Streamlining business communications costs is essential for SMBs, and SIP trucking offers a scalable and flexible solution for reducing communications costs and using resources wisely. Business communications today require a greater level of investigation from companies because communications go far beyond a simple telephone line and a bank of business phones. One of the reasons why SIP Trunking is attractive for today’s businesses is because it relies upon collaboration that equals significant cost savings, as well as impressive scalability. With the rapid movement of today’s communications and bandwidth needs, companies must choose business telecommunications options that will stand the test of time and offer lasting functionality.

What is SIP Trunking?

SIP trunking utilizes Voice over Internet Protocol (VoIP) technology and streaming media services and is delivered by internet telephony service providers (ITSPs). Software applications feature video, voice, and other streaming media applications like web conferencing and desktop sharing. The popularity of SIP trunking services has been growing dramatically with spending reaching $8 billion in 2014, and the industry expects further growth to continue as businesses upgrade their business phone service and networking capabilities.

SIP Trunking is Highly Scalable

One of the most popular words in business communications today is “scalability,” and it’s a concept that defines SIP trunking. A traditional phone system would require that a business purchase additional phone lines from the phone company when it was time to expand services. The virtual nature of SIP trunks means companies only need to pay for the services they use and that no resources are wasted. In the past, it was common for a business to upgrade phone lines only as much as was necessary. Repeated upgrades and expansions were costly, but it was the best way to reduce monthly overhead costs. SIP trunking eliminates the costs associated with expanding because SIP trunks are virtual lines and the ability to expand services is available without the need to add physical lines.

SIP Trunking Provides Huge Cost Savings

It’s possible to reduce expenses in a variety of ways by adding SIP trunks to an existing virtual PBX phone systems service. The first reduction comes from an elimination of monthly costs from a service provider. Additionally, long distance charges are no longer a concern because each call made with an SIP trunk is “local.” Finally, SIP trunking is an excellent choice for businesses who know they want to expand but don’t want to pay for services they don’t use immediately. SIP trunking is very compatible with existing systems, so a company’s upgrade costs may be very affordable. Businesses that utilize SIP-based communications can utilize SIP trunks easily because the technology is easy to integrate.

SIP Trunking Offers Superior Reliability

Consider that the virtual line of an SIP trunk isn’t vulnerable to a power outage during bad weather or an equipment malfunction. It’s easy to reroute calls to other locations when one location goes offline. A large business can lose significant revenue from downtime that lasts just a few hours – or even a few minutes – so reliability is a huge benefit, particularly when it comes alongside the affordability of SIP trunking.

Here are a few more benefits of SIP trunking:

  1. Employees will never miss calls because it’s easy to route calls to mobile phones.
  2. Overall business communications are streamlined through SIP trunking.
  3. SIP trunking is up to 40% less expensive than ISDN.
  4. ROI comes as swiftly as six months after upgrading to SIP trunking.

A telecommunications system that takes advantage of reliable, affordable, and scalable technology is a good reason to consider SIP Trunking. If you have questions about upgrading your business phone systems and whether SIP trunking is an appropriate option for your company, get in touch with Vergent for more information.