The Best Internet-Based Phone Systems of 2024

Did you know that between 2010 and 2018, businesses in the US added more than 35 million internet phone ‘lines’?

And that call centers can save up to 50% in costs with internet-based phone systems?

Move over traditional landlines, internet-based phone systems are the future, and a business no-brainer. And if you’re looking for the best, you’ve probably already decided you need one.

But which to choose? With so many systems out there, it can be a major challenge to compare them and see which platform would work best for your needs.

That’s why we’ve done the hard work for you. We’ve outlined what an internet-based phone system is, the massive benefits it brings, and the must-have features to look out for. 

Then, we’ve picked eight of the best platforms available today, to help you make the most informed decision that’s right for you.

Let’s take a look.

Key takeaways: 

1. Internet-based phone systems can save businesses up to 50% in call center costs and improve call handling efficiency by significant margins.
2. These systems allow making calls from the same business number regardless of the location, supporting remote work and enhancing flexibility.
3. Leading platforms like CloudTalk, Nextiva, and Dialpad offer AI-powered tools, extensive integrations, and international calling features to boost productivity and customer satisfaction.

What Is an Internet-Based Phone System? 

Just as it sounds, an internet-based phone system is a phone system that uses the internet to connect your calls, rather than traditional phone lines.

An internet-based phone system can be used on:

• ‘Hard’ phones: Real phones with a handset, which connect to the internet using a cable.
• ‘Soft’ phones: A software-based phone – for example, using an app on a computer, tablet, or smartphone – which usually connects to the internet using WiFi or data.

Unlike a traditional landline, with an internet-based phone system, you don’t need to use a specific phone to make calls from that number. That’s because the internet system does the phone ‘routing’ for you, instead of a traditional fixed-location switchboard.

This means – to cite just one benefit – that you can make calls from the same business number, whether you’re calling from the phone on your office premises, or from a smartphone when you’re working remotely.

The Difference Between an Internet-Based Phone System and a VoIP Phone System

The need-to-know definitions are:

An Internet-based phone system is an umbrella term to describe a phone system based on the internet. It uses VoIP technology (see below), and is typically hosted in the cloud.

A VoIP stands for ‘Voice over Internet Protocol’. This:

• Is a phone system that uses the internet to make and receive calls, instead of traditional single-number phone lines attached to specific phones.
• Assigns a number (or numbers) to a specific account or user (wherever they are logged in from, as long as they’re connected to the internet), rather than a single device, landline phone, or SIM card.

10 Benefits of Internet Phone Systems

Internet phone systems bring considerable benefits in comparison to traditional phone lines and switchboards.

Check out the infographic below for a visual representation of the advantages: 

The benefits of using a VoIP service provider are, therefore, evident, and we have many great results to back them up. For instance, when construction company coordinator PlanRadar switched to CloudTalk, they saw a remarkable 70% increase in call handling efficiency, a 20% boost in agent productivity, and a 3% reduction in missed calls.

Another company, international car rental website DiscoverCar, decreased its customer call waiting times by a staggering 80%, reduced call handling times by 25%, and saw its customer satisfaction scores soar by 15% after switching to CloudTalk’s internet-based business VoIP services.

Top Features To Look Out For In An Internet Phone System

When you’re considering the best internet-based or virtual phone system for your business needs, you need to prioritize the calling features that will make the most positive difference to your clients, and to your team.

These are the main features to look out for (and why):

8 Leading Internet-Based Phone Systems 

Now you know why you need an internet-based phone system, and what to look out for when choosing it.

Next, let’s look at the leading platforms, so you can choose the best one for your business.

• CloudTalk: Best for companies who need a highly-rated, all-in-one customer service tool, with excellent quality, easy setup, seamless integrations and efficiency-enhancing AI.
• Nextiva: Best for companies looking for robust conversation tools plus omnichannel add-ons, with a focus on analytics.
• Dialpad: Best for businesses that want to maximize the power of AI-powered features.
• RingCentral: Best for smaller businesses whose teams are remote and/or international, and need a high number of integrations.
• CallHippo: Best for companies looking for simplicity, straightforward VoIP features, and time-saving tools.
• Phone.com: Best for small business owners and entrepreneurs looking for an affordable solution and 24/7 support if needed.
• GoToConnect: Growing businesses who need scalability, especially easy-to-use systems and extra security features, and who work on desktop as well as mobile.
• Ooma: Best for businesses that want to focus on voice call management.

#1 CloudTalk

CloudTalk is specially designed for sales and customer support teams who want to have more productive, professional, and meaningful conversations. All of this while also making better data-driven decisions, improving their call center monitoring record, and using AI to be as helpful and efficient as possible.

Key features:

• International numbers to more than 160 country codes for low-cost global reach
• Automatic outbound local numbers to build trust with the client
• Smart dialer, call transfers, and personalized audio messages to connect better with clients
• Unlimited number of concurrent VoIP calls to improve call center performance
• Call queuing, automatic workflows, and call center automation for added efficiency
• Call monitoring, real-time dashboard metrics, and analytics for better performance
• Advanced features using AI, like call recording, sentiment analysis, topics extraction, auto transcription, and talk/listen ratio analysis
• Extensive marketplace of 36+ integrations across CRM, sales, and help desks

Pricing: From $25 for the Starter plan.

Best for: Companies who need a highly-rated, all-in-one customer service tool, with excellent quality, easy setup, seamless integrations and efficiency-enhancing AI.

Most helpful user review: “As a remote team lead, juggling clear communication across borders and boosting efficiency was a constant challenge. CloudTalk became our secret weapon for enhancing remote team productivity. Their user-friendly interface made call routing and collaboration a breeze, while the crystal-clear call quality ensured seamless communication, even internationally.” — G2

#2 Nextiva 

Nextiva’s Customer Conversations software offers voice, video, and SMS messenger communication features for a smooth customer call experience. It features a powerful analytics dashboard, and includes a solid selection of common integrations. While the platform offers a robust set of features, its interface may require a learning curve for new users.

Key features:

• Text messaging customer service
• ‘Auto attendant’ to automatically pick up client incoming calls
• Call queue capabilities at busy times
• Voice analytics
• Unlimited calling within the US and Canada
• Works with Nextiva’s other solutions, the Customer Experience and Brand Management tools

Pricing: 

From $35.95 per user per month for the Essential Customer Conversation Suite.

Best for: Companies looking for robust conversation tools plus omnichannel add-ons, with a focus on analytics. 

Most helpful user review: “The VoIP phone service offers clear call quality and reliable connectivity, ensuring that communication remains seamless. I’ve yet to have any issues with dropped calls.” — G2

#3 Dialpad

Dialpad’s business phone system prides itself on using AI to simplify customer service and simplify operations for staff, and for being easy to set up and use on multiple devices. It prioritizes helpful AI-powered tools such as assisted answers, customer satisfaction gauges, and automation of call summaries and online chatbots. While the platform is effective, it may not offer the level of customization some users might require.

Key features:

• AI-powered tools such as Agent Assist, for better answers to customer questions
• In-call cards to boost customer service agent confidence and improve job satisfaction
• Unlimited calling within the US and Canada
• Hold queues, auto-attendant, and voicemail to reduce missed calls
• High-definition voice tool
• Performance metrics
• Extensive marketplace with common integrations

Pricing: 

From $27 per user per month for the Standard Business Communications solution.

Best for: Businesses who want to maximize the power of AI-powered features.

Most helpful user review: “Dialpad is a comprehensive and efficient communication platform that stands out with its AI capabilities and integrations.” — G2

#4 RingCentral

RingCentral’s business communications platform prioritizes mobile, AI-powered calling via smartphones, in a bid to unify your business calls within its app. It also specializes in internationally-based teams, and has an impressive array of integrations. While the tool offers great features, it may be more appropriate for smaller contact centers than for mid-size or larger ones.

Key features:

• Reduced missed call tools with call rerouting and queue management
• Easy multiple-location set-up and multilingual phone menus
• With 300+ integrations for seamless connections with all of your existing tools
• AI tools for note-taking, sentiment analysis, and more helpful chat responses
• Analytics and automated workflows

Pricing: 

From $30 per user per month for the Core RingEX business communications platform.

Best for: Smaller businesses whose teams are remote and/or international, and need a high number of integrations.

Most helpful user review: “Having a single platform that handles all of our integrations is ideal, and it is clear that RingCentral Contact Centre is also evolving quickly, keeping up with the latest technological innovations (AI capabilities).” — G2

#5 CallHippo

CallHippo primarily focuses on improving user efficiency, with automated dialing, smart call forwarding, and smart connectivity tools to save time on checking poor connections. It has a straightforward set of features, and a short-but-sweet list of some of the most-common integrations.

Key features:

• Global connect tool to customize your approach for all calls, domestic or international
• Call transfer for simpler, time-saving help forwarding
• Call queuing software and call hold audio
• Call barging to enable cooperation between service agents
• Analytics and call recording

Pricing: 

From $18 per user per month for the Starter Office Phone System.

Best for: Companies looking for simplicity, straightforward features, and time-saving tools.

Most helpful user review: “It’s very easy to understand and the interface is very user-friendly too.” — G2

#6 Phone.com

If you’re a smaller business or a solo entrepreneur, Phone.com could be the right choice for you, as it’s specially designed for remote working and helping to keep your business line separate from your personal calls. It aims to offer many of the top features of enterprise platforms at a lower cost.

Key features:

• Business phone numbers even if you’re using your personal phone
• Automated greetings, attendants, queues, and hold music
• Local rates for calls to select international countries
• Free local number and choice of thousands more
• Call analytics
• 24/7 customer support for all tiers

Pricing:

From $14.99 per user per month for basic users.

Best for: Smaller businesses and entrepreneurs looking for an affordable solution and 24/7 support if needed.

Most helpful user review: “I most like the ability to use the phone system on any device and that it is easy for non-technical users to use.” — G2

#7 GoTo Connect

A cloud-based phone system that aims to be easy to use and scale, and prioritizes better customer experiences. With a visual drag-and-drop editor for call flows and planning, and a wide range of automated features for simple and secure call management.

Key features:

• Desktop app and mobile device functionality for desk-based workers and remote staff
• Call management tools such as ‘call parking’
• Webchat and SMS capability 
• International calling
• Reporting and analytics
• Single company caller ID no matter which phone you’re calling from
• Extra security features for sensitive industries such as education, healthcare, and law

Pricing: 

No pricing details are available online; contact GoTo Connect for details.

Best for: Growing businesses who need scalability, especially easy-to-use systems and extra security features, and who work on desktop as well as mobile.

Most helpful user review: “We love the easy to use interface, especially when initially setting up.” — G2

#8 Ooma

Ooma’s features focus on high-quality audio, low-cost local and international calls, and a wide range of call management tools. Ooma Office is for smaller businesses, while Ooma Enterprise is a separate platform designed for larger companies.

Key features:

• Virtual receptionist 
• Call forwarding, transfer, and call park
• Hold and transfer music
• Flexible numbers
• Ring groups and simultaneous ring
• Unlimited Calling in U.S., Canada, Mexico, and Puerto Rico
• Low international rates

Pricing: 

From $19.95 per user per month for the Essentials business phone plan.

Best for: Businesses that want to focus on call management.
Most helpful user review: “Ooma helps streamline our voice services with an easy to use unified communications approach.” — G2

8 Leading Internet-Based Phone Systems: Compared at a Glance

The Best Internet-Based Phone Systems of 2024: Consider your VoIP needs and focus

It’s official: internet-based phone systems are the future, and are quickly making traditional phone systems and landlines look obsolete. 

Yet, choosing the best system can be challenging due to the many options available, and depending on your business’s size, needs, and focus. 

While some, like Dialpad, are maximizing the power of AI-enabled features; others like CallHippo or Ooma, are best for companies that want simplicity and efficiency; and still others are best for solo or small entrepreneurs (Phone.com), or companies that are scaling and need top security (GoTo Connect). 

But if you want a customer service specialist known for its excellent quality, easy setup, wide selection of integrations, international connections, and AI that enhances rather than complicates, CloudTalk is the best option for you. 

Are you ready to stop getting left behind, and join the US businesses who are jumping on the power of VoIP? If you’re looking for an all-in-one internet-based phone system and VoIP platform for your customer service business, get the full range of sales and call center suite tools by CloudTalk.