Basics Of VoIP.
What Every Business Owner
Needs To Know Before You Buy.

So what you really want to know is does this basics of VoIP article show you how VoIP phone service can save you money, right? Well before we dig deep in on that, let's cover the basics first, OK?

If you can't wait, skip on down the page…

By the way, if your question is really how does VoIP work, click here and go to that page. The presentation in this article is an introduction to VoIP, about real world decision-making involving when, how and why to implement VoIP phone service in the business arena.

One Size Doesn't Fit All

I am constantly amazed as I browse the Internet and see web sites supposedly devoted to the basics of VoIP and educating business decision makers on VoIP phone services.

Generally these web sites simply assume that any and all telephone users including numerous businesses can save money using this technology. Of course they then have some low-cost offer that is "the best" and "the only" stuff you need.

This is of course no more true than assuming everybody will benefit from having a cell phone, a personal computer or any other technology. The whole one-size-fits-all doesn't sit well with me.

Although I'll be the first to agree that the vast majority of people have a cell phone and at least access to a personal computer, let's play devil's advocate here for a moment. Remember that Plain Old Telephone Service (POTS) has been around for years, is pretty darn cheap and if you think about it is in many ways sometimes more reliable than voice over IP.

If It Ain't Broke, Don't Fix It!

In fact when it comes to analog POTS, you could actually have an electrical power outage at your location, but still be able to plug in a $9.00 Radio Shack telephone handset and make a phone call! Now that's what I call reliable!

POTS has no need for internet access, no need for special equipment, analog adapters. No VoIP 911, VoIP fax or VoIP DID issues.

Also don't forget that for the average small business with less than four or five phone lines and no real need for "mission critical" internet access, the AT&Ts of the world will offer pretty compelling basic analog POTS service with unlimited long distance. Especially if you're willing to sign a forever contract, and give away your 1st born child (-;)

So why buy a bunch of expensive, special equipment and migrate to an admittedly new technology that may really provide you with no clear advantage? Because Time magazine says so? Because VoIP is a buzz word? Well, certainly not because my basics of VoIP says so!

You'd be surprised the number of times I find myself explaining the basics of VoIP and then recommending smaller businesses to simply stay where they are, on analog POTS lines because there is no clear benefit from a switch to VoIP phone service.

Like my Grandpa always said, "If it ain't broke, don't fix it…"

So When Will I Save Money With VoIP?

Ok, Ok, back to the basics of voip, an introduction to VoIP and when it is best used in a business scenario.

So with all that said about basic POTS, I must also agree that business VoIP phone service when properly implemented will generally save many businesses money if they have any number of the fundamental needs shown below:

• Multiple locations -- this is probably the number one business driver for implementing voice over IP as far as I'm concerned. This is the ability to reduce or eliminate long-distance toll charges between a company's branch locations. The higher the long-distance bill currently, the more beneficial VoIP will be.
• Inherent in the multiple location scenario is providing for "on net calling" such as implementing a three or four digit extension dialing scheme (great for conference calls, transferring calls, checking voicemail).
• If combined with a Wide Area network (WAN) deployment (a private IP backbone) a business can also lay the foundation for eliminating branch to branch toll charges as well as Unified Communications (UC) when they implement voip phone services.
• When it comes to customer service and increasing employee efficiency, Unified Communications can be extremely compelling and very beneficial. There are lots of benefits to doing a WAN, not the least of which is convergence of your data transport needs, of course voice over IP is simply data, so when we get to combine it all together – less expensive!
• Massive outbound call volume -- this includes call centers in any business segment, with a lot of outbound customer service calls. The ability of VoIP phone service to drive down and in some cases completely eliminate per minute long distance charges is tremendously advantageous (note I didn't say "free" here, we're basically talking about some form of unlimited long distance, hence capping the monthly cost per phone line or "talk path")
• Remote or virtual workforce -- the ability of various business VoIP platforms to knit together Head Quarters with both traditional brick-and-mortar branch locations and small office or home office workers is second to none. How about taking the telephone or laptop off your desk with you when you go on a trip, plugging it in at the hotel and it functions essentially as if you were sitting at your desk? It even rings when someone calls your business number or extension!
• Need for bulletproof disaster recovery -- businesses that absolutely must have the ability for one or more locations to make and receive phone calls and have internet access no matter the current situation cry out for a hosted PBX VoIP deployment.

OK, So Where Do I Buy This Stuff Anyway?
A.K.A. How Not To Get Ripped Off…

If you have one or more of these needs above, get with a reputable provider and have them do both a Return On Investment (ROI) and Total Cost of Ownership (TCO) analysis for your company. This is the only way to assure you will save money AND have a quality implementation should you migrate to business VoIP phone service.

Many times a Telecom Broker can assist with helping you understand basics of VoIP and determine the best type of VoIP phone service to look at, then get pricing for you and help with choosing a quality service provider.

Many brokers are available; heck they're all OVER the place - like real estate agents! However not all of them are well versed in the basics of VoIP , hosted and managed PBX services and the whole VoIP and data thing. A particularly good one I know of is at The Telecom Broker, if you call them, tell them E-Dude sent you!

If you want to read more about VoIP phone service, stuff like VoIP 911 issues, VoIP devices and SIP trunking, click on these terms or the link below to go to the next tutorial page.

The Next Page in the VoIP tutorial is VoIP FAQ, click to go!

Avoid Costly Mistakes! E-Dude Helps You Choose Best VoIP Providers
Best VoIP Providers, don't spend thousands of dollars on phone service equipment you don't need and may not understand.

Leave Basics Of VoIP, Return goto VoIP Tutorial - What Is It, Who Needs it?
Best VoIP tutorial yet on business phone service. Basics of VoIP, virtual private number, pricing and performance factors, how to buy and pay less.

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