Cheap VoIP phone systems will save you money in a variety of ways:
- VoIP is cheaper than an expensive landline phone system
- VoIP is cheaper than a traditional phone system because VoIP is more efficient and technologically advanced.
Traditional telephone systems are expensive because they use aging infrastructure and an ineffecient network structure. A long distance call uses many individual telephone networks to connect calls. Each time your call is connected, you accrue a fee from each network on your route.
VoIP systems connect you locally by using the Internet to connect calls, which allows them to avoid the fees of a traditional telephone network. VoIP providers are cheap because they pass those savings on to you..
VoIP calls stay cheap because every call costs you and the VoIP provider as much as a local call (because you don’t have to use long distance networks). Calls on your office network, regardless of location, are free.
And because VoIP systems are Internet-based, it's much easier to make changes to your home or business phone system. Most VoIP providers offer a control panel to allow users to make simple changes, like enabling a new feature or adding a new user.
Here’s a real world example of how VoIP is cheaper:
Residential VoIP service costs $8.33 a month with a provider like Phone Power. You also get unlimited nationwide calling and an hour of free international calls, with cheap international rates: calls to India cost 1.7 cents a minute.
On the other hand, home phone service from an established telephone service company (say, AT&T) costs $27.29 a month, with long distance rates at 7 cents a minute. A call to India costs $3.33 a minute. Not cents, dollars.
As you can see, VoIP is a much better deal.
VoIP is cheaper because most features are included
In addition to being cheaper because of more efficient phone calls, VoIP service providers often offer advanced calling features for free.
Voicemail (with voicemail to email functionality) is almost always free, new and extra phone numbers are inexpensive, and advanced call routing features (like call forwarding and call waiting) are free as well.
Continuing the comparison above, voicemail is free with Phone Power but it is at least $8.95 a month with AT&T. Call forwarding, free with Phone Power, is $7.50 a month with AT&T.
These are just some examples from residential VoIP providers of how VoIP is cheaper than traditional phone service. Visit our small business VoIP page to learn how VoIP is cheaper for your business.