How do I determine ROI on Video Conferencing?
October 29, 2008 @ 11:45 AM | By Brian Trampler & Sara O'Rourke
When your company is thinking about purchasing video conferencing equipment and services, you may have a hard time justifying the cost associated with this kind of investment. There are a few things you need to look at when determining your return on investment for this product. Cutting down on travel expenses, reducing your carbon footprint and enhancing the effectiveness of communication are some of the factors to think about.
We all know that the corporate world spends a lot of time and money on a daily, weekly and monthly basis traveling across the country and the world. What are your reasons for traveling? Most companies feel that the face-to-face communication is more important and effective to build relationships. With that said, conducting a video conference is an easy and cost effective way to have that meeting without spending the money on air, hotel, food etc. If you take a look at how much your company spends on a yearly basis in travel, you can get a better idea of the ROI in purchasing your own equipment. With video conferencing technology today, you can have that face to face meeting and share documents with other participants as if they were in the same room. You may not use video conferencing for every meeting, but there are a number of ways you can see a return on your video conferencing investment.
Let’s use InterCall as an example. InterCall just acquired Genesys, who is another conferencing company headquarted in France. In order to build the relationship and discuss the acquisition it’s important for our executives like Bob Wise, EVP of Marketing and Business Development, to have face to face meetings with Genesys. It can cost InterCall thousands of dollars in airfare, hotel, and car rentals for Bob to travel to France. Bob may only need to meet with Genesys for a couple hours a day, but he has to spend a week at a time traveling. Instead, Bob chooses to video conference with Genesys.
Some things to consider when calculating your travel expenses:
1. Number of attendees traveling via airplane
2. Number of nights in a hotel
3. Rental Car(s)
Conference Details:
1. How long would your meeting last?
2. How many participants?
To calculate your savings check out our travel calculator.
Video conferencing hardware can vary from $150 to $20,000 depending on the conference room requirements you have. If you setup 5 video locations at $50,000 total, you could gain your investment back in less than a year (depending on how much you spend in travel).
InterCall can help you figure out what type of equipment and services will best fit your needs and budget. For example, if you are new to video conferencing and not sure if you want to make the investment, InterCall has 10,000 public rooms available globally to rent out on a per hour basis. The rooms are all equipped with video equipment and will help you decide how effectively you can communicate with traveling no more than a few miles from your office or home.
If you decide to purchase your own hardware, InterCall will make sure that your employees are using the equipment to the fullest capacity. As we roll-out your company with video endpoints and services, we will make sure the experience is easy and effective for every meeting. We have everything from training classes, web scheduling and branded reservation material to help facilitate the proper use of video conferencing. Internally you can set a policy that states employees must check their video conference room availability before booking travel.
Think about it, would you rather spend 3 days traveling across the country for a 1 hour meeting or be home in time for dinner with your kids? If you have questions or comments about your video conferencing ROI, please comment below!
Sara O'Rourke is the Associate Product Manager for Strategic Video Solutions and will be a contributor to "Video News". She has been with Intercall for over 4 years and has specialized in the video product for the majority of those years, starting in sales. She is not only an accomplished professional of the video industry, but a fine singer as well.




There are those who work strictly from a home office and those who have space in their company’s building but choose to work remotely part of the week. Either way, more and more people are giving up their commutes and using technology to be productive. 
Our sales team brought me along to talk with a customer to assist their Unified Communications (UC) strategy and budget for next year. As customary for meetings about UC, the meeting assembled several cross-functional department heads– the desktop application management team, telecom and data networking group, the person that manages the messaging systems, the individual responsible for conferencing and collaboration, senior management, and representatives from the finance team. You get the idea. It was a typical IS-meets-business- strategy planning session.
Ken Kurz
Last week, I had the opportunity to attend the CLO Magazine Symposium. It was an amazing experience…I was surrounded by some of Training’s best and brightest!. There were fabulous keynote speakers, round table discussions and workshops. I wouldn’t do those sessions justice by trying to summarize them; however I do encourage you to visit the