Is VoIP reselling a profitable business?

As it is a known fact that VoIP resellers rank lower in the pecking order of VoIP business, the question arises whether they can earn a good profit margin while extending their services to end users. The answer is a big “YES” as it opens up potential business opportunities that most fail to understand.

No matter what level you are at in the VoIP business hierarchy, you can still make a fortune from the type of services you can offer to your subordinate levels. Therefore, as a reseller, you can grow your business efficiently only if you can ensure smooth business operation as below.

Extend the boundaries of your business

Most resellers focus on transmitting VoIP services from retailers to end users or other resellers. Apart from this, you will need to focus on different sets of end users such as call centers, educational institutions, small and medium businesses, etc., which can ensure good returns to make your business more competitive. Therefore, business expansion is possible through VoIP reselling for further revenue generation.

Choice of Routes

In general, the quality of voice calls over VoIP depends on the Internet connection as well as the routes subscribed by VoIP service providers/VoIP retail providers. Although they can’t do anything about the internet connection, they can definitely manage the routes with the help of softwitch based on the number of concurrent calls it can process. The routes can be classified into:

  1. Standard routes: Voice quality is always of a standard nature with any number of simultaneous calls.
  2. Premium routes: Voice quality is crystal clear regardless of the number of simultaneous calls.
  3. Gray routes: Voice quality decreases as the number of simultaneous calls increases.

Therefore, as a reseller, you need to be aware of these routing options so that you can pursue them accordingly from your wholesaler. A softswitch can help you choose the combination of these paths to ensure decent voice quality for your end users and generate more profit for your business. So make sure your wholesaler has a robust softswitch that has this provision.

advanced softswitch

As mentioned, the role of softswitch is very critical to the success of the VoIP reselling business. Most of the softswitches do not support billing function, so it will be a big trouble for you to track customer transactions/accounts and bill them accordingly, resulting in ineffective customer service. Eventually, this will result in a huge loss for your business, as there would be no transparency in tracking balance talk time. Therefore, an advanced wholesale softswitch that also supports billing functionality should be obtained from your wholesaler to ensure a risk-free trading environment.

In addition to the above, make sure that the SIP clients provided by your wholesaler support advanced features like video conferencing, SMS, instant messaging, call forwarding, file sharing, etc., to provide seamless VoIP services to end users.

Leave a Reply

Your email address will not be published. Required fields are marked *