Get to know your VoIP phone system with this helpful glossary
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Get to know your VoIP phone system with this helpful glossary

Have you ever been part of a conversation with a group of people who seemed to be speaking their own language? Perhaps it made you feel left out and it was difficult to connect with the group on a personal level due to what seemed to be a language barrier. This is how slang can make people feel “average.” All the acronyms and terms in the VoIP phone system industry only create confusion among certain people and make them feel like outsiders, thus increasing the communication gap between a service provider and their consumer.

That’s why we’ve provided a glossary of essential terms used by VoIP providers so you can meet VoIP agents and telecom experts at least halfway. However, before getting into the matter, let’s clarify what the difference is between VoIP, IP and cloud telephony.

Bottom line: there really isn’t much of a difference. VoIP, IP, and the cloud (or cloud-based) are essentially the same thing. All of these use an IP network that digitizes communication data, such as voice, creating data packets and sends these data packets between different endpoints. Using this method is known to be more cost effective as data packets can be transmitted on shared lines without PTSN tolls (read on to find out what PTSN is).

This glossary was put together with the average entrepreneur in mind. As the way businesses communicate is changing to keep up with today’s technological advances, we want to help you stay current on the terminology you may hear over the phone when talking to VoIP service providers.

Here are some other helpful words to help you better understand the agents at your current business cloud phone service provider.

VoIP Glossary

ATA: Analog Telephone Adapter. This allows analog users to connect their traditional telephones and fax machines to a VoIP network. Turn your fax machine into a virtual fax machine with a Cisco SPA112 ATA.

BYOD: bring your own device. Many VoIP phone system providers make it easy to switch providers by allowing users to use their existing communication hardware. If you already have IP hardware, you can experience even more savings.

DID: direct internal dialing. DIDs are phone numbers where you can assign multiple phone numbers associated with one or more phone lines so that each employee can have their own number without the need for a separate phone line. DIDs eliminate extra costs and busy signals.

IP phone (also known as a VoIP phone): A digital phone that uses an Internet connection to transmit calls. IP phones are not necessarily a requirement to use their VoIP phone system, as many offer plans that can be used with your mobile phone.

IVR: Interactive Voice Response. An IVR allows a computer to interact with callers and identify where to route callers based on a selection the callers make from the prompt menu. For example, if your VoIP system has a personalized greeting that allows callers to choose between speaking with sales, marketing, or billing, the caller will be routed to a specific endpoint ((individual or department) based on their selection).

Jitter: Variations in packet arrival time, which means call quality sounds choppy.

Packet loss: If your voice is transmitted as a “packet of data”, then packet loss just means that part of the data was unable to reach the intended endpoint. This usually occurs due to network congestion and causes jitter.

PoE: Power over Ethernet. PoE means that data connection and electrical power are provided by a single cable to provide functionality to devices including IP phones. With PoE phones, the device can be plugged into a desktop and wall jack to create a complete path for voice and data media.

LNP: Local Number Portability. If you are transferring your number from one carrier to another, you will need to complete an LNP form to reassign your number.

PBX: Private Switchboard.

PSTN: Public Switched Telephone Network.

Softphone: Software that gives you the ability to make phone calls using your computer through an Internet connection. This can also be an application on your mobile phone that allows you to use your mobile phone as a business communication device.

Virtual Number: Another way of saying DID, a virtual number is not associated with a phone line and is typically used to forward incoming calls to pre-set phone numbers. Virtual numbers can be used for virtual services, marketing campaigns and other business purposes.

VoIP: Voice over Internet Protocol

VoIP service providers that speak your language

Regardless of the size of your business and the type of products and services you provide, you can benefit from VoIP service providers and the promoted features they offer. Although VoIP is not perfect and may not suit everyone, it is a solution that many business owners across the country have successfully implemented. See for yourself with custom VoIP solutions.

You don’t have to speak like a VoIP agent to enjoy powerful productivity-enhancing features; however, now you can keep up with some of the most common terms and be better prepared for your next conversation with VoIP service providers.

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