How to Budget for the Best Video Conferencing Setup

Whether you&#;re new to video conferencing or a seasoned pro, welcome to our comprehensive buyer&#;s guide to choosing and investing in the most suitable video equipment for your hybrid or remote teams.

Are you interested in learning more about Video Conferencing Equipment Prices? Contact us today to secure an expert consultation!

While video conferencing is accessible for free, a more professional setup costs between $1,000 to $4,000 for simple solutions and $3,000 to $10,000 for larger-scale setups. However, equipment quality and meeting room size can affect your setup&#;s cost. Essential equipment includes a camera, microphone, speaker and screen, while further upgrades are available to enhance your video meeting experience.

Here&#;s thecomplete lowdown,including budgeting for your requirements, hidden costs and additional fees to consider, essential video conferencing equipment, choosing the right system, pricing models and a quick summary of why you should view Neat&#;s pioneering portfolio of video meeting devices.

Several factors influence the cost of a video conferencing setup:

• Equipment quality: High-definition cameras, professional microphones, and good-quality displays enhance the overall experience but can also raise costs.
• Software features: Advanced features like screen sharing, recording and other integrations may affect the price.
• Number of participants: Systems capable of accommodating more participants simultaneously typically come at a higher cost.
• Room size: Larger rooms may require more audio and video coverage equipment, contributing to higher costs.
  • Huddle Space (<5 people): $1,000 &#; $4,000
  • Small Room (5-10 people): $2,000 &#; $7,000
  • Medium Room (10-20 people): $3,000 &#; $10,000
  • Large Room (20-30+ people): $10,000 &#; $25,000+
• Integration: Additional costs may arise if the video conferencing setup needs to integrate with existing hardware or software systems.
• Installation and setup: Professional installation services can add to the initial cost but ensure proper functioning.

Hidden costs and additional fees to consider:

• Mobility and remote access: If remote participants need to join from various devices, ensuring compatibility might lead to added expenses.
• Training: Providing training to users on how to effectively use the system can result in extra costs.
• Licensing: Some video conferencing software may involve licensing fees based on the number of users or features.
• Bandwidth and data usage: High-quality video conferencing requires sufficient internet bandwidth, which may lead to increased data charges.
• Maintenance contracts: Ongoing maintenance contracts for technical support and updates may come with recurring costs.
• Room modifications: If the room needs optimal acoustics and lighting modifications, you must factor them in.
• Upgrades: Equipment or software upgrades may be necessary as technology evolves.
• Security measures: Implementing security measures to protect video conferencing sessions could involve additional costs.
• Additional features: Some advanced features or integrations may require purchasing add-ons or plugins.

To ensure an accurate cost estimate, consulting with vendors or professionals specializing in video conferencing setups is essential. Discuss your precise needs and get a detailed breakdown of all potential costs, including hidden fees or ongoing expenses.

Neat&#;s pioneering video conferencing devices include Neat Board and Neat Board 50, combining cameras, mics, speakers and a screen in an all-in-one streamlined system.

Essential video conferencing equipment

Essential video conferencing equipment for an office includes a high-quality camera (aka a webcam) to capture clear visuals. At the same time, a reliable microphone ensures high-quality audio. A display, such as a monitor or screen, is essential for showcasing remote participants and shared content, complemented by high-quality speakers for clear audio transmission. A computer or device equipped with your Zoom or Microsoft Teams video conferencing software license is necessary for joining and managing meetings, supported by a stable internet connection for seamless communication. Headphones or earphones can also aid in improving audio clarity.

All-in-one video conferencing devices that combine cameras, mics, speakers and a screen in one streamlined device are also available. The best ones do this without compromising video meeting quality or the user experience. For example, devices like Neat Board or Neat Board 50 include all you need in a unified system.

Setting up the room with appropriate lighting to enhance video quality and furniture, along with the necessary cables and accessories, ensures participants are comfortably visible and audible. Finally, remote control can simplify adjustments during conferences. At the same time, optional additions like touchscreens, meeting schedulers and devices with whiteboard capabilities complete the essential setup tailored to the office&#;s communication needs and meeting requirements.

Did you know that Neat Pad, for example, is a simple yet elegant touchscreen device to control your meetings or display room availability outside the room?

Neat devices cater to spaces of all descriptions and bring your remote teammates into the room as if they were there, enabling you to enjoy a closer, more natural collaboration experience.

Choosing the right video conferencing system

Selecting the right video conferencing system involves a systematic approach. To help you make the right decision for your wants and needs, you must consider the following:

Define your wants and needs

Clearly outline your requirements, paying attention to participant numbers, meeting room size, frequency of meetings, and any features you want from your video system, such as whiteboarding, integrated file sharing or messaging. You should also have a system that offers reliable mobile access via apps or mobile browsers to accommodate remote work.

Consider scalability, too. Choose a system that can grow with your organization, accommodating more participants and evolving features.

Define your limitations

Also, get clear on any parameters impacting your decision, typically your integration needs. Check if the system aligns with your organization&#;s other tools, such as your Zoom or Microsoft Teams video meeting platform, your productivity or collaboration platform (e.g., Slack), and other favorite tools you use. Furthermore, ensure seamless integration with your existing hardware for a smooth experience, considering the laptops, desktop computers, mobile devices, and other devices you&#;ve already invested in.

Prioritize quality and user experience

To avoid glitches and delays that poorly impact productivity and user satisfaction, always prioritize systems offering high-quality audio and clear video to ensure effective communication. Choosing a user-friendly solution is also essential to avoid frustration and frequent calls to IT support. Opt for an intuitive interface that simplifies usage for hosts and participants alike. Neat devices are simple and intuitive, without any specialized training required!

Security and support

Companies today must protect confidential data at all costs. Look for security measures such as encryption and authentication to safeguard conversations and data. It&#;s also important to check that any system you choose has ongoing support from the manufacturer. Determine your customer support before purchase and whether the vendor includes it within or outside the upfront cost.

Trials and customer reviews

As with any purchase, it&#;s always wise to take advantage of product demos and trial offers to assess features, performance, and user satisfaction before committing. You&#;d also be wise to research independent reviews, like user reviews and awards.

Did you know there are Gartner peer insights on our award-winning Neat devices to help you make the most informed choice?

Avoid obsolescence

Finally, future-proof your investment by choosing a system that can evolve with technology trends to avoid obsolescence. By methodically assessing these factors, you&#;ll make an informed choice that supports efficient communication, collaboration, and user satisfaction.

With Neat, you can opt for a one-time payment or a monthly or yearly subscription to our devices and services, depending on what&#;s best for you and your budget.

Pricing models for video conferencing systems

When evaluating pricing models, consider your organization&#;s budget, the frequency of conferencing and long-term plans. Subscription-based pricing ensures ongoing access to the latest features but involves continuous costs. One-time payment pricing offers ownership, yet you should consider potential update fees. Pay-as-you-go pricing provides flexibility for dynamic usage but can result in higher costs over time if your use is consistently high. Make a choice based on your needs, financial considerations and preferences for ongoing support and updates.

Subscription-based pricing

This model involves recurring payments for continuous access to the video conferencing system&#;s features, regular updates and customer support. It offers the advantage of predictable costs and the flexibility to adapt plans according to changing needs.

One-time payment pricing

With this approach, users make a single upfront payment to purchase the video conferencing system, typically including a license for a specific version. While it provides ownership and control, additional fees might apply for future updates or support beyond a particular period.

Pay-as-you-go pricing

A pay-as-you-go pricing model charges users based on their actual usage, such as the number of meetings or participants. It suits organizations with varying conferencing needs, allowing them to pay for what they use without committing to fixed recurring costs.

Did you know you can purchase Neat devices with a one-time payment or pay a monthly or yearly subscription?

Neat video devices have superior audio-visuals and are simple and intuitive to use without specialist training, making them the ideal solution for your hybrid teams.

Many companies are choosing Neat devices

Many companies with hybrid workforces are choosing our innovative portfolio of pioneering video devices because we&#;ve designed them with in-office and remote employees top of mind. Besides Neat devices having superior audio-visuals, all are seriously simple and intuitive to use without needing specialist training. We also work directly with Zoom and Microsoft Teams to deliver a truly native experience that&#;s continually updated to take advantage of the latest features these powerful platforms have to offer. Other Neat benefits include BYOD support and 3rd party app support.

Here&#;s a selection of popular Neat devices:

Neat Bar

Neat Bar Neat Bar is a simple, compact, elegant meeting room device that delivers superior-quality audio and video. It works brilliantly for meeting, huddle or focus spaces for up to ten people with one or two monitors and pairs with Neat Pad, our dynamic touchscreen device for starting and controlling your Microsoft Teams or Zoom meetings. 

Neat Bar Pro

Neat Bar Pro drives up to three large monitors to give you the ultimate immersive meeting experience by allowing you to simultaneously see people and content more easily. It incorporates two extreme resolution cameras and an advanced image depth sensor that combined deliver 16x zoom. Neat Bar Pro is perfect for any small, medium or large room and comes with Neat Pad.

Neat Board

Neat Board is the complete meeting room package in a simple, elegant, all-in-one device. Comprising a 65&#; multi-touch screen, a powerful audio system and a versatile wide-angle camera, Neat Board gives you a collaboration experience beyond video meetings and wireless content sharing by enabling annotations and whiteboarding. Neat Board works great for ad-hoc social interactions throughout open social spaces.

Neat Frame

Neat Frame is a unique portrait-oriented touch-screen device ideal for your home office, company&#;s huddle spaces, or hotdesking areas. Its superb eye-level camera gives you a more focused, naturally engaging, inclusive meeting experience. At the same time, the device frees up your laptop for other tasks, ensuring you stay completely attentive and engaged.

Want to know more about how Neat can support your hybrid workforce? 

We&#;d love to hear from you, so why not contact one of our product specialists today at or take the plunge and book a demo?

Sources

What is the Cost of a Video Conferencing System? Usherwood
How much does a video conferencing system cost? TVS Pro
Video Conferencing Setup Requirements: Your Checklist for Hardware and Software. Lifesize

When it comes to adopting video conferencing in the workplace, there are two types of people: those who intuitively &#;get it,&#; and those who need some convincing. For people in the first camp, the inherent usefulness and value of a video conferencing system is self-apparent; to quote one CEO and heavy Lifesize user, &#;I don&#;t cost-justify the use of our phones or computers, so why cost-justify the use of video conferencing?&#; But to people in the second camp, video conferencing represents a change to the status quo, and as such, requires additional cost-justification before it can be fully embraced and adopted across the organization. 

How much does video conferencing cost?

Today, most organizations are adopting cloud-based video conferencing services. Pricing for these services typically starts with a free trial or &#;freemium&#; offering with limited functionality and scales to enterprise pricing designed for larger organizations with hundreds or thousands of users. Most, but not all, cloud video conferencing vendors (including Lifesize) charge based on a &#;per host&#; model, meaning usage is billed based on those actively scheduling and facilitating meetings whereas meeting attendees and guests are typically able to join for no cost.

Organizations just starting with video conferencing generally should budget $13 to $20 per host per month &#; or $150 to $250 per year when billed annually. For many organizations, this is less than the cost of legacy audio-only or web conferencing contracts, and one common cost justification is to simply replace a legacy audio conferencing plan with a modern video conferencing solution that includes audio calling and screen sharing as well. 

The cost of video conferencing equipment can range from basic $100 webcam setups to $2,000 DIY kits of off-the-shelf consumer hardware, and all the way up to $10-20,000 or more for integrated telepresence solutions. Meeting room equipment is typically sold as a one-time, upfront purchase, but can also be leased or financed &#;as a service&#; with costs spread out over multiple years. In the latter scenario, organizations should budget $100 to $300 per room per month (or ~$1,200 to $3,600 paid annually) to enable your teams with reliable, business-class video conferencing. (Note, like computers, smartphones or any other technology, the expected lifecycle for video conferencing equipment varies greatly by provider. Organizations should consider the life expectancy of video conferencing equipment before purchasing to fully understand the total cost of ownership over a 5-10 year period).

If you don&#;t know where to start, you can check out our list of best video conferencing equipment. 

Cost of video conferencing software/service

A cloud video conferencing software service is all that is required to enable video conferencing on personal devices like laptops and phones. Small teams and remote teams without conference rooms may not need meeting room equipment and can opt for a software-only solution. Free video conferencing apps are available but typically restrict usage by number of participants or max call length limits. Encrypted and reliable business-class video conferencing services average between $13 and $20 per host per month.

• Lifesize: Starting at

  $12.95

  host/month (View pricing)
• WebEx: Starting at

  $13.50

  For more information, please visit paperless multimedia congress terminal.

  Additional reading:
  What is a conference microphone system?
  Boost Your Display Power with HDMI 4K Video Wall Controller: The Ultimate Solution for Larger-than-Life Visuals!
  Which languages have the largest distribution?
  Mastering Language Barriers: The Ultimate Interpretation System for Fluent Communication
  Which industries can benefit from wireless infrared interpretation systems?
  The Future of Conferences: Embracing Paperless Technology
  What is a wireless microphone system? host/month
• GoToMeeting: Starting at

  $14.00

  host/month
• Zoom: Starting at

  $14.99

  host/month
• BlueJeans: Starting at

  $16.65

  host/month

Hidden Costs to Look Out For

Subscription list prices will fluctuate throughout the year as features are released and packages are reconfigured, but there are two main add-ons that buyers should be aware of:

Per-minute PSTN audio conferencing fees

Audio conferencing is a common add-on that enables a toll-free dial-in option for participants joining a meeting via a standard line. Many Zoom customers have to pick up an additional bill just for audio calling, based on their published regional audio conferencing rates. And when fees are billed per participant per minute, the extra charges can add up quickly.

For example, a 10-way audio (PSTN) conference with participants in the UK is billed at a rate of $0.87 per minute ($0.087 per participant in the call), or $52.20 per hour. The same call run on a weekly basis would cost $2,714.40 in annual usage fees for just one recurring meeting. 

SIP/H.323 interoperability

Another costly add-on is conference room connectors that are required to enable SIP/H.323 interoperability. For many software-only solution providers, the ability to add conference room calling support comes at a per-room annual fee averaging $500 per room per year. Without it, your meeting participants won&#;t be able to join from their standards-based conference room systems and will instead be forced to join from the provider&#;s software application instead.

Cost of video conferencing equipment

The cost of technology to conduct a video conference has dropped dramatically in the last three to five years. The availability of high-speed networks and HD cameras have led to all-in-one huddle room and conference room solutions that cost a tenth of what similar solutions sold for less than a decade ago. DIY video conferencing kits of off-the-shelf USB devices can be assembled for about $2,000 and all-in-one devices can be deployed for as little as $99 per room per month.

• Lifesize Icon 300: Starting at

  $99

  room/month or $1,999 (View pricing)
• Logitech Tap Kit for Zoom Rooms: Starting at

  $2,899

  (CDW)
• WebEx Room Kit Mini: Starting at

  $4,946.99

  (CDW)
• Zoom, BlueJeans, GoToMeeting: Require custom quote and/or yearly $500 room connector fee (hardware not included)

CapEx vs. OpEx

Today, businesses have options in how they choose to purchase or lease video conferencing camera systems for their meeting rooms. While video systems are traditionally CapEx-heavy investments, rooms-as-a-service models provide an OpEx option for securing meeting room hardware at a flat monthly or annual rate.

Video Conferencing Total Cost of Ownership (TCO) Calculator

TCO factors in the direct and indirect costs of a product and includes more than just what&#;s on the price tag. Additional costs like per-minute audio conferencing fees, SIP/H323 interoperability charges and any potential infrastructure improvements required to support a solution can add up. Here are the top five factors that contribute to the total cost of ownership:

1. Subscription/License Fees &#; Contracted per-host subscription costs, including any add-ons like webinars, recording or integration packages
2. Bandwidth/Audio Calling Fees &#; Video conferencing can increase a company&#;s internet bandwidth usage, and many solutions charge an additional per-minute fee for audio calling
3. Infrastructure &#; Costs to outfit conference rooms with additional displays or ethernet drops
4. IT Troubleshooting &#; IT time and resources to maintain equipment and manage vendor relationships
5. End-User Troubleshooting &#; User time and resources to learn a new solution

Our video conferencing TCO calculator lets you compare vendors based on simple user and usage inputs and provides a detailed output of the pros and cons of each solution.

Calculate savings

Video Conferencing ROI Formulas

While many of the more social benefits of video conferencing are difficult to calculate, it&#;s still important to evaluate the ROI of any technology before making an investment. Understanding the value obtained by implementing video conferencing helps business decision makers understand why video conferencing should be viewed as a necessity, not just a nicety. Here are three ways to calculate your video conferencing ROI:

Travel Savings

Look at the travel costs for the sites your employees usually travel to and from. What percentage of those travel dollars can be displaced using video conferencing? Calculate an average annual travel budget and apply a reasonable percentage that can be substituted by video conferencing. 

[Average Trip Expense] x [# of Traveling Employees] x [# of Meetings Requiring Travel]
x [% Video Conferencing Displacement]

Compare the output of this calculation against the cost of a video conferencing service. It can help give you a rough estimate of how long it will take to pay back your initial investment.

[$1,000 Average Trip Expense] x [50 Traveling Employees] x [20 Meetings]
= $1,000,000 travel budget

If only half of those meetings occurred over video conferencing, you could use that $500,000 to video-enable your entire organization and outfit 100 meeting rooms with 4K video conferencing systems. And with high-quality, HD video conferencing, you don&#;t lose any of the details of real-life, face-to-face interactions.

In addition to the physical price of airfare and lodging, there are also productive hours lost to travel. Traveling to and from airports, going through security and waiting to board planes are all ways that productivity is hampered. On average, eight hours are wasted in an average trip. Don&#;t forget to include the cost of hours wasted each trip in your average trip expense. 

Increased Meeting Productivity

The average employee is scheduled for nearly 60 meetings every month. With one out of three minutes of every workday spent in meetings, it&#;s important to maximize meeting productivity to make the most of your time. 

At Lifesize, our average meeting time continues to clock in at about 18 minutes &#; well under the 30 or 60 minutes your calendar would suggest. By reducing the time it takes to ask &#;Who just joined?&#; ten times a video call and removing nonverbal miscommunications, you&#;re able to get right into the meeting at hand. It may seem like a minor contribution to ROI, but even 5 minutes a meeting saved over 60 meetings nets you 5 extra hours a month.

[Monthly Average # of Meetings] x [Average Minutes Saved]

Multiply that by the salaries in the meeting room, and you&#;ll quickly find a return on your investment.

Technology Displacement

A third ROI consideration takes the form of technology displacement. Typically, video conferencing is deployed as a replacement for an outdated web conferencing or audio conferencing solution. Take the money that would be used on traditional conferencing and apply it to an all-in-one solution that covers audio, web and video conferencing. You may be able to justify the cost of a modern cloud-hosted solution just by retiring an outdated and underutilized service.

[New Video Conferencing Subscription] &#; [Retired Conferencing Subscription]

Of course, the real ROI of video conferencing is the value placed on the technology by the users. If users perceive a benefit to video conferencing and find it easy to use, they will use it and the technology will quickly be seen as a business-critical component of their daily work.

Comparing Costs: Which Video Conferencing Solution Is Best for Your Business

 

With seemingly endless options for video conferencing solutions in today&#;s workplace, including offerings from a bevy of brands like Microsoft, Cisco, Google and more, we want to make it easy to navigate potential vendors and choose the best video conferencing for your needs and your budget, whether you&#;re a huge corporation or a small business. Our guide to Selecting a Video Conferencing Solution is a great starting place for questions to ask and features to look for when evaluating your needs. And armed with the right information, our TCO Calculator will give you a side-by-side cost comparison of many of the most popular video conferencing vendors.

For more conference room multimedia solutionsinformation, please contact us. We will provide professional answers.