Have you considered upgrading your business phone system? If so, there’s a good chance you recognize hosted VoIP as a modern, cloud-based solution. Hosted VoIP solutions – sometimes referred to as hosted PBX solutions – offer many advantages over traditional on-site PBXs or other analog setups, which is why it’s a favorite among businesses looking to upgrade their phone systems. Let’s cover a few key differences between those systems before we dive into those advantages.
Traditional PBX Phone Systems
Many businesses leverage a Private Branch Exchange (PBX) to manage their voice network. PBX phone systems create an internal exchange network that connects all phones within a business location, creating a cost-benefit as businesses can have more phones than phone lines. They also facilitate free calls between users. PBX phone systems also allow companies to utilize other essential call features like call transfers, conferencing, auto-attendants and more. PBX phone systems can use several types of transmission protocols, including VoIP, Integrated Services Digital Network (ISDN), session-initiated protocol (SIP) or analog connections. Traditionally, PBX phone systems consist of on-premises hardware that’s monitored and maintained in-house.
What Is Hosted VoIP?
Voice over Internet Protocol (VoIP) refers to a specific protocol used to convert phone calls into data packets that transmit calls over networks. VoIP is widely considered an application rather than a piece of hardware, like a traditional PBX, which explains why some PBX frameworks use VoIP as an application for voice transmission.
Hosted VoIP phone systems do not require an on-premise PBX to work. A hosted VoIP solution migrates all of an on-site PBX’s duties to an off-site VoIP provider’s platform. (Note: Hosted VoIP solutions are also known as hosted PBX solutions). Using a “hosted” solution delivers communications as a paid service – often tracked as an operating expense (OpEx) rather than a capital expenditure (CapEx).
The Advantages of Hosted VoIP
Hosted VoIP services deliver many tangible benefits, including:
- Business Continuity. From global pandemics to severe weather, external events can bring business operations to a halt quickly—sometimes instantly. With these risks in mind, cloud-based phone systems can deliver vital business continuity, allowing your business to transition communications to another location or a work-from-home environment promptly.
- No Up-Front Capital Costs. Removing the need for on-premise phone systems eliminates the need for the heavy up-front capital requirements for on-site equipment and installation. This transition to a pay-as-you-go operational expense is an attractive feature for many businesses.
- No Hardware, No Maintenance. Hosted VoIP moves hardware (except for desktop phones and handsets) maintenance and upgrades off-site to be handled by a trusted VoIP provider. This outsourcing of routine maintenance frees up your internal IT resources for high-value projects and ensures that your system is always up to date.
- Scale at Will. As your business grows, your need to scale communications systems is essential, whether it’s a matter of adding more seats and phones or adding new features. While on-premises systems require seat purchasing in volume-based increments or over-purchasing in advance in an attempt to “future-proof” them, hosted VoIP providers can scale precisely to your needs. No empty seats. No wasted money.
- Always Up to Date. Your hosted VoIP provider remotely manages your system, ensuring that you’re always running the latest technology and security patches and are never out of date.
- Customized Functionality. Hosted VoIP empowers your business to customize phone functionality based on how and where you want to use it, tailorable to an individual user or department needs.
Hosted VoIP Systems for Business
Hosted VoIP systems provide essential contact center features, ensuring (and often enhancing) operational capabilities. Features include:
- Call Queues
- Conference Calling
- Music on Hold
- Voicemail to Email
- Fax to Email
- Toll-Free Numbers
- Auto Attendant
- Follow Me
So, Is Hosted VoIP Right for Your Business?
Since hosted VoIP is a proven solution that delivers tangible benefits on many fronts, the answer to this question is almost certainly “yes.” Still, the provider you choose is vital to getting the most from your upgrade. As one of the industry’s top digital voice solutions providers, we’d love to provide you with a quote or schedule a demo to show you how our hosted VoIP solution can help your company.
Ready to Upgrade to Hosted VoIP?
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