Your Guide to Business Phone Services & Systems 2024

How To Choose the Best Business Phone Solution for Your Company’s Needs

Many businesses aim to set up their business phone lines to communicate with customers. This is a smart decision, as statistics confirm its success. For example, a Nextiva survey showed that around 87% of companies prefer communicating with customers over the phone rather than through other communication platforms.

In this article, we will discuss in detail what a business phone system is and its types. We will also pay special attention to choosing the best solution for your organization’s needs.

What Are the Types of Business Phone Systems?

Business phone systems are integrated solutions designed to facilitate communication within the company and with customers. Traditionally, business phone solutions include a range of features:

  • Multi-channel lines
  • Voicemail
  • Conference calling
  • Automatic call routing

All these features ensure effective communication within your business, between employees and departments, and most importantly, with consumers. To choose the perfect business communication solution, familiarize yourself with the three main types of phone systems.

  1. Traditional Fixed-Line Communication

Traditional lines, also known as Public Switched Telephone Networks (PSTN), are a classic type of telephone system that uses hardware to manage the switching of phone lines within an organization.

This type of office phone has been familiar to entrepreneurs for decades, but it has lost its relevance with the emergence of digital solutions. However, PSTN can still be found in some companies because it has its advantages:

  • Stable communication in areas with developed telephone line infrastructure
  • Simple usage process
  • No need to connect to the Internet

It is worth noting that despite all its advantages, business landline phone service lacks the multifunctionality of modern solutions and cannot scale quickly. To expand the network of connected devices, you will need to invest a significant amount in purchasing, installing, and maintaining equipment.

A business phone landline suits large and medium-sized companies with many employees and customers. Additionally, PSTN can be a find for those with offices in areas with issues accessing high-speed internet.

  1. Voice over Internet Protocol (VoIP)

A business VoIP phone system is a modern telephony technology that uses the internet to transmit voice information. VoIP provides multifunctional and easily scalable business solutions, unlike traditional fixed-line communication. Among the apparent advantages of VoIP systems are:

Use of various digital technologiesThis allows companies to communicate with customers and colleagues not only by phone but also through other communication channels such as video calls, chats, file-sharing services, or interactive voice responses.
Availability of a cloud-based systemMany VoIP solutions are delivered as cloud-based solutions. This means that all equipment and software will be stored in the VoIP provider’s data center. Thus, you significantly reduce maintenance costs and can easily scale your system as your business grows.
A wide range of featuresVoice over Internet Protocol systems typically offer many features. For example, they have built-in voicemail, automatic call routing, call forwarding, and many others.
High flexibility and integrationsVoIP technology is easy to expand to meet the growing needs of your business, as this process does not require physical equipment space and is much cheaper. Additionally, such a system can be easily integrated with other digital products, such as call tracking systems, CRM, or call management software, allowing you to effectively manage customer communications and increase productivity.
Low ratesVoIP providers for businesses offer lower rates for international and long-distance calls compared to business landline phone service providers. Thus, small businesses can establish connections with international clients and partners, reduce expenses, and allocate the budget to other aspects of their development.

The only difficulty in using VoIP is that you need to have a stable internet connection. However, companies can use their existing network to ensure communication. This factor makes Voice over Internet Protocol much more flexible and accessible to all types of enterprises.

  1. Virtual Phone Systems

A virtual phone system is a modern cloud-based solution that organizes communication with customers and among company employees. 

Since it doesn’t require physical hardware, it’s an excellent option for small businesses and enterprises with many remote employees. The following factors serve as advantages:

  • Cost-effectiveness: You don’t need to purchase and maintain expensive hardware or conduct software upgrades. All of this is the responsibility of business phone providers. Additionally, virtual phone service providers offer lower initial costs and flexible pricing plans. Therefore, you can choose and pay for the digital product with only the features you need.
  • Functionality: Virtual phone solutions typically offer features such as voicemail, multi-channel lines, conference calling, interactive voice response systems, and more.
  • Flexibility and scalability: The system can easily be expanded according to the company’s needs. Adding new users or features is also straightforward.
  • Mobility: A virtual business phone number and the ability to use a mobile app provide your employees with access to telephony from anywhere in the world. This is especially important for remote teams and teams working in different time zones.
  • Ease of use: Virtual systems traditionally have an intuitive interface, simple call management, and flexible settings. Therefore, adding new users, adjusting settings, and expanding the number database doesn’t require your employees to have special knowledge.
  • Analytics and reporting: Many virtual systems provide convenient tools for collecting and processing information. Often, such solutions have mobile integration capabilities, allowing you to receive reports on your phone at any time of day. You’ll always have access to call data, employee performance, call volumes, and other parameters that help make more informed business decisions.

Virtual phone systems are a modern, flexible, and cost-effective solution for business communications. However, remember that they require high network security to prevent the leakage of confidential data.

How To Choose the Best Business Phone Solution

To acquire software that meets all your enterprise needs, consider the following characteristics:

  • Type and size of the company
  • Financial capabilities
  • Number of calls to be handled
  • Technical requirements

Then, proceed with the search:

  • Explore different types of solutions. Research the features of traditional phone lines, IP telephony (VoIP), or virtual phone systems. Then, research the market for software and popular providers of business phone solutions. Understanding their advantages and offerings will help determine which option suits your business.
  • Calculate the budget. Before selecting a specific provider, find out the prices for purchasing or leasing their business phone solution. Also, consider subsequent expenses for upgrades, maintenance, and services for expanding functionality.
  • Study the capabilities of the software. Ensure that the chosen solution can scale with your business. Does it have all the features you need? For example, business phone software solution like Phonexa’s helps track calls, record conversations, monitor leads, and easily adapt to any business needs.
  • Review feedback. Visit rating websites or forums to learn what other users say about a provider or specific system. This will give you an understanding of whether the services are suitable for your company.
  • Conduct testing. Business phone system providers often offer a trial version. Take advantage of this offer to see if the program works effectively in real conditions and meets your expectations.

Transition to Innovative Solutions in the Field of Business Phone Service

Remember that there is not just one landline alternative in the evolving world of technology. You can use both VoIP systems and virtual phone solutions to save budget and have constant access to data. Follow simple tips for choosing software and consider the characteristics of your company. Thus, you will find the best solution for IP telephony and get a business phone number that will always be available to your customers.

Your Guide to Business Phone Services & Systems 2024 was last updated May 20th, 2024 by Ivanna Balashkevych