Skip to main content

«  Learning Center


What is VoIP and What Are its Benefits?

May 5th, 2023 | 3 min. read

By Jordan Pioth

Business woman talking on phone working on a laptop

If your organization has a poor performing phone service, it can hinder communication among employees, resulting in decreased productivity and collaboration on projects.

If you are not familiar with VoIP and the benefits it can bring, you may not know how it can improve the way your organization communicates. Learning what VoIP is and the benefits it offers of it will help you determine if it is a good fit for your organization.

Coeo has helped thousands of customers with their phone service by integrating VoIP technology.

We want to provide you with information on VoIP solutions so you can determine if it will improve your poor-performing phone service resulting in better communication and productivity.

By the end of this article, you will know what VoIP technology is and the benefits it offers organizations.

What is VoIP?

Voice over Internet Protocol (VoIP) is a technology that uses IP protocol to allow you to make and receive calls over the internet. VoIP can also be referred to as Hosted VoIP or cloud-based phone systems which have similar meanings.

Driven by the acceptance of the remote work environment, VoIP has become more prominent and is used by many organizations throughout every industry. VoIP is connected to the internet so it does not require as much hardware at your physical location.

A traditional PBX phone system requires hardware to be installed at your location making it more expensive and requiring space for the hardware to reside.

However, a VoIP provider only needs to install an SBC at the location which is managed by the provider.

VoIP technology can be connected to your phone system by dedicated fiber or a broadband internet connection.

Without the hardware requirements, VoIP works effectively in a remote work environment. It allows you to make and receive phone calls using a wireless phone from any location that has an internet connection.

A VoIP connection is integrated into your phone system by a VoIP provider that manages the hardware and services from their data centers.

VoIP technology functions by taking your analog signal and converting it to a digital voice signal that is sent to your VoIP provider.

The VoIP provider receives this signal and then connects it to the Public Switch Telephone Network (PSTN), allowing you to make and receive calls over the internet.

Benefits of a VoIP connection

A VoIP connection can bring improvements to the phone systems of many organizations. The main benefits a VoIP connection can bring to your organization include:

●      Cost savings

Because VoIP requires minimal hardware, it is a less expensive service eliminating or reducing the need for hardware, installation, and maintenance costs.

●      Better flexibility and scalability

Since all a VoIP connection requires is a strong internet connection to make and receive calls, you can use your VoIP technology phone system anywhere that has an internet connection and on any device that can connect to the internet.

This makes VoIP technology one of the most flexible phone services on the market. It allows your employees to take their work anywhere.

In addition to better flexibility, VoIP ensures your phone services are more scalable than traditional phone systems. Because VoIP does not require much hardware or installation, adding new phones is much easier.

This ensures better scalability when it comes to adding new phones for a growing business. If your organization continues to grow and add employees, more phones are also needed. VoIP makes these additions easy.

●      Downloadable applications

Most VoIP providers offer the ability to download desktop and mobile applications to allow you to make and receive phone calls using laptops, desktops, and mobile phones.

These applications allow more flexibility since you can make and receive calls anywhere using any device.

●      Easy to understand

A VoIP connection makes managing your phone system much simpler. Since the technology is much less complex, it makes it easier for you to manage your phone system on your own without feeling like you need significant telecommunications expertise.

It can be difficult to get everyone in the organization on board with a new solution or service when it involves change. With VoIP, there is minimal impact on how employees perform their roles.

This makes it easier to understand and easier for your employees to adapt with little to no change. This also allows you to customize your solution to your organization’s needs.

Customizing the technology is easy to do on your own. With traditional phone systems, it can be difficult to make changes to your phone system since it typically requires you to contact your provider to make these changes.

It typically takes days or even weeks for your provider to make these changes and the provider will typically charge a fee to perform this service.

Since VoIP is easy to understand and customize, your organization will be able to make changes to your phone system without needing to go through your provider.

Next steps to purchasing VoIP

Now you know what VoIP is and the benefits it can bring to your organization. This will enable you to determine if VoIP is a good fit for your organization.

No one wants to experience a poor-performing phone system that hinders the communication and productivity of your organization.

Knowing what VoIP is and the benefits it brings to an organization will help your organization make a better decision when deciding to invest in a VoIP solution.

Coeo has helped thousands of customers with their phone systems by delivering VoIP solutions. We want to make sure you know what VoIP is and the benefits it can bring to your organization so you can determine if it is the best fit for your organization.

If you would like to speak with our team to talk about VoIP or ask any questions you may have you can schedule an appointment.TALK TO AN EXPERT

Read these articles below to learn more about VoIP:

Jordan Pioth

When he's not creating content for Coeo, Jordan loves to watch sports, hang out with friends and family, and anything sneaker-related.