Benefits of VoIP for SaaS Startups


VoIP or voice-over-internet protocol allows users to make calls over an internet connection rather than a telephonic network. The VoIP phone market is expected to touch 55 billion USD by the year 2025. The best part is that this technology is not industry specific. Specifically for SaaS startups, this technology provides a diverse range of benefits in terms of speed,  flexibility, and high accessibility. 

Benefits of VoIP

  1. Flexibility 

Virtual communications are simple to use and provide users with the flexibility to add different layers of functionality like instant messaging, teleconferencing and voicemail. It allows employees to work remotely and saves direct costs in terms of rent and utility. The State of Work Productivity Report revealed that 65% of full-time employees are of the view that a remote work schedule would bolster productivity.

  1. Cutting edge technology 

VoIP improves the communication infrastructure. It can bring massive cost savings, as they can reduce local phone bills by 40% and international call expenditure by 90%. As most SaaS startups have cloud-based systems, they don’t need to hire specific staff to manage VoIP and benefit from resource cost savings. A fast internet connection with sufficient bandwidth is all that is needed to ensure no latency issues and dropped calls. 

  1. Effective resource utilization

VoIP delivers error-less computing. It generates real-time analytics, which helps in human resource management by linking the right person for a given job. Many SaaS startups use different systems due to their diverse functions. VoIP can integrate with existing business systems and can manage communication using multiple technologies. For example, calls can be placed directly from an email or a messenger.  

  1. Reliable and effective communication

VoIP adjusts to specific call requirements and filters the most profitable ones for businesses. It provides smooth access and secures the calling mechanism. Enhanced calling features like call transfer, call recording, and auto-call answering to ensure effective communication. For example, revisiting customer records while on a call with the customer can help in giving a better response.

  1. Helps in scalability 

It can help SaaS startups in scaling while maintaining efficiency and cost-effectiveness. By adding instant connections from anywhere. Expanding to new territories or hiring temporary employees, or closing low-requirement sites become easy with VoIP. 

  1. Enhanced Customer Experience 

SaaS startups depend on public feedback for charting out product development roadmap. A bad sales call can sometimes be a huge loss for a firm. Features like auto call answering, IVR and voicemail transcription help in improving communication capability. Minimized call waiting time helps improve customer satisfaction and retention rate. 

Since VoIP phone systems aren’t tied to a physical phone line, it has an unlimited number of lines at their disposal. Thus callers will never get a busy signal, and their calls can be redirected to a real customer executive on time. 

  1. Builds a positive brand image

SaaS companies, like any other company, need to build a good brand name. VoIP opens multiple channels of communication which creates an aura of trust and transparency. Features like pre-designed greetings and automated call assistants, multi-lingual approach, location-specific service and more add credibility to your business. 

  1. Improve employee productivity

SaaS Startups cannot afford to hire a large number of employees because of their limited budget. Thus SaaS startups can efficiently boost employee productivity by using features like sequential calling. It allows redirecting calls to idle employees, and interactive voice responses can free employees’ time for more critical tasks. 

  1. Helps to test new ideas 

SaaS companies  are all about innovation. But uncertain cash flows restrict the implementation of new ideas. But the use of VoIP helps them in making data-centric decisions. 

VoIP converts audio into data packets that can be stored, manipulated, or integrated, to gain insights into customer needs. 

Most VoIP solutions offer third-party CRM features, which help sales and marketing teams to better target their campaigns. 

  1. Easy Maintenance

Maintaining traditional phone systems involves the commissioning of phone lines, timely upgrades, and replacements. Apart from financial expenses, it saves time of hiring technicians and creating a separate department for maintenance of communication systems. 

Repair and maintenance work often leads to outages which can directly affect the finances of a company. Startups may not always be able to cope with such challenges. 

VoIP providers offer services at a minimal charge, from $20-$30 monthly per user. It doesn’t require a separate maintenance staff and is easily portable. 

  1. Security 

VoIP is considered a more secure option as compared to landline phone systems. Systematic encryption protocol offers end-to-end encryption and defends against data breaches. Phone security is a great concern for SaaS startups as a lot of data is generated by users who regularly interact with their software. The data sets may include personal information like account info, purchase history, etc. VoIP service providers ensure that all major security updates are installed, and customer data is protected. 

Remote work can raise additional security concerns for such startups. Ensuring data remains secure when employees are using it from different locations and devices. VoIP can solve these concerns with robust security upgrades to its infrastructure. 


Thus VoIP is a great solution for SaaS startups. It provides multifunctionality, flexibility, and accessibility, which especially helps SaaS-based startups where most user interactions are recorded on cloud-based platforms. All its features are interconnected and functioned together to ensure smooth communication. Customers feel valued and turn into loyal customers. Though there are issues like jitters, echo, and dropped calls, all of this can be solved by simple solutions like upgrading network connectivity. 

VoIP technology is constantly improving. There are multiple providers which offer free trials and include services like generating transcripts for business calls, DND more for after hours and setting up business phone numbers with ease. Thus for SaaS-based startups where data is key, VoIP is the right choice. 

Author bio:

Trevor is a SaaS growth consultant and managing partner of Ring4. He leads the product development and drives innovation for building the best lightweight business phone solution in the cloud.

Leave a Reply