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56 Key Business Phone Systems Statistics: 2019 Market Share Analysis & Data

Category: B2B News

Business phone systems have come a long way from relying on manual switchboards to utilizing the internet for calls. We’ve also seen phone systems such as cloud PBX and VoIP become faster and more intelligent. This enabled companies to further optimize and streamline their communication efforts.

However, as we move further into the age of social media and instant messaging, will business phone systems still remain relevant for operations? How will VoIP systems and UC platforms evolve in order to stay competitive? Moreover, what are the challenges in business phone system implementation in the coming decades?

To help you answer these questions, we compiled the most important business phone systems statistics of 2019. We’ve sifted through several VoIP phone service consumer reports and communication data analysis. Likewise, we dug deep into news articles detailing the shifts in the business phone system industry. This way, you get a more accurate view of what to expect and what you can do to adapt.

business phone systems

General Business Phone System Statistics

Communication is the key to achieving stronger customer relations and improved efficiency in the workplace. In this light, the business phone system market share is expected to grow further in the coming years. Companies are investing more in their communication systems as well as putting more effort into training live agents. Thus, more vendors will further develop their business phone systems to cater to the changing requirements in the industry.

  • The number of corporate VoIP subscribers worldwide is projected to reach 204.8 billion in 2020. (Future Market Insights)
  • The global VoIP phone system market share will grow from $83 billion in 2015 to $140 billion in 2021. (Zion Research)
  • 64% of businesses believe customers should always have the option to talk to an agent. (The Future of the Contact Center)
  • 60% of companies mentioned that phone systems and live agents are their most urgent investment priorities (The Future of the Contact Center)

corporate voip subscribers

Despite the popularity of social media, email, self-service help centers, phone calls still remain an integral part of customer service. After all, in most cases, customers expect a hands-on experience from the companies they do business with. They don’t want to talk to bots for their inquiries but prefer interacting with humans.

  • 65% of people prefer to contact a business by phone call versus only 24% who prefer a web form. (Invoca Call Intelligence Index)
  • 75% of consumers believe that phone calls will help them get a quicker response from businesses. (NewVoiceMedia A Nation of Serial Switchers Survey)
  • Consumers prefer face-to-face interaction (23%) or talking to a real person on the phone (40%) for their issues. (American Express Customer Service Barometer)
  • 37% of people use their smartphones primarily for making phone calls. (Report Linker)
  • The total revenue of the VoIP industry is at $14 billion in 2019 with 1,519 of businesses making up the industry (IBISWorld)
  • Annual Growth of the VoIP industry is at a low of -3.6% from 2014 to 2019 (IBISWorld)
  • 90% of US households had operational landline phones in 2004, today the number has decreased to less than half with 54.9% have wireless telephones (mobile phones), June 2018 (NCHS)
  • The fixed VoIP market held a share of over 62% in 2018 and is predicted to dominate the market in 2025 with a share of 55% in 2025 (VoIP Review)
  • Hosted PBX is 18.1% of the total PBX market in 2019. This is up from 3.6% in 2010 (Yeastar)
  • The general costs for IP PBX an organization with 1-20 employees is $16,867. This increases up to over $1 million for organizations with more than 2,500 employees (Spectrum VoIP)

Statistics on Business Phone System Benefits

There are many cloud communication benefits for small businesses and even large companies. For starters, modern business phone systems can mobilize your teams and accelerate your response times. This accelerates your processes and allows you to keep up with the demands of customers.

  • VoIP statistics show that 29% of companies switch to VoIP to simplify call forwarding to their mobile phones. (Business2Community)
  • VoIP and UC systems allow agents to take calls anywhere across the globe, increasing productivity by up to 20%. (Harbor Networks)

Another perk to investing in modern business phone systems is how is savings on operational costs. In addition, time spent on phone calls is reduced. Businesses are able to accommodate more customers without compromising service quality or going beyond the budget.

  • VoIP market research shows companies can save 50% to 75% on communication costs using VoIP instead of landline services. (BullsEye Telecom)
  • Small businesses using VoIP can decrease the cost of local calls up to 40% and international costs by 90%. (
  • VoIP can trim down initial costs for startup businesses by roughly 90%. (
  • Businesses that utilize unified communications solutions save an average of 191 hours daily and 49,660 hours yearly. (Visually)
  • Having a Unified Communications or VoIP system help employees save an average of 32 call minutes per day. (Infranet Group)
  • The subscription-based pricing model allows for an easy user and shopping experience. This leads to more customers to stick and less to churn. The monthly churn of hosted PBX services for SMBs is only 1.3%, 2019 (Eastern Management Group)
  • 84% of IT managers report that mobility is very important. Thus, mobility is one of the factors for hosted PBX growth (Eastern Management Group)
  • Solo workers and large teams of 7-11 employees get the biggest benefit from Unified Communications systems with 50% of businesses witnessing great benefits for teams of these sizes (Spectrum VoIP)
  • VoIP has helped 67% of employees believe that VoIP improves call handling, 63% of employees help management messages and 57% state that it helps them with remote work (Spectrum VoIP)
  • The setup cost for on-premise phone systems can start at $20,000. On the other hand, setup costs for a cloud phone system can be as low as $0 (telzio)
  • Save up to 60% of your phone and fax costs (RingCentral)
  • Manage your system via a computer with an internet connection or a smartphone (RingCentral)
  • Features such as Video Conferencing, Day/Night Mode, and User Web Portals make newer hosted business phone systems a Unified Communications systems with advanced functions (Voip-info)
  • Adapting good business phone systems that have unified communications capabilities will allow you to integrate your new system with other platforms such as Skype, landline phones, and mobile phones among other (Voip-info)

Cost Reduction Rate for Businesses Using VoIP System


Local calls


International calls


Initial costs


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Technology and Business Phone Systems Statistics

According to the Economist Intelligence Unit Report in 2017, 75% out of 200 business executives are implementing Artificial Intelligence within the next year for the various aspects of their operations. Business phone systems are no exception.

For the foreseeable future, VoIP, cloud PBX, and IVR will continue evolving and integrating technological advancements. Of course, as these systems evolve, so will operational workflows and protocols.

  • AI with chatbots will drive 95% of customer interactions by 2025. (Servion)
  • Deloitte Global predicts that the 5G network will open up new revenue opportunities for telecom companies as it rolls out this year. (Deloitte Global)
  • The prevalence of 5G is growing with 72 operators testing the network in 2018 and 25 operations launching the service this 2019. Experts predict that this figure will double by the year 2020. (Deloitte Global)
  • VoIP promotes mobility for operations as well as makes Bring Your Own Device (BYOD) possible, a strategy that 53% of workers believe is key to improving productivity. (Cisco)
  • Asia Pacific is predicted to be the most dominant global VoiP services market and will reach $100 billion in revenue by the end of 2024 (VoIP Review)
  • By the end of 2019, we will witness more rollouts of MNP or Mobile Number Portability where more service providers will allow users to migrate their previous numbers from other ISPs to them (VoIP Review)
  • There will be a growing demand for security in the coming future. Surely, encryption will be the solution to this growing demand (VoIP Review)
  • The education VoIP market is expected to increase with a growth rate of 18% up to 2025. This is thanks to the use of softphone applications and IP phones for seminars and class collaborations (VoIP Review)
  • The SMB market will likely stay as the largest hosted PBX market in the near future (Eastern Management Group)


AI with chatbots

Business Phone System Optimization Statistics

Business phone systems can only go so far. If you want to make the most out of your investment, it is best that you apply VoIP best practices as well as remain up-to-date on the business phone system optimization best practices.

Here, we can see that there are many ways for you to boost your usage of VoIP and UC systems. In addition to leveraging AI and a 5G network, as mentioned previously, many businesses also utilize time-tested strategies like adding click-to-call buttons to websites, monitoring the efficiency of calls as well as performing follow-up calls for sales.

  • 70% of shoppers have utilized click-to-call buttons from search ads. (Invoca Call Intelligence Index)
  • Click-to-Call buttons are one of the most effective widgets you can place on your website as it can increase conversion rate by 200% when placed above the fold. (Quick Sprout)
  • Mobile search accounts for 48% of total call volume. It is closely followed by desktop search at 17%, desktop display at 11%, and content/review sites at 9%.(Invoca Call Intelligence Index)
  • 55% of people view call monitoring as the best way to gain customer feedback. (Deloitte Consumer Review)
  • 80% of sales transactions need at least 5 follow-up phone calls after an initial meeting to boost chances of conversion. (The Marketing Donut)

Top 10 Sources of Phone Calls for Businesses

Mobile Search


Desktop Search


Desktop Display


Content/Review Sites


Mobile Display












Source: Invoca Call Intelligence Index, 2015

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Business Phone System Challenges Statistics

More and more consumers are relying on their smartphones, rendering landline obsolete. While these mobile devices may just as easily be used to make phone calls, a good chunk of smartphone owners simply aren’t using them for that purpose. Instead, they opt to utilize these gadgets mainly for social media, emailing, or even browsing the net. This means, there will be fewer consumers who would contact your hotlines.

The only silver lining here is that most business phone systems are equipped to handle multiple communication channels so investing in one won’t be a waste. Moreover, as we’ve tackled earlier, there is still a large fraction of consumers who would prefer to talk to live agents for their complex product or service inquiries.

  • The use of landline phones has dropped significantly with only 53.9% of United States households depending solely on their cellphones for communications. (Market Insider)
  • Younger people tend to use their phones as mini-computers rather than for phone calls. (ABC Smartphone Survey)
  • 75% of adults in the United Kingdom have smartphones: 25% of which don’t use it for calls. (The Guardian)
  • Americans answer only 52% of calls to their mobile phones. ( Hiya State of the Phone Call Report)

business relationships

If you intend to utilize VoIP for internal communications, you might be in for a challenge. First off, CEOs are increasingly avoiding the use of phone conferencing in order to boost more personal interactions within teams. Secondly, millennials, the generation comprising a majority of the current workforce, have a level of aversion towards phone calls.

Lastly, in terms of making yourself reachable to clients, it might be important to note that there is an increasing number of consumers who are turning to self-service rather than any other form of the customer service channel. In fact, it seems that industries are relying more on AI and bots to handle inquiries or on FAQs and knowledge bases as these can lower operational costs.

  • 6 in 10 shoppers in the United States prefer using digital self-serve tools for inquiries. These include websites (24%), mobile apps (14%), voice response systems (13%) or online chat (12%). (American Express Customer Service Barometer)
  • Experts predict that 85% of business relationships can be handled without human interaction by 2020. (IBM)

What Does It Mean for Your Business?

Newer, less disruptive communication channels are becoming a staple and consumers are opting more for self-service support solutions. So, at first glance, the future of business phone systems seems bleak. However, the statistics we gathered say otherwise.

Business phone systems remain crucial software that you should add to your office setup checklist. These tools still prove highly effective in enhancing productivity in the office. Also, though customer care will use more AI, your clients will still prefer to connect with your brand through humans.

Of course, this isn’t to say that you shouldn’t leverage AI systems for your business phone systems. On the contrary, you should take advantage of newer technologies to keep up with the times. It is also crucial that you not only upgrade your communications software but also your workflow. In this regard, VoIP and UC can help streamline communications and operational processes.

If you don’t already have a business phone system or have yet to upgrade your existing system, don’t worry. There is plenty of VoIP software for small businesses and large enterprises that you can choose from. Hopefully, with this compilation of business phone systems statistics, you were able to get a good idea of what features you should look for in these software solutions as well as how you can enhance your usage of them in the future.

By Louie Andre

B2B & SaaS market analyst and senior writer for FinancesOnline. He is most interested in project management solutions, believing all businesses are a work in progress. No stranger to small business hiccups and drama, having been involved in a few internet startups. Prior to his for-profit ventures, he has had managed corporate communications for a Kansas City-based Children International unit.

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