Till recently, VoIP service vendors have highlighted cheap global calling rates and low service fees to sell the VoIP service to customers looking for low cost phone service. However, corporate decision makers base their decisions on more than per minute price savings. Small business VoIP service vendors need to work harder - persuading corporate leaders on the quick payback potential of implementing VoIP systems.

Earlier break even for technology costs

Trends indicate that companies are looking at technologies that break even in less than six months - contrary to prevailing industry expectations of six quarters. In spite of advances in VoIP technology and products, this stipulation is tough on its service providers. They now must substantiate their claims with fiscal break even data to win contracts as corporate budgets are restricted to projects that show noteworthy returns preferably within the same financial year.

Phased implementation of projects

Tight clamps on technology spending have made C-level executives rework their project plans. Executives no longer make purchases in a single shot but in a phased manner. In the past, implementing a VoIP system was a colossal task involving upheaval in network, hardware and desk equipment. The situation today is much improved. Interoperable equipment gives managers the flexibility to implement parts of a long running project according to when funds are on hand and business disruption is minimized.

Quantifying results of VoIP systems

To measure the rewards of installing or upgrading a VoIP system, CTOs have to look at both tangible and intangible results. Voice clarity and other useful features are intangible results that contribute significantly to staff efficiency. Apart from this, CIOs need factual results that have to be measured in ways that truly reflect their impact. A number of tactics employed by CTOs to measure the performance and cost savings from a VoIP system include:

• Measuring the impact of the time expended in reconnecting dropped calls on an employee's productivity in terms of lost hours.
• Collecting feedback from customers and evaluating the effect of a clear phone connection on sales that worked out and those that didn't.
• Comparing the expenditure of running a tele-presence solution over VoIP services with {an executive's travel} expenditure.
• Spreading the net price of a new VoIP system over the operations and maintenance budget of an existing project over half a year.

A factual picture of the financial returns cannot emerge without considering the true cost of ownership. If a VoIP system successfully breaks even in 6 months, finance managers can remove a line item from the budget. No CEO can turn a blind eye to such a cost benefit.

VoIP system vendors - Proving claims

VoIP service providers have to produce some realistic financial data to support their claims. They have to use case studies and numbers to prove the real cost of ownership over the existence of a VoIP system. For example, a system that breaks even in 6 months and does away with expensive maintenance for the next three years wins hands down with CIOs. The budget allocated to the organization's business VoIP system can be amortized over 3 years.

As VoIP systems move into offices and homes, service vendors will be faced with tougher expectations from clientele. Enterprise VoIP system providers must prepare themselves with essential financial data to influence potential buyers of the viability of seeing returns in 6 months. All value-added VoIP service providers must learn this skill to win contracts. Daljeet Sidhu is the author of this article.

VOIP communications with the skype wi-fi phone technology.