Category: Telephone Answering Services

There are numerous answering services that essentially perform the same task—answering your phones. It can be challenging to navigate through the various answering service prices. This guide assists you in comparing the different costs associated with telephone answering services.

How Answering Services are Billed

To comprehend the cost of an answering service, let's first understand how telephone answering companies bill for their services. Most answering services charge the following fees:

Answering Service Setup Fees

The initial component of answering service pricing is an answering service setup fee that answering services levy to set up their services to handle your calls. This setup fee covers the expenses incurred in creating scripts and rules that meet your requirements and ensure your calls are handled according to your preferences.

The answering service setup fee typically varies based on the complexity of your calling rules. A simple small business that merely requires a human virtual receptionist to answer calls after hours and take messages may incur a very low setup fee. Conversely, a more complex business with multiple phone numbers requiring different answers, along with multiple dispatch rules and procedures, may face a setup fee amounting to thousands of pounds.

If you aim to reduce the answering service setup fee, ensure to simplify your answering rules. However, bear in mind that this fee is one-time. Often, it's worthwhile to invest in setting up a sophisticated answering service configuration initially, as it reduces future workload and enhances client satisfaction.

Per Minute Answering Service Fees

Another component of most answering service pricing structures is a per-minute rate charged for activities directly related to providing client answering services. This per-minute rate may apply to activities such as time spent answering a phone call, dispatching messages related to the call, and concluding the call (e.g., taking notes about the call for the client).

The per-minute rate may also apply to activities such as configuring new dispatch rules, updating schedules, and other client-requested tasks. Many telephone answering service software systems feature specific “billable” activity flags or settings to ensure accurate billing and tracking of these activities.

As more businesses engage with customers via chat, email, and other messaging platforms, most answering services also bill by the minute for these activities. Expect these per-minute fees to be rounded up to the nearest minute or some fraction thereof. For instance, if an answering service charges £1 per minute rounded to the nearest minute, you'll be charged £1 even if a call only lasts 30 seconds. An answering service that charges £1 per minute rounded to the nearest 15 seconds will only charge £0.50 for a 30-second call.

Per Call or Per Interaction Answering Service Fees

Some answering services price their services based on interactions. For instance, an answering service may charge per call, for each SMS message received, or for each email sent, etc. These charges are less common as they are less predictable. However, if your business experiences a predictable volume and duration of these activities, this pricing approach may be suitable.

Note!

Ensure to carefully review the terms regarding how extra minutes or calls are billed each month.

Flat Fees per Month for Answering Services

Some answering services now offer flat-rate pricing. For example, you may purchase a package for £300 for a month's worth of answering services. Typically, these packages have limits that essentially convert them into per-call or per-minute billing types (e.g., the £300 monthly package may allow for 30 calls answered). Make sure to calculate the cost-effectiveness of these packages, as they are often priced assuming that you will either significantly remain under the monthly limit or greatly exceed it (in which case, overages may apply).

Other Answering Service Fees to be Aware of

Most answering services entail other service fees that contribute to their answering service pricing. Ensure to inquire about other potential fees that may apply. For instance, the following are examples of fees that may be applicable and might be stipulated in the fine print of your agreement with an answering services provider:

Holiday Fees: Some providers impose a different (typically higher) rate for coverage on certain holidays such as Christmas or Thanksgiving. Make sure to inquire to avoid surprises.
Extra Telco Fees: Certain providers pass on specific telephony fees to customers. Examples include toll-free number fees, international dialing fees, long-distance fees, etc.
Secure Messaging Fees: Secure messaging fees may particularly apply to medical answering services. If you use a secure pager system or a secure app for receiving dispatches, ensure to ask if there's an extra fee for these messages.
Fees for a Scheduling Portal: Some providers charge an additional monthly fee for access to a web portal to update your on-call schedules.

Comparison of Answering Services Costs

We conducted a search to compare different answering service costs. We scrutinized the terms and conditions of over thirty answering service companies and identified sixteen virtual receptionist companies that disclose their pricing. We chose to compare the answering services offering a monthly 500-minute answering service plan. The results of our comparison are presented in the following table:

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