How SIP Trunks Help Save Money

Experts predict that the market value of SIP trunks will grow to $35.5 billion by 2030. Why is SIP trunking so popular? 

The short answer: SIP trunking saves money. SIP trunk providers generally offer phone numbers and lines at very competitive rates, with shorter contract terms. SIP provides multiple advantages over traditional business communication systems. 

What Is SIP Trunking? 

Part of the explosion in SIP trunking is driven by the move from Public Switched Telephone Networks (PTSNs) to IP telephony. SIP trunks essentially replace the T1 trunks used in PTSNs. These T1 trunks would connect to your private branch exchange (PBX), all using traditional, physical phone lines. 

Instead, your Internet Telephony Service Provider (ITSP) provides a SIP trunk, which connects to your VoIP or IP PBX. Phone numbers and DIDs are linked to the SIP trunk. Using this model, your VoIP provider can usually connect multiple channels to your PBX, and existing numbers can be ported to the SIP trunk. If your SIP trunk is IP enabled, you can use your existing PBX to make calls. 

More simply put, SIP trunking lets you operate your phone service via the internet. SIP stands for Session Initiation Protocol, which enables end-to-end communication of voice, video, or chat. 

SIP and VoIP don’t compete with each other. On the contrary, VoIP is built on the standards of SIP. If you are looking for VoIP phone service, SIP trunking is often the ideal solution, especially if you already have on-site PBX equipment. 

SIP Trunks Improve Your Bottom Line

Some technology takes years to offer ROI. But SIP trunking requires minimal upfront investment, and most businesses see cost savings from their very first bill. SIP trunks help your company directly save money in multiple ways: 

• Lower cost per line: You’ll pay less for each line, and DID rental is also less expensive. 
• Reduced cost per call: With a SIP trunk, traditional infrastructure is bypassed, and calling costs are lower --no matter where you’re calling. This can translate into substantial savings on international calls. 
• No fees for moving: Moving your office won’t come with extra charges to forward your phone lines, since SIP trunks aren’t bound to a physical location. 
• Customization: With SIP trunking, you get exactly the number of channels or lines that you need. You won’t pay for resources that you don’t need. 
• No hardware maintenance: SIP trunking doesn’t require any additional hardware or physical infrastructure to maintain on site. 
• Integrated communication: Since you use the same IP network for all communications (e.g., voice, video, etc), there’s no need for different subscriptions for voice and data. 

There are also other benefits to SIP trunking that can help improve your bottom line over the long run. 

• Greater flexibility: As your business grows and call volume increases, it’s easy--and fast--to add channels with a SIP trunk. Usually, your provider can add capacity right away. This is certainly preferable to the process of adding more lines to an old PBX. 
• Predictable costs: With SIP trunking, each line or channel comes at a fixed cost. There are no hidden fees. This makes it easier for your company to budget for your business communications system. You won’t have to worry about large, unplanned expenses. 
• Improved customer service: SIP trunking makes it easier to add international numbers or other, more convenient ways for customers to connect with you. This often translates into happier customers (and increased sales). 
• Improved tracking: Thanks to robust reporting capabilities, you can easily track usage and availability. That additional visibility can help you make better business decisions, faster. 
• More ease of use: The concept of a SIP trunk is complicated, but managing it isn’t. Switching to a SIP trunk won’t require lots of extra time from your IT team.
• Built-in business continuity: SIP trunking offers redundancy in case of system failures or power outages. Failover capabilities of a SIP system far surpass those of a traditional phone system. 

Choosing the Right VoIP Provider

Most VoIP providers offer SIP trunking, so the key is to choose the right provider. Keep these factors in mind as you evaluate your options. 

Cheapest Isn’t Always Best

You get what you pay for, and the same goes for your SIP trunking provider. Look for competitive rates, but don’t sacrifice high-quality service for a better price. 

Existing Numbers Are Im-Port-Ant

Getting a new provider shouldn’t mean that your company has to get new phone numbers, too. That causes unnecessary disruption and confusion. Choose a VoIP provider that can port all your existing numbers. 

Customer Support Isn’t Optional 

While VoIP systems are incredibly reliable, you still want a provider that can deliver world-class customer service. That starts with comprehensive training for your team, to help you get the most out of your new communication system. It continues with 24/7 availability and support to fix issues fast. 

Top-Notch Security Is Critical

SIP trunks offer a dedicated connection, which offers some protection from phishing attacks. But they are still exposed to the internet, which means they’re not impenetrable. Ask potential VoIP providers about system security and monitoring. Be sure you’ll also be protected against call fraud. 

For more tips, check out this handy guide, Mastering VoIP: Choosing the Right VoIP Provider.