Ooma vs RingCentral: Which Is Better for Small Businesses?

Cody Cromwell
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Ooma vs RingCentral at a Glance

It can be difficult to determine which is better for your growing business. You’ve got your fingers crossed trying to guess which service is going to offer the best solution for your needs.

Although they are both cloud-based VoIP solutions, they function differently. They also have different target markets, and you’ll find that their plans are geared toward specific customer needs. So which is right for your business?

Both Ooma and RingCentral are designed with small businesses in mind and are both cloud-based VoIP solutions. Since they both function differently, you will find that they are geared toward specific customer’s needs as well. Read on to find out more about their features, plans, and prices.

How We Evaluated Ooma vs RingCentral

Both Ooma and RingCentral are cloud-based telephony systems that offer simple, easy-to-use web-based administrative interfaces and access to your business calls. The primary difference between the two is that RingCentral is subscription based, while Ooma comes with a 1-year delay.

RingCentral works with call centers around the world, while Ooma is known for its U.S. base.

Ooma's plusses are that it's web-based, has a 30-second dial tone and is easy to integrate with other applications.

The downside of Ooma may be when it comes to ringing-in, during which your phone rings to its local land line even if your extension is not working. RingCentral works with many toll-free 800 numbers, which lower your business phone bills.

Both products are cloud-based and come with phone systems, conference lines, voicemail and call recording. In traditional phone systems, the equipment is usually your company's. However, with both RingCentral and Ooma, this is handled all on the cloud.

Our criteria for comparing RingCentral and Ooma was primarily based on price, features and ease of use. To help us determine Ooma’s value, we used a simple formula that involved calculating a time cost for the features each product provides, as well as the services provided by each company.

When to Use Ooma

By now it might be safe to say that the majority of businesses in the US have switched or will switch to VoIP phones. But not everyone can afford to shell out a few hundred dollars on a system. Or, they simply don’t want to plunk down the money for a system to voice into the cloud. It doesn’t take long for small businesses to find that it’s just not cost effective.

That’s where Ooma and RingCentral come into play. The two companies have been dropping the prices of their products constantly, but it’s not clear which one offers the better deal just yet. Keep reading to find out which is the right choice for your business.

RingCentral: One of the best qualities of RingCentral over Ooma is the user interface. When you use the RingCentral dialer, you have native applications for desktop computers, as well as smartphones and tablets. It’s much more polished than the Ooma website, so if you’re trying to make sales calls, RingCentral is going to be the easier sell. But if you want to do just about anything, RingCentral is pretty easy to use.

Ooma Pros & Cons

Like other business tools that have become popular in recent years, Ooma toll-free service has also attracted a legion of loyal followers. In addition to the Ooma phone service which provides free phone calls, voicemail, and call waiting, Ooma also offers a variety of business tools designed to help organizations take advantage of the Internet-driven marketplace.

When comparing Ooma’s service to that of its competitors, several factors come to the fore, such as technical performances and price-to-performance ratios. However, it’s the human factor that ends up playing a greater role in how you will decide to go about choosing a toll-free service for business. While its price is slightly higher than the industry average, the company’s customer service and technology are likely to give you more bang for your buck.

Ooma Pricing

Customer Service

Ooma can be configured in a number of ways, and most people who use it will simply use it on its basic setup. This configuration includes a small business U Verse Business phone system and a wireless router. Ooma was designed to eliminate business phone systems and enable anyone with an internet connection to make and receive calls over their home's wireless network.

So what exactly is the difference between Ooma and RingCentral? RingCentral doesn't have any additional hardware or specialized equipment necessary to make calls. All you need is a computer (Mac and Windows) and an internet connection to unlock the best of RingCentral's features.

Another significant advantage of using RingCentral is the various levels of support that they provide compared to Ooma. In the event that you encounter any technical or billing issues, RingCentral has extremely knowledgeable support staff.

Why Ooma Is the Better Choice for Small Teams & Solopreneurs

Ooma is specifically created to work for Small Teams and Solopreneurs with low budget. Ooma is well suited for businesses with less than 5 members who don’t use professional level of communications.

To activate the system, each member of your team or team of solopreneurs needs to sign up for a Ooma phone service (and use a compatible mobile phone) separate from the main Ooma account. This is a viable option if you prefer to keep your personal affairs separate from your business.

Ooma hardware is also a great choice if you want a phone system that you can afford with your budget as Ooma comes in 3 different sizes. Smaller the system, the cheaper it is. Ooma systems are also repair and service-able by Ooma and their service covers everything from web-based management and toll-free customer service coverage to Ooma’s award-winning in-home and in-office repair service. Now that there are thousands of Ooma users, you’ll find many experienced Ooma users willing to provide help and assistance.

RingCentral, on the other hand, is best for Professional Level of Communication for business owners who have a team of 25 or more members. But RingCentral cannot accommodate business owners with a small team, so it is not a good choice for small businesses.

When to Use RingCentral

RingCentral offers the lowest monthly cost for small businesses, whether it is for two or more employees or just a one-man show. Ooma offers the lowest price point, but is more suited for those who don’t mind sharing the costs with their neighbors. You’ll need a group of fellow business owners to pool their business expenses in order to enjoy the low price point.

RingCentral offers deployment in less than 30 minutes, whereas Ooma will take up to 48 hours. For the average business owner, that can mean the difference between being ready to go in time for a business meeting or business partner. However, you must be sure that you have the time to complete the deployment before the meeting or a major deadline. If not, you can always try to enlist the help of your fellow business owners.

RingCentral offers free hosting for a single device, while Ooma offers a free trial to kick off discussions about purchasing your business telephone system. However, RingCentral offers unlimited devices while Ooma offers the option to upgrade your system with additional verified devices.

RingCentral Pros & Cons

RingCentral Pricing

When it comes to choosing between RingCentral and Ooma, you’re faced with a decision of whether to go with a self-hosted system or a cloud-hosted system.

A self-hosted system will either require you to install and maintain your own server and configure the system using the RingCentral online control panel.

A cloud-hosted system will require you to pay a monthly fee to a hosting company, where the system is hosted and maintained.

RingCentral is one of the more affordable cloud-hosted conference calls and business phone systems available. If you’re considering the Ooma vs RingCentral battle, you should consider the comparing RingCentral pricing and Ooma pricing side by side.

Why RingCentral Is the Better Choice for Scaling Businesses

If you’re a small business owner and you’re looking to start a cloud-based communications platform that can meet the unique needs of your company, there are several things you need to take into consideration. You want a platform that is reliable, scalable, and easy to manage. RingCentral is a capable platform for these needs. It can also help you stay on top of your communications regardless of who’s using it. With RingCentral, you can get a secure and reliable web portal as well as an app. You can also integrate online communications with traditional phone systems.

RingCentral offers many valuable administrative features that eases you the burden of having to manage your communications. The platform performance data allows you to quickly and easily know what’s working and what’s not. This feature helps you and your team make educated decisions to ensure that you’re using the best possible solutions.

RingCentral also provides you and your team with access to the Best Branded Voice and Unified Communications. By integrating your online communications, you are always in touch with your team and are able to resolve problems with greater speed and consistency. By using RingCentral, you automatically have all the benefits of a virtual office solution and a PBX.

Ooma vs RingCentral: Which Is Better for Small Businesses?

Business phone systems are an essential part of any business. They allow staff to make and receive calls, send and receive faxes, create voicemail, and generally run the company efficiently. Businesses use a variety of different business phone systems, including Unix, Linux, Android, and Windows-based systems. Many businesses use more than one system, with one system to handle calls within the company and another for out-of-office calls. This article gives you the information you need to decide whether it’s time to upgrade your phone system.

Ooma vs RingCentral: Which Is Better for Small Businesses?

RingCentral is one of the best-known phone systems available today; after all, it’s the phone system that Obi-Wan Kenobi used on the Death Star. RingCentral is a cloud-based phone system; this means it is hosted in the cloud, so you don’t need to worry about hardware, maintenance, or backups. It all happens via the internet, which makes it easy to manage from any device. Ring Central can, for example, be accessed from a smartphone.

Bottom Line

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  • RingCentral or Ooma?

Both of these offerings are fantastic for small businesses looking for affordable phone systems. They’re great for restaurants, coffee shops, and retail establishments that don’t need a ton of phones, but want to be able to survive an outage or network outage.

While RingCentral offers a slightly better phone interface and greater levels of customization, Ooma is a bit more affordable.

Ooma is no slouch, though. In fact, they have far more advanced features than RingCentral’s base offering.