Servpac Blog

The office move is a common stage that all businesses, small to large, encounter as they transition in size. Whether it’s downsizing to a smaller and more efficient space or upgrading to a larger building to meet the demands of a growing team, these transitions can be difficult and time-consuming for companies. One of the largest tasks for changing offices is migrating telecom systems, and most businesses solely relied on traditional and expensive landline systems for years. With the introduction of VoIP systems, businesses now have a lower-priced option with a multitude of benefits to help them ease any transition in their company. Before we dive into why businesses should make the switch, it’s important to understand the different systems and what they offer for businesses.

Traditional Phone Systems

Referred to as Plain Old Telephone Service (POTS) or Public Switched Telephone Network (PSTN), this system relies on copper phone lines and dedicated circuits capable of carrying one call at a time between two recipients. Over a century ago, this system involved businesses or individuals having a physical line connected to a switchboard and an operator that would route incoming calls to the right destination. Once touch tone buttons were added to phones, they eliminated the need for an operator.

Now when you dial to make a call, the tones convert to analog signals and sent directly to a local exchange carrier. The local exchange interprets the telephone number dialed for the destination and routes your call to the correct recipient. Depending on its destination, a call can pass through many exchanges as it's passed across multiple networks and circuits always have to stay open in order for the signals to reach its final destination.

If you make a call to a business, you will most likely encounter a Personal Branch Exchange (PBX), where businesses share multiple phone lines between departments and employees. Many small businesses use a landline-based PBX, which act as switches to route calls internally and offer limited features such as voicemail.

Many businesses continue to use their traditional phone systems because of its long history and reliable voice connection but constricted by its limitations of meeting the demands of businesses that want to change in size, operations, or locations. Here’s a quick look at the disadvantages of this outdated system:

1. Limited Scalability

As companies expand and move to new offices, traditional phone systems can’t handle their growing infrastructure that requires handling additional call volume, extensions, and data processing through the network. Business have to choose between a single line or an in-house PBX system, which still provides a limited number of lines. Physical equipment installation and upgrades are required in every building the company moves to with additional phone sets and wired phone lines needed to scale. This can be a timely process and financial burden for businesses. It can even cost businesses more money upgrading an older system instead of installing a VoIP system.

2. Higher Costs for Business

Any business knows landlines aren’t cheap just by looking at their monthly bills. Traditional phone companies charge an arm and leg for the higher overall costs of their services. Companies persuade business phone providers to pay expensive costs up front for hardware and setup, including excessive charges for optional parts and services that business owners believe will enhance their office network.

Traditional telecommunications companies charge exorbitant fees for every additional line the businesses needs for new employees or offices. Businesses usually pay an additional cost to install a Private Branch Exchange. Just this hardware can cost a business thousands of dollars for installations and countless technician visits for maintenance and upgrades. Once the phone system is running, businesses pay unexpected fees for phone equipment, operations, and program maintenance that takes a toll on their budgets. Companies feel obliged to pay the costs since they already invested so much time and money into their phone networks.

3. Limited Features + Functionality

Traditional phone systems are designed for only one thing - making voice calls. While it works as a reliable voice connection for businesses, landlines only provide a 64 kbs connection that only handles voice and nothing else businesses need for communication. Employees and customers now need features to enhance productivity such as video chat, instant messaging, and voicemail to e-mail, and landlines don’t support these options. They also lack access to useful options such as auto attendant, extensions and other call management abilities that lead to customer dissatisfaction.

4. Lack of Reporting and Data

Phone calls are important for customer service, and traditional business phone systems cannot provide valuable analytics such as call recordings, hold times, and logs that can help business operations, improve employee staffing and training, and increase customer satisfaction.

5. Landlines are Obsolete

While landlines have been reliable sources of communication for over a century, they are now becoming outdated in a mobile-driven society. Based on a study by the US Health Department and CDC in 2017, over 50% of American households ditched the landline and they expect this number to rise in the next few years. Telecommunications companies are already adapting to the change and restructuring their infrastructure to focus on their growing mobile customer bases, which means less reliable landline networks for businesses in the near future.

VoIP Systems

VoIP is a recent technology that stands for Voice Over Internet Protocol. It's also referred to as Voice over Broadband, IP Telephony, Internet Telephony, or Internet Calling. All you need is an internet connection to make phone calls anytime and anywhere. You can call landlines, mobile phones, and even computer-to-computer with both parties using their speakers or headsets.

VoIP works by converting analog voice calls into small pieces of data or packets that travel over an internet connection or private Internet Protocol (IP) network. These packets of data transmit and regroup to recreate the original state of the voice message. This process compresses the voice signal and decompresses it for the receiver of the call.

VoIP all began in 1995 when VocalTec created the first available Internet phone. This new technology allowed Internet users to call each other and connect to a computer’s speakers and microphone. Originally bogged down by poor sound quality, connection issues, and voice delays, VoIP didn’t take off until the early 2000s when broadband Ethernet service became widely available to the public, telephone equipment manufacturers added VoIP adaptors to their software, and Skype launched its revolutionary software for voice and video call services.

VoIP is now playing a fundamental role in global communications and moving to this system is an attractive and affordable option for businesses. Let’s look at how making this change benefits businesses and their employees.

1. Offers Countless Features

Nothing beats VoIP for controlling your call experience. Since it’s an internet-based system, you can use your computer, office phone, or even a mobile phone to make a business call from anywhere. Here are other popular features that Servpac offers for its VoIP phone system:

• Auto Attendant
• Advanced Call Routing
• Call transfer to Internal or External Lines                    
• Call Parking
• Call Forwarding
• Conference Bridges
• Block Caller ID
• Mobile/SMS Notification
• Hold and Mute Calls
• Visual Voicemail via Web
• Individual Speed Dial
• Inbound and Outbound e-Fax
• Real Time Call Information
• Web Click-to-Dial
• Personal Account Codes

VoIP phone systems also can support third-party tools and software apps such as Skype, WeTalk, and Viber for an easier communication between employees and customers. Other systems such as customer relationship management (CRM) applications can be integrated with VoIP systems to support sales teams and improve customer service. 

2. Eliminates the Dreaded Wait for Phone Technicians

Any business owner will tell you they can’t afford any downtime, especially waiting for the phone technicians to arrive and migrate your traditional phone lines into a new office space. If the installation takes longer than expected, this can cause customers to lose patience from waiting and taking their business to another company.

Unlike landline systems, Servpac’s VoIP Phone Service offers companies the option to plug and play from anywhere that has an internet connection and be back in business in no time. We even provide 24x7 customer support to answer questions and offer help from local engineers if problems arise.

3. Removes Disruption with Phone Numbers

Phone numbers are part of a business’s identity. Many offices keep the same numbers for years and feature them on websites, business cards, advertising, and other important materials, and moving locations with traditional phone systems can cause some businesses to leave their telephone exchange area and disrupt communications with key customers and vendors.

With Servpac’s VoIP phone service, current numbers always stay with businesses no matter where they move and customers never know the difference.

4. Affordable for Any Business

As businesses grow and move locations, traditional phone systems cannot keep up with demand at a higher cost. VoIP eliminates the need for expensive landlines and provides better long-term savings since it only requires businesses to pay for the software they use. Businesses can customize their subscriptions with VoIP systems and only pay for the services they use. All on one data network, businesses with VoIP systems never need to work with multiple service providers that only offer separate office, mobile, and data services. The VoIP provider manages everything including the network, hardware, and software to reduces costs for customers. Unlike the outrageous long distance fees charged by landline phones, location and distance are never a problem for calls on a VoIP system. It always works and charges much lower fees regardless of calling an office across the country or on the other side of the world.

5. Flexibility with Business Growth

Traditional phone systems are a major burden on employee teamwork and morale since it diminishes their productivity. VoIP systems preserve employee loyalty by offering more control and upgrades as companies grow. Whether you're moving, opening a new branch, or hiring more employees, it's easy to add additional users or lines to meet the demand. Outside the office, VoIP can connect work phones with mobile devices for business travelers and remote employees. It requires no advanced call forwarding and a third-party application easy to turn on and off when needed.

Don’t Wait Until Your Next Move

Already tired of your traditional phone service and can’t wait to switch? Good news is there’s no need to wait on switching over to a cloud-based VoIP system. The sooner your business switches to VoIP, the faster you and your employees can enjoy this useful system. With same day guaranteed consultation, Servpac offers affordable business phone systems that fits the needs of any Hawaii-based business and supported by 24/7 technical support from local engineers. We also can support any business’s VoIP phone system with Hawaii’s fastest internet service that delivers top-notch connection and ensures no interruption in service. We handle all aspects of the phone transition from installation, support, maintenance, and Internet connection. If you’re ready to simplify your operations, click below to request a consultation from one of our local experts today. 

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Servpac is a Hawaii-based telecommunications company providing innovative and integrated telephone, internet, and cloud solutions for Hawaii businesses since 2004. The company is the largest locally based CLEC (competitive local exchange carrier) in the state and provides 24/7 local support for island businesses to help them compete in the global marketplace.