# Leveraging VoIP for Business Growth

Written by: [Shivkumar M](https://clevertap.com/blog/author/shivkumar/) **Head Product Launches, Adoption, & Evangelism.** **Expert in cross channel marketing strategies & platforms.**

## Voice: Part of Your Omnichannel Engagement Strategy?

Many marketers believe that “telecalling” can be a double-edged sword in a brand’s armory, depending on how and why it is used. This medium can provide context and branding and be a powerful tool to help solidify the relationship with the customer. On the other hand, the same medium can easily cause the destruction of a brand’s reputation.

The long wait times, the constant rerouting, and the not-so-occasional dropped calls (requiring the customer to start the process all over again) can really make customers question if they want to continue to do business with that company.

But there are solutions that can make voice via VoIP a very efficient part of your [omnichannel strategy](https://clevertap.com/blog/omnichannel-marketing-guide/).

## Boost Customer Lifetime Value

## What is VoIP and How Does It Work?

VoIP is an acronym for Voice over Internet Protocol. It’s a digital technology that allows users to make calls using the internet, rather than a regular landline. VoIP is also commonly referred to as internet telephony, IP telephony, or Voice over IP.

VoIP works by converting analog voice calls into digital data that travels over the public internet or a private internet protocol (IP) network. Using VoIP, you can make phone calls over the internet to landlines, mobile phones, and even computer-to-computer—anywhere in the world where an internet connection is available.

Besides audio calls, you can use VoIP for services such as video calls, instant messaging, and file sharing. The right VoIP system can help businesses become more organized and capable, at a fraction of the cost of large corporate phone systems. When cost savings are combined with increased performance, brands are bound to be on the path to rapid growth.

## Six Ways You Can Leverage VoIP to Grow Your Business

VoIP can be leveraged for the growth of your brand. When used correctly and with the right tech stack, there are six ways that voice calls can boost your growth.

1. **Free Up Funds to Invest in Marketing and Branding**  
   Most VoIP solutions result in immediate cost savings. Voice calls are cheaper and exorbitant long-distance and international calling fees are no longer an issue. Even if your business doesn’t make a lot of long-distance calls, you’re still likely to save money.

You can apply those cost savings to sales, marketing, and branding initiatives that will help expand your operations and grow your revenue.

2. **Build Delightful Customer Experiences**  
   Happy customers stick around, spend more, and refer their friends to use your services. And it’s no secret that customer satisfaction isn’t only about what happens when someone buys from you. The [engagement](https://clevertap.com/blog/mobile-app-engagement/) they have with your company before and after their transaction is a critical part of the overall experience.

VoIP helps contribute to customer satisfaction by utilizing communication techniques that help clients while also making them feel valued. For example, a VoIP system could use an intelligent chatbot to handle routine customer inquiries. This technology works to immediately address an issue or concern while also leaving your human staff to handle more complex issues.

3. **Make the Most of Your Current Relationships**  
   You’ve heard the stats about how it can cost 5 to 25X more to acquire a customer than to retain an existing one. A strategy that companies often overlook, however, is maximizing the amount of revenue they can generate from their current customers.

Take a look at your average [customer lifetime value](https://clevertap.com/blog/customer-lifetime-value/) and determine the factors that influence it and where a customer is in their lifecycle with your brand. A VoIP system that’s integrated with your client database will prompt you to address any relevant opportunities while you have the customer on the phone.

4. **Never Miss an Opportunity**  
   The statistics about unanswered phone calls are scary. Small business owners, for example, don’t answer 62% of their phone calls. Assuming the call goes to voicemail, you now have to rely on a customer to leave a message and your staff to respond before the potential client decides to contact another business for their needs.

5. **Get Insights from Call Analytics**  
   A great VoIP system can also create custom lists that allow you to see which customers have overdue payments, how many clients have birthdays this month, and more. From your dashboard, you should be able to contact the customer immediately. No switching between screens, devices, or notebooks.

6. **Use Word-of-Mouth to Your Advantage**  
   Nearly 95% of customers read online reviews before making a purchase. Getting more reviews is vital to the growth of your business. But how do you go about getting more of them?  
   Some VoIP systems may have the capability to send an SMS message to satisfied customers, inviting them to leave a Facebook or Google review.

## Uber Case Study

If you book an Uber, there are three ways to contact your driver: sending a text message, using the Uber in-app chat feature, or calling the driver using your phone. But Uber added a fourth option in the form of VoIP communication (Free Call option).

VoIP calling adds convenience/reliability as it relies on an internet connection rather than crowded phone networks. One final benefit for Uber is VoIP adds another way to keep everything inside the app.