Scroll Top

7 Effective Cost Reduction Methods for your Business

When it comes to cost reduction in your small business, there are a number of avenues to focus on ranging from infrastructure costs, electricity and stationery bills, freight costs, transportation and accommodation expenses and more. The other effective way to reduce your overall business expenses is to cut your communication costs. Here we discuss 7 ways to reduce telecommunications costs in your business:

#1 Engage the services of an IT service and telecommunications provider

Many small businesses can’t afford to have internal IT professionals on their team. But this doesn’t mean you need to go without them. You can identify an IT service provider that is cost-effective and provides prompt, high-quality reliable support; this will help you avoid the overheads. A good telecom IT service provider will provide support for a variety of carrier products including internet services, phone, data, and integrated voice data and will work closely with you to help you acquire the services that work best for your business and budget.

#2 Get a suitable broadband and ISP for your location

Being locked into a contract with an ISP provider for the wrong service can prove to be a very expensive mistake. But it often proves to be even more expense in terms of lost customers for your company. Ensure your business is service qualified for the right broadband and ISP service in your area. Look for a broadband exchange provider that will provide optimum service at cost-effective pricing.

#3 Consolidate your billing

When you consolidate all your bills into a single one it reduces the total number of bills your business needs to process each month; this is especially relevant if you have more than one location. This helps reduce administration costs; it also gives you better visibility of the telecommunications inventory you are currently using and what your monthly expenditure is.

#4 Discontinue long-distance calling plans and bundles

Today, there are significant advances in Voice over IP (VOIP) services and you should take advantage of this platform. In addition to lower calling rates, you will also be able to eliminate the costs related to long-distance bundles and opt for a “pay-as-you-go” plan structure instead.

#5 Eliminate all the unrequired services

It’s not uncommon for us to be offered services that are handy but not always required to operate a business. You should scrutinise your services and remove ones that you rarely use. Certain value added services such as last call return and call waiting are better-suited for residential users and these are just a couple of the services you can manage without. In doing so, you automatically eliminate a number of unnecessary telecom costs to your company.

#6 Bundle services

If you are paying individual rates for the phone features you are using, check with your service provider on which feature plans they can offer you. For instance, if you are using a phone service from one provider and your toll-free and long-distance services from another, check with both these companies whether they are able to provide you a bundle for all these service; this can prove to be more cost-effective over the long term.

#7 Keep an eye open for suitable end of year promotions

Most telecom service providers launch offers and bargains towards the end of the year. Check whether your provider is offering any such bargains during the festive season and do some comparison shopping. Sometimes switching providers can save you a significant amount of money over the years.

For effective and sustainable cost reduction strategies & efficiencies that will increase your bottom line, contact the experts at Benchmark Cost Solutions at this number – 02 9525 0777. If you prefer, write to us at this email address, and we will revert quickly.

Thanks for reading,
Benchmark Cost Solutions Team
02 9525 0777

Leave a comment