VoIP Makes Sense During the Recession

Updated: January 06, 2011

CompareBusinessProducts.com’s survey results show that more business users appreciate VoIP’s cost-saving features and easy functionality, especially during this economic downturn.

CompareBusinessProducts.com conducts regular and ongoing research of telephone system buyers, particularly buyers who are actively involved in the purchase cycle. Its latest survey, of 500 active phone system buyers, shows a complete overall change in the telephony market.

The results of the quantitative survey are presented below. But CompareBusinessProducts.com also conducts qualitative surveys at the same time to better understand the motivations of buyers. Here are some key findings from the survey.

Hosted VoIP Requires Little Capital Expenditure: With little to spend on aside from the initial setup and IP phones, a hosted VoIP system—one in which the infrastructure is managed and maintained by an outside VoIP provider— is very attractive in cost terms. Equipment and service is all covered in a predictable and typically low monthly fee per line and maintenance is usually included.

VoIP Systems are scalable: even though the economic downturn has forced workforce reductions, the scalable nature of all VoIP solutions makes removing and adding lines very straightforward. Hosted systems have an even greater advantage because they scale predictably and with completely predictable costs – and costs go down if the number of lines goes down. Other benefits cited include accessing a web-based interface for adding and deleting users and the ability to host phone, video and data conferencing.

Lower calling costs: Respondents also said that lower long-distance charges were a factor in their decision making along with basic VoIP calling options like caller ID, call-forwarding, and voicemail at no extra cost.

Growth plans: One other benefit that a few participants liked is the ability for VoIP phone systems to extend over time and have new features added – especially int eh case of hosted systems where often no hardware or software upgrade is needed.

The result of these qualitative issues is striking. Of those looking to deploy VoIP-based business phone systems, 83 percent of small and medium business buyers are considering VoIP, while 13 percent are considering either VoIP or a traditional PBX, and only 4 percent are considering just a traditional PBX.

Survey results from enterprise buyers also bear out the VoIP-adoption phenomenon: 88 percent of enterprise buyers are considering VoIP, with 8 percent considering both VoIP and traditional PBX, and only 4 percent considering a traditional PBX. The following chart helps illustrate our findings.

Clearly, regardless of whether a business is small or large, VoIP’s functionality, easy implementation and cost-saving features make sense, particularly when budgets are tight. Survey respondents did not commit to preferences for hosted VoIP or on-premise VoIP since they were in the buying process.

If you’re interested in learning more about why VoIP makes sense during a recession, and how to determine which type of business VoIP to choose, please refer to our Buyer’s Guides, which walk you through how to pick the best VoIP-based phone system for your business. If you want to see how some of the leading VoIP systems compare, download our Comparison Chart.

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