7 Reasons Every Telecom Reseller Should Offer SIP Trunking Services

February 24, 2022

The rising trend of remote workforces has shined a spotlight on telecommunication needs across the globe. Hosted VoIP (Voice over Internet Protocol) services are more widely accepted than ever. As a piece of evidence, the market value of SIP trunking services is estimated to hit more than $30 billion by 2027. That’s a pie big enough to make every telecom reseller smile.

SIP (which stands for Session Initiation Protocol) trunks, enable voice and video to run over an Internet connection. This technology is the absolute standard for modern, digital telephony services. Their secure design is fully redundant, and SIP trunks are easily scaled to meet changing business needs. 

SIP trunks are cost-effective solutions for customers and companies of all sizes across all industries. Additionally, they are a great source of recurring revenue for telecom resellers.

Skeptical that reselling SIP trunking services can be a business opportunity for you? Here are seven reasons to convince you to add this modern telephony service to your portfolio of telecom offerings.

What Does a Telecom Reseller Do?

A telecom reseller plays an essential role in the telecommunication industry, purchasing services, tools, and equipment from larger providers to sell independently to a personal network of end customers.

One of the greatest benefits of acting as a reseller of telecom services is that you can offer unrivaled customer service at a local level. Larger network carriers are inherently not set up to provide such a personal touch.

Additionally, top telecom service partners provide their resellers with high-level support should you ever need assistance serving your customers.

So, why resell SIP trunking services, specifically? Here are seven reasons:

1. Save Your Customers Money

The #1 reason for reselling SIP trunking services is that SIP trunks represent significant budget savings for your customers. This advantage is a value-prop that’s easy to understand, so let’s break it down further:

Between phones, wiring, installation, and setup support, a traditional PBX phone system can run a company between $800 and $1,000 per employee. And that’s before factoring in monthly service charges. For a small business, this deployment can be cost-prohibitive.

An alternative solution, hosted VoIP, carries an average cost of $2,000 for five extensions. While this works out to be less expensive, it can still result in a significant initial investment.

Now, compare the above to the cost of SIP trunking. Popular unlimited plans cost as little as $24.95 per month, per channel, with no additional equipment necessary. Simple math says that’s a huge saving.

2. Simplify Customer Deployments

When it comes to setting up and rolling out, SIP trunking makes installation a breeze. The main reason is because you won’t have to deal with the headaches associated with traditional POTS lines. With SIP trunking, there’s no physical line for a telecom reseller to install or provision, and there’s no lag-time for users.

Instead, virtually provisioned SIP trunking solutions come online almost instantly. Customers appreciate the easy, no-fuss changeover, and you’ll save significant time and money on installations and any future maintenance.

3. Compete with Hosted PBX Solutions

Hosted PBX solutions relieve business owners of the expenses associated with system management, troubleshooting, and equipment.

When a telecom reseller bundles SIP trunking services with an IP PBX and sells the package through a lease, they can offer their customers the same functionality and features as a hosted PBX at a similar cost per month.

This is important if your customer base is predominately smaller enterprises, as hosted VoIP vendors aggressively target small businesses. Thanks to SIP trunking, you can compete with any Goliath trying to poach your sales leads.

4. Migrate Customers to VoIP Without Replacing Existing PBX

Speaking of PBX, there’s more good news. You can still pass along cost savings even If your customer has an existing analog PBX that is functioning properly. With SIP trunking services, you can seamlessly pair a VoIP gateway that interfaces with PBX to allow for SIP calling.

5. Launch New Offerings

Staying on the theme of packaged services, SIP trunks can be bundled in countless combinations to fit nearly every customer’s need.

For instance, fax over IP, toll-free calls, outbound international calling, and DIDs can all be mixed and matched with SIP trunking services.

6. Build Monthly Recurring Service Revenues

By reselling SIP trunking services alongside other offerings — like IP PBX and gateway deployments — you’ll build a base of passive income every month. How, you ask?

As a telecom reseller, your primary revenue stream from selling SIP trunking services is through commissions paid by your trusted wholesale partner. You’ll never start a month at zero. As long as your customers are using the service, you’ll receive a fixed payout for each channel in your portfolio, month after month after month.

7. Increase Customer Deployment Profitability

Even when focusing your telecom reselling enterprise on the smallest customers, you can generate extra profits every year by including your own markups on services. This is the ultimate unlock. Just be sure to price your SIP trunks competitively enough to win your customer’s business.

Augment Your Reseller Offerings

Regardless of the industry, barriers to communication can drastically impact worker productivity. Clear, consistent, and effective communication are critical for a company to thrive.

Today, many VoIP service providers offer a range of enterprise-grade telephony services. However, as illustrated by the seven points above, savvy resellers of telecom services know SIP trunking is a top solution.

SIP trunks help customers modernize and update communications capabilities while building recurring revenue streams for their resellers. It’s the very definition of win-win. But if that’s all you took away, you’re missing the other big benefits.

The flexibility of SIP trunking means customers can scale based on business needs, easily adding or deleting channels. Flexibility also means resellers can bundle services in a variety of ways, providing extra benefit to customers and more dollars to the reseller’s bottom line.

Start Expanding Your Telecom Resale Business

But of all its benefits, the cost-efficiency of SIP trunking — both for you and your customers — is hard to beat. That’s why partnering with a reputable wholesale provider known for business-friendly business practices will be your leg up against the telecom reseller competition.

Does your partner offer a platform designed to make quoting, provisioning, and billing easy? Can your provider help you promise customers no long-term contracts and no big upfront expenses?  

At SIPTRUNK, we built our platform with the telecom reseller in mind. You’ll answer yes to all of the above when you partner with us. And unlike many other SIP trunking providers, with SIPTRUNK, you and your customers can use any Internet service provider you choose. 

That’s the type of added flexibility that can be the difference between closing a sale or missing an opportunity. Get started with SIPTRUNK today to discover a new revenue stream.