SIP Trunking Benefits & Advantages
SIP trunking is changing the game for IT leaders– that’s why it’s no surprise to see that the market is expected to grow by 14% compound annual growth rate (CAGR) through 2030.
But what’s all the hype about anyway?
Your teams are collaborating and making connections with customers using tools like chat, SMS, voice, video conferencing and more. But managing these channels across interfaces, toggling between dashboards, and maintaining the upkeep of traditional landlines is probably adding cost and lowering productivity.
That’s where SIP trunking comes into the picture. Below, we’re covering the benefits of SIP trunking within your organization.
What is SIP Trunking?
SIP is short for Session Initiation Protocol– it’s a protocol that carries communication packets (video conferences, phone calls, chat, messages, etc.) between two endpoints over the internet. SIP trunking is the process of moving those SIP packets through channels to their final destination.
How does VoIP play a role in SIP trunking?
VoIP stands for Voice over Internet Protocol. And it plays a mighty role in SIP trunking:
- Moves on-premise PBXs to a cloud environment– eliminating the need for BRI and PRI landlines
- Integrates with other software services to expand voice functionality
Companies that aim to place virtual phone calls through SIP trunking should work with a VoIP provider. These providers can help global businesses simplify their processes.
Nine Benefits of SIP Trunks Global Companies Love
Better efficiency is crucial for companies to remain competitive, lower expenses, remove unnecessary infrastructure and continue to grow in a fast-paced global market. And SIP trunking can do just that. Here’s some SIP benefits:
1. Easy to integrate into legacy systems
We get it– your traditional PBX infrastructure was expensive to maintain. You don’t want to throw those dollars down the drain. Luckily, you can get all the robust features and benefits of a VoIP provider without completely moving away from your current system.
Integrating your on-premise system is easy to do– it really just takes a few clicks to benefit from the cloud. And if you’re already in it, you can set up your virtual PBX, UCaaS, CCaaS or CPaaS software instantly with a VoIP provider.
2. Recurring cost savings
Once you implement SIP trunking, your organization will benefit from a variety of cost savings that can lead to instant ROI. A Gartner analysis concluded that SIP trunks save companies up to 50% in telecom costs and significant savings from simplified billing strategies, which account for as much as 40% of total telecom spending.
Here’s where those cost savings are being reflected:
- Reduce reliance on traditional phone lines: Physical wires and circuits are required for PSTN, but SIP trunking replaces those connections with virtual ones. Consolidating your voice data into a single IP network drastically reduces the complexity, frustration and costs associated with managing multiple copper lines.
- Long-distance and international calls become local calls: Because they’re made online, long-distance and international SIP calls can be classified as local calls. This helps regional and global offices connect without having to pay for long-distance call rates.
- Flexible pricing: One of the benefits of SIP is the way it’s priced. Unlike traditional lines, with SIP you have several payment billing strategies to choose from, including a subscription, usage-based or a hybrid of the two.
- Inexpensive to set up: With SIP trunking, there is no massive upfront investment to get started. Once it’s set up, the infrastructure is completely managed offsite by your service provider, reducing the amount of internal support your team needs to dedicate toward managing your communications tech stack.
3. Set up a local presence
SIP makes it possible for your company to have voice coverage in areas where you’d like to be but don’t necessarily have representatives. Traditionally, companies would have needed a toll-free number to achieve this– the problem being that 800 numbers are pricey and mainly support inbound-only calls.
Using SIP to give yourself a local 2-way presence - even when you don’t have a physical footprint - can lead to more trust, increased global call answer rate and ultimately, more revenue-led conversations.
4. Grow and scale
Achieving growth and scalability is simple with SIP trunking. When you need more virtual lines, instantly add them. This allows users to do so with no additional risk and zero dependencies on others to get it done.
5. Increase team productivity
With a secure SIP trunking service provider, your employees can communicate seamlessly and spend more time working on strategic initiatives that will impact the bottom line.
- Unified communications: All your communications tools are in one place, keeping customer experience teams from toggling back and forth between platforms and enhancing collaboration.
- Enhance user experience: SIP trunking providers often supply tools to elevate the user experience. A few examples of these include:
- Access call logs: Automatically store and retrieve call logs from your PBX, CRM, helpdesk or preferred business tool, keeping agents on the same page and minimizing manual work.
- Reporting: Detailed analytics provide you and your teams with a holistic view of how your communications tools are performing. Benefit from:
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- Call quality reports
- Agent KPI measurements and dashboards
- Call recording tools
- Automated reports and more
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- Instant number provisioning: You can instantly provision numbers within the countries your carriers provide. Easily configure forwarding rules, port over and extend your voice coverage from within one interface.
- Coordinate between several carriers in one platform: In addition to your existing numbers, you may want to keep some or all of your local carriers. BYOC programs make this possible, and managing your carrier portfolio in one place will give your IT teams more time back in their day.
6. Unify communication channels
Switching to SIP trunking removes overlapping technologies by consolidating them under one roof. Because you use the same IP network for numerous data transmissions, you can eliminate those overlapping network costs while enhancing the reliability of your communications.
7. Experience for remote teams
SIP trunking’s internet-based functionality gives teams the ability to work anywhere around the world. Simply integrate your phone system with a browser-based VoIP provider to create a unified desktop and mobility experience wherever your teams are located.
8. Reliable and exceptional call quality
You gain more control over your phone service reliability and call quality when you partner with a reputable SIP trunk provider. And, it helps strengthen your call continuity plan. By deploying multiple SIP trunks, you can reduce your potential downtime in the event of an emergency. A few ways SIP trunks can ensure a reliable connection and excellent call quality - no matter the situation - include:
- Correctly configure QoS: If bandwidth isn’t the issue, your Quality of Service (QoS) might be. Simply configure QoS on a hardware device like a router or firewall. This will tell the network that voice packets take priority when in the queue.
- Compression and codecs: Data needs to compress before transmission or else you’ll have a very strained network capacity. Codec is a software that converts audio signals into digital data before being transmitted. Once received, the codec converts the packets back into analog sound signals to ensure voice quality.
- Increasing your available speed and bandwidth: Since you are sharing space with other voice and media files on your network, you may experience quality issues as you add more to the server. Signs that you may be running out of space include echoes and connection breaks via phone calls. However, with SIP trunking you can easily upgrade your network's speed and bandwidth to solve the issue. Keep in mind, upgrading your speed and bandwidth will likely result in additional costs. So, if reducing costs is a top priority, try these troubleshooting options first.
Codecs are developed to operate with one of two goals in mind:
- Utilize as little bandwidth as possible: This allows you to make several concurrent calls to accommodate multiple calls at once, though may take a lesser priority.
- Ensure quality at all costs: These minimize the amount of compression so voice quality is better– but it will require increased bandwidth requirements on your end.
9. Security and fraud prevention
Because SIP trunking relies on the internet, it can open up concerns regarding security and fraud prevention. Luckily, SIP providers manage and detect telecom fraud on your behalf. They do this by:
- Monitoring for suspicious activity: Search for providers that constantly monitor unauthorized calls, block suspicious activity immediately and have added security measures to protect your system from potential fraud.
- Applying cybersecurity measures and techniques: Make sure you choose a provider that has added layers of protection during media transmissions. This includes using SIP security protocols such as Transport Layer Security (TLS) and a Secure Real-Time Protocol (SRTP).
Additionally, your IT team can run an added layer of security to mitigate fraud threats including:
- Running regular software updates
- Setting up firewall protections
- Enforcing password policies
- Setting up account authentication
- Setting up call parameters
Lean on Reliable, SIP Interconnect Providers
In short, SIP trunking is your one-way ticket to reducing costs and elevating your teams’ productivity across the organization while reducing security risks. It’s a win-win for businesses everywhere.
You’ll want to work with a trusted SIP trunking provider to maximize your benefits. Keep in mind that SIP providers aren’t created equal– choosing the right partner is critical for your success. Our AVOXI platform can help. Learn more about how we are helping organizations just like yours create synergy across their communication channels.
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