What Is The ROI Of SIP Trunking?

The upcoming PSTN (Public Switched Telephone Network) switch-off has many businesses concerned about the future of their business communications and calls. With these analogue phone lines to be shut down in 2025, businesses are opening their minds to internet-based phone calls and communications using VoIP (Voice Over Internet Protocol) technology and SIP (Session Initiation Protocol) trunking. But while this move may be unavoidable, it presents an opportunity to cut costs and boost productivity. So businesses that make the move earlier will start to see the benefits far sooner.

What is SIP trunking?

SIP trunking is an application protocol which allows your business phone system to operate via the internet using VoIP, rather than running on traditional phone lines using copper wires. SIP replaces costly and inefficient analogue phone lines with a much more effective method to transport not just voice calls, but data of all kinds. It splits voice, text, video calls, instant messaging and other communications into packages that are transferred over an internet connection, and then put back together.

What are the financial benefits of SIP trunking?

SIP trunking saves money on calls

Making business calls can be expensive. Especially if your business is making hundreds of calls a day. This will be even more expensive if your business makes international calls.

You don’t have these issues with SIP trunking and VoIP. Rather than shelling out for multiple phone lines you may not even use, SIP providers usually charge per user. So you’ll only be charged for the services you use.

SIP channel costs can be as low as £3 per channel, depending on the plan you select from your provider.

SIP trunking problems are easy and cost-effective to repair

Physical phone lines can encounter issues that can be costly and time-consuming to fix. They’re also expensive to maintain even at the best of times.

Hiring an engineer to look at your traditional phone systems can be expensive. Add to that the fact your company will lose revenue while your systems are offline and these issues can become a financial nightmare.

If there’s ever a problem with your SIP and VoIP solutions, these problems are often much easier and cheaper to fix than issues you’ll have with traditional phone lines. Simply speak to your SIP provider and they’ll guide you. Most issues will be repaired quickly and remotely, which saves paying for an engineer to visit. But if the issue can’t be diagnosed and repaired remotely, a single visit from an engineer is usually enough to take care of it. Maintaining standard phone systems, on the other hand, can cost anywhere up to £5000 per year.

SIP trunking and VoIP technology boost productivity and profits

Speed is power in the business world. The faster tasks can be completed, the more revenue can be produced. Another advantage of SIP trunking and VoIP over a traditional phone line is that they allow employees to handle their business much faster. As they’re not limited by old phone lines, workers can make calls, take calls, transfer calls and communicate more quickly through the power of the internet. 67% of mobile workers working via SIP and VoIP said they were able to resolve issues faster. With collective messaging saving workers between 43 and 55 minutes per day, thanks to the streamlined communications provided by the technology. This means faster turnarounds, greater savings and greater profits, with companies saving between 50% and 75% on their communications costs.

SIP trunks are easy to install

Unlike other on-premise phone systems, SIP Trunking can be enabled externally, with no requirement to visit your business in person. However, you will need to make sure aspects of your existing communications can accept SIP trunking before the service is active. If your existing phone system is already internet-enabled, SIP trunking should be a piece of cake. After some quick over-the-phone tests with an engineer, you’ll be ready to move your existing numbers and lines to SIP.

If your phone systems aren’t internet compatible, don’t worry, there are ways around it. You could install a piece of tech known as a media gateway which allows any phone system to accept SIP trunks. These should be available from whichever internet telephony service provider you choose. Alternatively, you could install SIP trunks into your existing data centre, if your business has one. Compared to installing standard phone lines, all of the above works out much cheaper and less time-consuming.

SIP trunking is cheap to install and run

As far as the costs involved in installing SIP trunks, your wallet will thank you. SIP trunking costs can be broken down into four categories:

• Installation costs
• Monthly fees
• Channel costs
• Call charges

As of 2023, businesses can expect to pay between £300 and £700 to install SIP trunks. With monthly fees coming in at around £50-150. Whereas installing a traditional phone system could cost you over £1600 for the installation alone, depending on the size of your business. Your channel costs – or “line” costs – will depend on how many channels your business uses. But this usually won’t exceed £150. Call charges will differ based on how many calls you make and where in the world you’re calling, but either way, this will still be a lot cheaper than calling on traditional phone lines.

Interested in SIP trunks for your business? Speak to Elite Group.

At Elite Group, we’re experts in business phone systems and communications. If you’re looking to adopt SIP trunking in your business, and want to know which SIP trunk provider is right for you, get in touch with Elite Group today. We’ll advise you on the best course of action moving forward.