What Is SIP Trunking?

future of business communication: benefits of sip trunking

SIP stands for Session Initiation Protocol.  It is a form of Voice over IP.  SIP trunks are call paths over the internet.  SIP trunks don’t really exist.  People are just used to phone lines and circuits and it’s easier to understand if you make it seem that there is such a thing as a SIP phone line.  With SIP, voice is being transmitted over the internet in a similar way that emails are transmitted over the internet.

7 Benefits Of SIP Trunking For Your Business

Let’s look at the seven most common benefits of SIP Trunking.

1. Voice Communication

Voice communication over the internet makes more sense than data transmission over the telephone network.  With the availability of bandwidth increasing and the prices of bandwidth decreasing, it makes more and more sense to transmit voice communication over the internet.

2. Easy to Manage

One of the business benefits of SIP is that it is easy to manage. It is easier to manage one network, for all forms of communication system, than two disparate networks, with two different sets of cable and separate switching and routing equipment.

3. Better Use of Business Resources

SIP makes better use of your company’s resources.  Instead of having unused phone lines sitting stagnant, when SIP call paths aren’t in use, the bandwidth they require is freed up for other uses.

4. Flexibility

With SIP, you have more phone number flexibility.  Traditional phone lines have phone numbers that are location-specific.  SIP can utilize phone numbers from anywhere in the country.

5. Business Cost Reduction

SIP facilitates economies of scale.  A telephone company can centralize its SIP call paths and make them available to their employees companywide.  When lines are pooled, a company can reduce the total amount of cost by about 30 percent. This cost saving attribute makes it popular with its customer.

6. Better Customer Service

SIP can provide more information to the party receiving calls.  When a call center utilizes SIP, a large amount of information can be transmitted along with the phone calls.  Information like User-to-User Information (UUI) can facilitate a telemarketer’s job and improve customer service.

7. Scalability

SIP is more scalable than traditional TDM phone service.  The total number of SIP call paths can be increased in hours, versus days and weeks that traditional phone service requires.

SIP is the future of business voice communication.  If your company isn’t currently utilizing it, you should start preparing for SIP technology to use it..

If you would like more information regarding or help to implement SIP, contact CarrierBid today.

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