Who are Vonage Competitors in 2016?

Vonage is the largest, and most well known stand-alone VoIP service provider in North America. Many people have seen their commercials on television. But who are their main competitors? In this article we dive into why Vonage is so popular and how some alternative providers compare.

Vonage Competitors

Why is Vonage Service so Popular?

According to the most recent Vonage financial results that were recently released, Vonage has in the region of 2.4 million subscribers and offers VoIP service in North America (USA & Canada) and the United Kingdom. This is a significant user base considering the high number of competitors that Vonage has in the VoIP industry. Vonage is a very well known VoIP service brand and has heavily marketed its name and services across various media channels to target its potential customer base.

Here are a few key benefits of Vonage that may explain its popularity:

  • Only $9.99/month for the first 6 months on World plan (1 year contract required - rate increases to $27.99 per month plus taxes + fees after first 3 months)
  • Unlimited calling to over 60 countries
  • Free Vonage mobile app that allows both free calling and texting worldwide

Here are a few items to consider carefully before signing up:

  1. Monthly rate goes to $27.99 plus taxes + fees after the first 6 months. This is very high for residential based VoIP when compared to some of the Vonage competitors.
  2. 1 Year contract is required with Vonage - this is not typical.
  3. Unlimited international calling is not a typical feature offered by VoIP companies. You will need to make a lot of international calls to make this high monthly fee worthwhile.
  4. There are over 300 Vonage reviews on WhichVoIP with approximately 65% of Vonage users not recommending the service for various reasons.

How some Competitors compare to Vonage

Vonage is a popular choice for home phone service but it is critical to evaluate Vonage alternatives as it could save you a lot of money and a lot of hassle. Most providers include some free international calling minutes at a much cheaper rate than Vonage with low per minute fees after the included minutes are used up. View alternatives to Vonage using our comparison table on the right hand side of this page.

To evaluate Vonage competitors, WhichVoIP looked at 2 basic items:

  1. Estimated total cost for first year of service (at time of writing)
  2. International calling evaluation (let's pick India as the destination country being called for evaluation purposes).

Vonage

First year cost - Current deal is $9.99 (6 months) + $27.99 (6 months), so 1 year cost is $227.88 before any taxes and fees (average rate of $18.99/month).

International Calling - Unlimited free calling included (within reasonable use policy limits of 3,000 minutes per month)

Vonage Competitor Number 1: PhonePower

First year cost - Current deal is $143 for 2 years so 1 year cost is $71.50 before any taxes and fees (approximately $5.99/month).

International Calling - 60 minutes free per month then $0.02 per minute to call India. Comparing to Vonage at $18.99 for unlimited calls, the $18.99 spent with PhonePower would provide an estimated $13.00 ($18.99 - $5.99) available budget for international calling. This is the equivalent of approximately 650 minutes (almost 11 hours) of calls to India at $0.02/minute. So in total if you are a PhonePower user, you will get up to around 12 hours of calling to India every month before you pay the same rate as Vonage.

One additional example is with calls to China. The rate is $0.01/min resulting in almost 22 hours of calling to China every month, before reaching the Vonage monthly cost.

Vonage Competitor Number 2: VoIPo

First year cost - Current deal is $149 for 2 years so 1 year cost is $74.50 before any taxes and fees ($6.21/month).

International Calling - 60 minutes free per month then $0.02 per minute to call India. Comparing to Vonage at $18.99 for unlimited calls, the $18.99 spent with VoIPo would provide an estimated $12.78 ($18.99 - $6.21) available budget for international calling. This is the equivalent of approximately 639 minutes (almost 11 hours) of calls to India at $0.02/minute. So in total if you are a VoIPo user, you will get up to around 12 hours of calling to India every month before you pay the same rate as Vonage.

These are two examples of residential based competitors to Vonage. When it comes to business competitors to Vonage business plans, the comparison is more clear cut and typically comes down to price per seat.

Other Alternatives to Vonage

Vonage is a popular choice for home phone service but it is critical to evaluate other alternatives as it could save you a lot of money and a lot of hassle. Most providers include some free international calling minutes at a much cheaper rate than Vonage with low per minute fees after the included minutes are used up. Visit the popular providers listed in the table to the right to evaluate alternatives to Vonage.

Conclusion

In conclusion, Vonage is a well known brand with a comparatively high cost service that includes unlimited international calling as a key differentiating feature. If you are considering Vonage as an option for your phone service in 2016, it is critical to evaluate your international calling needs to get value for money. Above all, be sure to read through the WhichVoIP Vonage review section, as even if the marketing promises a certain level service and features, the reality may be very different as there have been quite a few Vonage complaints.

Vonage Recent Submitted User Feedback

The following provides a summary of recently submitted ratings by Vonage users:

DateReviewerRatingRecommend

MAR 22nd, 2016Andrew (2.7)No

MAR 12th, 2016Dale (2)No

FEB 8th, 2016Alisa (1.6)No

FEB 7th, 2016Tbc (2.6)No

FEB 6th, 2016Dennis (5)Yes

View all VONAGE USER REVIEWS.

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Author: Anthony

Published: by WhichVoIP


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WhichVoIP Visitor Comments

#10 : Posted by Ab on December 22nd, 2015:

Vonage is NOT unlimited. You will start getting harassing emails and voicemails asking you to either reduce your call minutes or go on a rate plan, or cancel the service. This occurs when you approach 3,000 minutes usage in a billing month.

 

#9 : Posted by Gsn on September 3rd, 2015:

Vonage is not an inexpensive or economical alternative at all. They indicate $27.99 and after all the fees its more like $46.99 / month which is double the amount indicated. I would try Google Voice or one of the alternatives. Also not recommended if you live in an area with power outages as this is VoIP and it is dependent on power and a steady internet connection.

 

#8 : Posted by Sunil on May 20th, 2015:

I do not recommend vonage, I have been using this for the past 4 years and have trouble hearing and calling on vonage provided phones. Poor customer service and very poor usage of words like "unlimited" when it is not really unlimited but is 3000 minutes. If you cross over 3000 minutes they charge $49.99 + tax with limited minutes and they call it "upgrade" when it is actually a downgrade from my existing plan and at a higher price. Very poor customer service.

 

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Vonage Competitors

Provider* $/mo Details
from
$8.32
Unlimited
(4.4)
from
$6.21
Unlimited
(4)
from
$8.97
Unlimited
(4.6)
from
$6.25
Unlimited
(4.4)
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