#SPICEWORLD2018

VOIP – HOW TO FIGURE OUT WHAT IS RIGHT FOR YOUR

COMPANY

#SPICEWORLD2018

Jared BuschManager – Network Engineering

Bundy & Associates

#SPICEWORLD2018

WHAT VOIP IS

An acronym for Voice over Internet Protocol

The modern way to make and receive phone calls.

A phone system

#SPICEWORLD2018

VOIP IS NOT MAGIC It has been around for decades

New paradigm of thinking

Common usage began in the early 2000’s Calls are simply data on your network

It is transparent to your users Using it takes no new knowledge

A skilled IT Professional can help Like anything in IT, it takes knowledge to do right

#SPICEWORLD2018

VOIP IS JUST A PHONE SYSTEM

Reliable

Flexible and Scalable

Low cost to implement

Low cost to use

#SPICEWORLD2018

THE 3 PIECES OF A VOIP SYSTEM The Brain

Used to be the big box on the wall or floor VoIP is all software. Whether local, hosted, or cloud based

The Interface Was only desk phones Now includes soft phones, and apps

The Service Legacy service from the phone company VoIP service is SIP

#SPICEWORLD2018

THE BRAIN

What it was:An expensive hunk of metal

What it is:Free to lost cost software or a subscription service

#SPICEWORLD2018

THE INTERFACE

What it was:Proprietary hardware tied to the PBX

What it is:Standardized hardware and software that can go anywhere

#SPICEWORLD2018

THE SERVICE

Legacy Services

Highly regulatedExpensiveRun over dedicated wiring

Old billing models

VoIP Services

Lightly regulatedLower costRun over your existing network and Internet

Modern billing models

#SPICEWORLD2018

SO HOW DO YOU DECIDE? Always keep in mind what parts are being

discussed There are 3 pieces and the do not have to be tied together

All three pieces should be considered separately. The Brain The Interface The Service

#SPICEWORLD2018

FIND A BRAIN

Two real choices for the brain Hosted Service

Pay by extension: Ring Central $20/user/month

Pay by call path: ONSIP $0-$10/user and $15-$25/call path

Typically include the desk phones

Self hosted software Pay for the software not per extension

A virtual machine locally, in collocation, or hosted on a public cloud

You buy the phones

Pay per use calling plans

#SPICEWORLD2018

PICK THE PHONES

The Interface (Desk Phones, Soft Phones, Adapters)

Desk Phones from $80 to $250

Soft Phones from $0 to $30

Headsets from $40 to $200

Adapters from $100 to $1,000+

#SPICEWORLD2018

SELECT THE SERVICE

The Service (Calling Paths)

SIP Trunks Metered for $1.00/month per DID and $0.007 - $0.01 per minute

of calling

Unmetered for $20-$25 per month per DID and “unlimited” calling

Cable Company Typically unmetered with Legacy POTS hand-off $20-$30 per

month per DID

Legacy POTS/PRI Unmetered local calls for $30 per month (or more) per line

Separate Long Distance billing

#SPICEWORLD2018

JUST GIVE ME THE BOTTOM LINE There is no magic number

You have to do the math

Fit the solution based on your business needs Case Study 1 – Material Handling Company

Spent ~$9,000 on hardware and labor Saving ~$800/month comes to a RoI of 12 months $9,600 yearly savings after the first year

Case Study 2 – Distributor Spent ~$4500 on hardware and labor Saving ~$400 to 600/month come to a RoI of 8 to 12 months

#SPICEWORLD2018

WHERE IS THE SAVINGS

VoIP reduces OPEX compared to Legacy POTS Case Study - Material Handling Company

81% reduction in the monthly bill From $29/month per user to $5/month per user

Case Study – Distributor 66% reduction in monthly bill From $28/month per user to $9/month per user

Case Study – Consulting Company 77% reduction in monthly bill From $19/month per user to $4/month per user

#SPICEWORLD2018

REAL COSTS FROM APRIL 2018Location Calls Minutes

UsedCost Users Cost per

UserMinutes per User

Main Office

6,030 15026 $132.94 48 $2.77 313

Branch 1 683 1699 $13.76 10 $1.38 169

Branch 2 548 1186 $9.81 12 $0.82 98

Branch 3 1,916 4729 $47.91 10 $4.79 472

Total 9,177 22641 $204.43 80 $2.56 283

Month Working Days

Working Hours

Working Minutes

$15 Cost per minute

$20 Cost per minute

$30 Cost per minute

April – Max 21 168 10,080 $0.00149 $0.00198 $0.00298

April – Real - - 283 $0.05300 $0.07067 $0.10601

#SPICEWORLD2018

DISCUSSION AND QUESTIONS