What is Call Forwarding? Its Importance, and How Does It Work?

2025-08-17
VoIP
What is Call Forwarding? Its Importance, and How Does It Work?

Call forwarding is an effective tool to improve the flow of incoming calls and reduce the number of missed calls. However, many businesses may not be aware of this feature or how to take full advantage of it.

In this article, we will cover the following points:

  • What is the service?

  • How does it work?

  • Its advantages and disadvantages.

  • Types of call forwarding.

  • Steps to activate the feature.

Keep reading to discover how to use this feature to boost your company’s efficiency and enhance customer experience.


What is Call Forwarding?

Call forwarding is a feature in phone systems, whether traditional or VoIP, that redirects incoming calls to another phone number or a specific service. It is commonly referred to as "call transfer."

This technology has become a standard feature in various phone systems, and today, it is more versatile and beneficial compared to the past, when it depended solely on local telephone companies.

It also helps improve the way you manage your calls, whether your business handles all calls through a single phone line or through a dedicated call center.

Call Forwarding

How Does Call Forwarding Work?

In its early stages, call forwarding was a simple process: redirecting a call to another phone number by automatically dialing a new number. Today, the technology has evolved significantly, offering advanced settings and rules that allow a fully customized experience—from a greeting message to the final forwarded number.

Activation varies depending on the phone system you choose for your business. However, most internet-based service providers offer a straightforward way to enable it.

When someone calls your company’s number, the process is called an “incoming call.” If call forwarding is enabled, your phone system initiates an outgoing call to the number you’ve pre-set. Then, the system bridges both calls, allowing the caller to connect with the forwarded number you selected.


Benefits of Call Forwarding

1. Never miss important calls

All calls can be forwarded to mobile phones or even home phones, enabling employees to leave the office without worrying about missing critical calls.

2. Stay connected while working from home

Employees can work remotely or from anywhere with an internet connection. They can answer calls directly through the company’s phone app, even when working abroad. Additionally, forwarding calls to mobile numbers helps save on data usage during travel, which is cheaper than roaming—an added advantage for businesses.

3. Improved customer service

Call forwarding plays a major role in enhancing customer experience. It’s crucial to ensure that the employee receiving the forwarded call has all the information needed to assist the customer promptly and effectively. High call quality is also essential, as poor or choppy connections can frustrate customers.

4. Calls outside working hours

You won’t have to worry about unanswered calls after business hours. VoIP systems can be set to route calls to voicemail when the office is closed, or to disable forwarding to your personal number at certain times—avoiding late-night interruptions.

5. Professional company image

Some may think call forwarding looks unprofessional, but customers appreciate this feature since it guarantees they can always reach you, regardless of your location. Plus, it avoids the need to give out personal numbers, protecting privacy while maintaining a professional image.

6. Cost savings

Businesses can cut significant costs by using this service. For instance, there’s no need for expensive hardware installation and maintenance, nor the ongoing costs of multiple phone lines. With VoIP, all of this can be done virtually and cost-effectively.


Pros and Cons of Call Forwarding

Pros:

  • Constant connectivity: Always stay in touch, no matter where you are.

  • Increased productivity: Handle important business calls even outside the office.

  • Customer satisfaction: Quick responses and constant availability.

  • Work-life balance: Leave the office without worrying about missing crucial calls.

  • Cost-effective: Often free or low-cost, reducing expenses on extra lines or services.

Cons (but manageable):

  • Privacy concerns: Extra caution is needed when forwarding to shared or public phones to protect sensitive information.

  • Technical issues: Occasional problems may arise due to network failures or incorrect configurations.


Types of Call Forwarding

This feature allows you to redirect incoming calls to another chosen number, like your mobile or a colleague’s line. There are different types, each serving a specific purpose:

  1. Always Forward: Redirects all incoming calls continuously, no matter where you are.

  2. When Busy: Forwards calls when you’re already on another call.

  3. No Answer: Forwards calls that are not picked up within a set time frame.

  4. Unavailable: Forwards calls when your phone is unreachable (e.g., power outage, weak signal).

  5. Selective Forwarding: Redirects calls only from specific numbers you predefine, giving you more control.

Choose the most suitable option to ensure no important call is ever missed.


Steps to Activate Call Forwarding

Call forwarding is the process of setting up a phone number so incoming calls are automatically redirected to another number. The method varies depending on the system or provider, but generally follows these steps (for landlines, mobiles, and VoIP):

  1. Open phone settings – Go to your phone’s settings menu.

  2. Find Call Forwarding option – Look for “Call Forwarding” or “Forwarding Settings.”

  3. Select type of forwarding – Choose the option you want: “Always Forward,” “Forward When Busy,” “Forward When Unanswered,” etc.

  4. Enter destination number – Input the phone number you want calls forwarded to (include country/area codes if necessary).

  5. Activate/Save settings – Enable and save the configuration.

  6. Test the setup – Make a test call to verify proper forwarding.

VoIP Solutions

Frequently Asked Questions (FAQ)

Q1: What is the difference between Call Forwarding and Call Transfer?

  • Forwarding: Redirects an incoming call to another number before it’s answered.

  • Transfer: Happens during an active call, where the employee redirects the ongoing conversation to another agent or user.

Q2: What is the difference between Call Forwarding and Call Routing?

  • Both are VoIP features. Routing directs calls to departments or individuals based on pre-set rules. Forwarding, on the other hand, simply redirects calls to another phone number.

Q3: What is the difference between Call Forwarding and Number Porting?

  • Number Porting permanently moves your phone number to a new service provider.

  • Forwarding temporarily redirects calls to an alternate number, like your mobile.

 

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