Back in 2020, many small businesses rushed to adopt video conferencing to survive lockdowns. Fast forward to 2025, and tools like Microsoft Teams and Zoom are no longer “nice-to-haves”, they’re essential for businesses to communicate internally and externally.
But with both platforms continuing to evolve, many UK business leaders are asking: which is best for SMEs today, Microsoft Teams or Zoom?
As an IT partner working with SMEs across the West Midlands and beyond, we’re often asked to recommend the right solution. The answer isn’t the same for everyone — it depends on your business goals and existing IT setup.
In this article, we’ll break down:
- The current state of Microsoft Teams vs Zoom in 2025
- Key differences in features, pricing, and integrations
- Strengths and weaknesses of each platform for SMEs
- Our verdict: which is best for your business?
Microsoft Teams in 2025: More than meetings
When it launched, Microsoft Teams was seen mainly as a chat and video meeting tool. But in 2025, it has become a central hub for collaboration in Microsoft 365.
Key features for SMEs include:
- Integrated chat, video, and voice – one app for communication.
- Native integration with Microsoft 365 – Word, Excel, PowerPoint, and SharePoint built in.
- Task and project management – with Planner and To Do inside Teams.
- Collaboration across devices – desktop, mobile, or even on-site tablets.
- AI-powered features with Microsoft Copilot – meeting transcripts, summaries, and action points automatically generated.
For SMEs already using Microsoft 365, Teams often feels like a natural extension of what you already pay for.
Zoom in 2025: Simplicity and specialist strength
Zoom became the household name for video calls during the pandemic, and in 2025 it’s still highly regarded for reliable, high-quality video conferencing.
Key features for SMEs include:
- Best-in-class video quality – known for reliability even on weak connections.
- Simplicity – easy to join a meeting without training.
- Zoom Phone – a cloud telephony system for businesses.
- Zoom AI Companion – real-time meeting notes, summaries, and suggested responses.
- Webinars and events – a strong platform for hosting larger online sessions.
Zoom’s strength lies in communication. It does video and calling extremely well, though it doesn’t match Teams’ depth of integrations with business apps.
Pricing: Teams vs Zoom
Microsoft Teams
- Included in most Microsoft 365 Business subscriptions (from around £4.60/user/month for Business Basic).
- Also available on its own as a Microsoft Teams Essential licence (~£3.10/user/month)
- Teams Premium available (~£7.70/user/month) with advanced meeting features like live translations and custom branding.
Zoom
- Free plan with 40-minute meeting limit.
- Pro plan from ~£11/user/month.
- Business and Business Plus plans offer more features, with Zoom Phone as an add-on.
For SMEs already paying for Microsoft 365, Teams can be more cost-effective as you’re likely already licensed. Zoom requires a separate investment.
Integrations and Ecosystem
- Teams: Seamless with Microsoft 365 apps, Power Automate workflows, and third-party connectors (like Trello, Salesforce, or ServiceNow). It’s designed to be the all-in-one collaboration hub.
- Zoom: Integrates with Google Workspace, Slack, Salesforce, and other platforms. Strong for SMEs who don’t rely on Microsoft 365 but still want reliable meetings.
Pros and Cons for SMEs
Microsoft Teams Pros:
✅ Included with Microsoft 365
✅ All-in-one communication + collaboration hub
✅ Deep AI integration with Microsoft Copilot
✅ Secure and compliant for regulated industries
Microsoft Teams Cons:
❌ Steeper learning curve for new users
❌ Can feel “busy” with too many features
❌ Best suited to Microsoft 365-heavy businesses
Zoom Pros:
✅ Industry-leading video and audio quality
✅ Simple to use for staff and clients
✅ Strong for webinars and virtual events
✅ Zoom Phone is a solid telephony solution
Zoom Cons:
❌ Costs extra alongside Microsoft 365
❌ Collaboration features limited compared to Teams
❌ Less secure ecosystem if not paired with good policies
Which is best for SMEs in 2025?
The choice often comes down to your existing ecosystem:
- If your SME already uses Microsoft 365 daily (Word, Outlook, Excel, SharePoint), then Teams is the smarter choice. It’s already included in your licence, integrates seamlessly, and with Copilot AI, it’s becoming a true productivity hub.
- If your SME needs simple, reliable video conferencing — for example, external meetings with clients who may not use Teams — then Zoom may be worth the extra cost. Especially if you run webinars or want to explore Zoom Phone as a communications platform.
Final thoughts
For most UK SMEs in 2025, Microsoft Teams offers the best value and functionality because it ties into the tools businesses are already paying for like SharePoint, Outlook, and the rest of the M365 suite of apps. But Zoom still holds its crown as the simplest and most reliable meeting tool, especially for external-facing comms.
Ultimately, the “best” choice depends on your workflows. Some businesses even run both — Teams for internal collaboration and Zoom for external meetings.
