VoIP Call Routing: Your 2024 Guide

The speed and efficiency of your business communications are central to its success. Voice over Internet Protocol (VoIP) represents a modern shift away from traditional telephony, enabling calls over the internet. VoIP phone systems bring the flexibility and scalability essential for today’s businesses, all while cutting costs significantly.

Reaping these advantages requires understanding VoIP routing—how VoIP calls are managed and routed. This article will show you how VoIP routing can dramatically enhance your operational efficiency and boost customer engagement.

What Is VoIP Routing?

Fundamentally, VoIP routing is about managing the path voice communications take over the internet. When you use a VoIP system, your voice is converted into digital packets. VoIP routing determines the most efficient route for these packets to travel across the internet to reach their destination.
This process ensures the best call clarity and reliability. It’s like the postal service for your voice, where the system figures out the quickest and least congested path to deliver your message.

VoIP Call Routing

While VoIP routing deals with the path of voice data over the internet, VoIP call routing focuses explicitly on directing individual calls based on specific, predefined rules. This is where the intelligence of VoIP shines, offering your business the ability to manage calls more efficiently and enhance customer satisfaction.

For instance, calls can be routed based on the time of day, mobile, landline or VoIP caller ID, or the nature of the inquiry. This level of control means your team can prioritise calls, swiftly direct customers to the appropriate department, or ensure calls are never missed by routing them to voicemail or a mobile phone when necessary.

How Does VoIP Call Routing Work?

VoIP call routing revolutionises business communications by leveraging the internet for efficient call management. Here’s how it works:

  1. The VoIP system assesses the incoming call based on a set of predefined criteria. This might be the time of the call, the number dialled, or the caller’s geographic location.
  2. Using a call routing strategy you’ve created, the system applies a specific set of instructions that guide its decision-making.
  3. The system identifies the priority of the call, which can depend on factors like caller ID or the time of the call.
  4. Based on the established priority, the system decides where to forward the call. This could be to a specific department, an individual agent, or an external number.
  5. The strategy includes instructions on handling calls received outside of regular business hours. This could involve routing calls to a voicemail system, an after-hours service team, or providing the caller with informative messages.
  6. Following these instructions, the VoIP system ensures that every call is routed to its intended destination without delay, maintaining efficiency and caller satisfaction.

Types of VoIP Call Routing

Let’s break down several key VoIP call routing methods and see how they could fit into your operations.

Direct Inward Dialling (DID)

DID makes it simpler for your customers to reach the right person in your team, without unnecessary redirects. By giving unique phone numbers to different departments or even individuals, DID lets your callers bypass the receptionist or automated menus, connecting directly with their intended recipient.

This method shines in areas where direct communication is vital, like your customer service or sales teams. It streamlines call handling and cuts down on waiting times.

Location-Based Routing

With location-based routing, you can ensure calls are directed to the most suitable location, depending on where your caller is based.

If your business spreads across different regions or offers localised services, this approach can help by seamlessly connecting callers with the nearest branch or service centre. It provides a personalised touch and enables effective call load management across your various locations.

Time-Based Routing

If you’re managing operations across different time zones or with unique working hours, time-based routing can really help. It directs calls to alternative destinations when your main office is closed or your team is out. This could mean routing calls to a voicemail system overnight or to a global call centre on the other side of the world.

The result? Your business remains accessible around the clock, boosting customer satisfaction.

Skill-Based Routing

Getting your callers to the right person from the get-go is crucial, especially in customer service scenarios. Skill-based routing does precisely that—it matches incoming calls with the agent best suited to address the caller’s specific needs. This precision in call routing leads to quicker problem resolution and a better overall customer experience.

Least Cost Routing (LCR)

If keeping costs in check is a priority, especially with a high volume of international calls, least-cost routing is your ally. LCR works by choosing the most cost-effective route for each call, helping your business save on telecommunications expenses without compromising on quality.

Interactive Voice Response (IVR) Routing

Interactive voice response routing can streamline your call process right from the start. Using voice prompts or keypad inputs, IVR systems efficiently guide callers to the correct department or information source, easing the burden on your team and speeding up the caller journey.

Priority Routing

Lastly, priority routing lets you set the rules on which calls get top priority based on criteria like customer value or urgency. This ensures important calls are addressed promptly, improving service levels for your VIP clients or urgent inquiries.

Each of these routing options offers distinct advantages, from operational efficiency and cost savings to enhancing customer satisfaction and providing personalised service. By considering what your business specifically needs, you can choose the VoIP call routing strategies that align best with your objectives, guaranteeing a smoother, more efficient flow of communication.

The Benefits of VoIP Call Routing

Embracing VoIP call routing can transform how you communicate within your business and how your customers experience your service. Here’s a look at the key benefits VoIP call routing can offer both your business and its clients:

Enhanced Customer Experience

Intelligently routing calls reduces wait times, swiftly connecting customers to the right person or department. Furthermore, location and skill-based routing ensure callers are matched with the most relevant and capable team members, turning each interaction into a more personal and effective experience.

Improved Operational Efficiency

Automated routing decisions streamline call management, reducing the need for manual intervention and freeing up your team to concentrate on their primary tasks. Time-based routing enables your business to offer service around the clock, even outside traditional working hours, ensuring you never miss an important call.

Cost Savings

Least cost routing (LCR) plays a pivotal role in reducing call costs by selecting the most economical route for each call. Additionally, the shift towards internet-based calls and routing significantly diminishes the need for traditional, expensive telephony hardware, contributing to further savings.


VoIP call routing is easily adjustable to meet the evolving needs of a growing business. For instance, adding new lines or extensions can be done with a few clicks in the VoIP software interface, without the need for physical installations or disruptive wiring processes.

This flexibility extends to geographic expansion as well. Establishing a presence in new regions or countries doesn’t require significant infrastructure investment. Instead, VoIP allows you to set up local numbers or adapt the system to new areas with minimal effort and cost.


The true strength of VoIP routing lies in its adaptability. You can customise your business’ VoIP routing strategies to align with operational requirements, customer service objectives, or marketing initiatives. This flexibility is excellent for managing unexpected call volumes, rerouting during system outages, or adapting to staff availability changes in real time.

Virtual Presence and Global Reach

VoIP call routing also introduces the concept of ‘virtual presence’. Your business can establish phone numbers in various geographic locations without needing physical offices, directing calls to a central hub, remote employees, or any point in between. This capability enables a global reach at a fraction of traditional costs, enhancing your customer service and business expansion opportunities.

VoIP Call Routing: Things To Consider

When integrating VoIP call routing into your business, keep these key considerations in mind to ensure a smooth transition and effective communication strategy:

Network Stability and Quality

Ensure your network can handle the increased data traffic to maintain call quality. Begin by evaluating and possibly upgrading your broadband service to support high-quality, uninterrupted VoIP calls. This might mean switching to a fibre optic connection or ensuring your current package supports sufficient bandwidth.

System Compatibility

Before implementation, review your existing infrastructure to identify any potential compatibility issues with VoIP technology. You can also explore solutions such as updating software, replacing outdated hardware, or using VoIP adapters.


VoIP routing is now a pillar of modern communication strategies, particularly as the UK is preparing to sunset the traditional telephone system in favour of VoIP.

VoIP routing offers a range of options to enhance operational efficiency and customer service. From direct inward dialling to skill-based routing and beyond, understanding the different types can help you tailor your approach to meet specific needs.

Moving forward, assess your current communication requirements, consult with reputable business VoIP providers in the UK, and consider a phased implementation to ensure a smooth transition. Remember, the right VoIP routing solution can transform how you connect with customers and streamline your internal processes.


What is VoIP in a router?
VoIP in a router refers to the functionality of prioritising voice traffic over the local network. This efficient data packet flow management helps to ensure higher quality and more reliable VoIP calls.
What protocol does VoIP use?
VoIP primarily uses the Session Initiation Protocol (SIP) to initiate, maintain, and terminate real-time sessions that include voice, video, and messaging applications. SIP is a signalling protocol widely adopted for VoIP communications.
How do VoIP phones connect to your router?
VoIP phones connect to your router directly via an Ethernet cable, or wirelessly if both the phone and router support Wi-Fi.
Written by:
Eamonn is an experienced B2B writer and content manager, having managed and grown several B2B business blogs in the fitness and hospitality space.