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A Guide to Comparing VoIP Prices Featured

17 Dec 2020
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Voice over Internet Protocol (VoIP) is not a new technology, though many still are confused as to how it works, which service is best for their business, and how to compare each provider’s prices. Stated simply, VoIP enables traditional virtual number services to work over the internet. This means that you forego bulky handsets and long wires and can connect to anyone around the world using only your computer and a headset.

The technology behind VoIP converts your voice into a digital signal which then creates a call from your computer to be transferred into another data-driven device. Naturally, VoIP is beneficial for companies who want to proactively engage with their customers while still being cost-efficient.

A Guide to Comparing VoIP Prices

How is VoIP different from ordinary telephones?

VoIP technology transfers your voice into what they call “packets” which are similar to electronic envelopes. Unlike traditional telephone services, these packets contain more information than just your voice and can be used to enhance your business’ needs. This is especially beneficial for start-up businesses where they may need to rely more on virtual group meetings. VoIP technology enhances connectivity, is highly flexible, and can be used with almost any device as long as there is an internet connection.

How much does VoIP cost?

A hosted system can cost anywhere from $10 a month to upwards of $1,000 a month. That said, take note that price doesn’t necessarily equate to suitability for your business. There are more affordable packages that have features that would best suit your business compared to its more expensive counterpart. The price difference between packages can be confusing; especially when you are unfamiliar with how VoIP pricing works.

Before deciding on any specific package, you need to consider these factors:

How big is your business?

Most service providers are willing to host their systems cheaper for bigger companies. This is because more people would be using their technology. If you manage or own a smaller business, you have to be prepared to pay a little bit extra.

How big is your business

Do you need to buy extra VoIP equipment?

While the software itself is affordable, its equipment is not. If you need equipment such as desk phones and headsets or would want to have a lot of your employees using VoIP, then this will add to your cost. It’s recommended that you ask your service provider for their equipment. This is to make communication seamless and to ensure that both the software and hardware match. It will be an additional expense for you if you try to cut costs by not purchasing hardware from your service provider, only to have it not work in the end.

What features do you need?

Consider your business goals and then take it from there. How many users need technology? Do you need the VoIP for video meetings? Would you need to record them? Do you need unlimited calls in the United States? Will you be calling mobile phones? All these questions need to be properly thought of and answered before you look for a service provider. Remember that when you are comparing VoIP pricing, the difference usually comes from how feature-rich your set-up will be. Again, this doesn’t necessarily mean that lower-priced packages are not suitable for you or that the higher-tier ones are the best. Choose a package that suits your business’ needs.

A good tip to remember is that while service providers do have set packages, they are also very willing to customize a package to suit your specific goals. The price, then, would depend on the features you want.

How long will you be needing the technology?

When comparing VoIP prices, always consider the length of the contract. The longer you are committed to a specific package, the more affordable it is. Service providers are also more inclined to provide discounts and special

Be mindful of one-time costs

When creating your budget for VoIP technology, always provide a little bit more for your first month. This is because you are transitioning to a new system or service. Many businesses tend to forget this, thinking only of their monthly expenses. However, initial, one-time costs can be quite expensive. Some of these include set-up fees, hardware costs, and number porting.

Be mindful of one-time costs

Most companies no longer charge a fee for number porting. This means that you can keep your existing phone numbers. However, depending on how intricate your existing setup was, some service providers may charge a one-time cost for number porting.

Include additional costs to your VoIP pricing

How much VoIP costs is also dependent on miscellaneous factors.

Do you have a fast internet connection?

The main advantage of VoIP technology is that it eliminates the need for heavy and cumbersome equipment. Nevertheless, the technology is highly dependent on the quality of your internet connection. For your business to truly maximize this technology, you need to ensure that your internet connection is good. If you have to update your data plan for your VoIP, this is a cost that needs to be included in your budget as well.

How much bandwidth do you have?

Similar to the previous point, VoIP technology needs to have a wide and large bandwidth for it to work properly. You need to be certain that your existing network can handle heavy traffic, especially during peak hours.

Do your employees know how to use VoIP?

Training must be factored in any budget, including for VoIP technology. You need to make sure that your employees know how to protect the system from spam, fraud, Denial of Service (DDoS) attacks, and similar incidents.


When comparing prices for a VoIP service, there are several factors you need to consider, all of which are dependent on your specific business goals. A good rule of thumb is to not look at the initial price first, but truly consider what your business needs and then go from there. A lot of service providers are willing to design a customized VoIP package when they know exactly what it is you are looking for. This is the best way to have a service that is both beneficial for you and at the best price. provides VoIP services to over 80 countries and more than 6,000 cities. Before offering any package for your business, they work with you to ensure that any features you’ll receive are in line with your specific marketing and business goals.

Last modified on Thursday, 17 Dec 2020 22:26