either owned or leased by a business to remain on the main premises and usually comes with a significant cost to install and maintain. However, some companies prefer security assurance when using on-premise VoIP systems instead of putting the security of their VoIP system in the hands of third-party providers.

Hybrid VoIP systems

Hybrid VoIP systems provide the best of both worlds and allow VoIP systems to be used over VoIP systems to be used over cloud services as well as traditional phone networks. This option can be beneficial to businesses that maintain their operations on-site as well as in remote locations to provide improved flexibility in communication.

Why Do Businesses Need VoIP Systems?

VoIP systems are a reliable way to ensure communication with your employees and customers while being incredibly cost-effective. You can provide much more advanced features using VoIP systems than a traditional phone system.

Some of the best features of VoIP systems include the following:

Unlimited calls

You can call any number within your region without any additional carrier charges.

Auto attendant

The correct customer greeting can go a long way when it comes to making a good first impression. The auto attendant feature is also able to direct the calls to the right agents using automated responses.

Call queues

Your agents can attend to callers as they become available using the call queue feature. This way, customers can reach you consistently without getting an annoying busy tone.

Conference lines

You can conduct meetings with multiple teams and team members with conference call capabilities of VoIP systems.


You can now read your voicemails without having to listen to long messages when using a VoIP system.

Mobile options

Current VoIP systems come with mobile support to ensure that you can stay connected no matter where you are. This can promote team collaboration if your company follows the modern hybrid workplace model or favors remote working.

Collaboration features

With instant messaging and audio and video conferencing capabilities, VoIP systems promote collaboration within different departments within your business.

CRM integrations

A customer relationships management solution is one of the best software to be integrated with VoIP systems. This would improve the efficiency of your customer service teams when the full call history of a customer is available to them using a CRM. The integrated workflow created with a VoIP system and CRM integration will improve the efficiency of your call center staff.

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