Toll Free 800 Numbers - Good Investment or waste of $$$?

rtheodorow · 04-11-2005, 02:28 PM

I was looking into setting up a toll-free #, which would forward to a cell phone. I would want something very inexpensive though. Does anybody have any suggestions on who to go with? Also, is a 800 number worth the investment or a waste of time? Thanks...

gorillaboy · 04-11-2005, 03:17 PM

Quote:

Also, is a 800 number worth the investment or a waste of time?

If you can't answer that, then I would tell you not to get one.

It depends on your business. What kind of biz is it?

rtheodorow · 04-11-2005, 03:35 PM

Small web design firm with mostly local clients....still have many national clients though...

HP1 · 04-11-2005, 05:47 PM

Some online businesses do not need this option, others can't be without it. It also really depends on your prospective and existing customers. Are they comfortable with e-mail, a local number, etc? Are they use to dealing with sales reps and companies via an 800#? If they are use to dealing with companies that have an 800#, they might think that all companies that they do business with should have one.

I have an 800# and it has definitely helped me. I have been using freedom voice for about 3 years or so. They are very affordable and have some good features (general greeting, customized music on hold, mailboxes and your callers find you anywhere, etc.).

If you choose them, let me also share my two negative experiences.

The first...my monthly charges are automatically billed to my credit card and about a year ago my credit card expiration date was up and I forgot to forward them the new information. In the evening I received an e-mail stating that my credit card info was expired and in the morning I called them to provide the new info. Nevertheless, my services were terminated pretty much after I received the e-mail that night - which really pissed me off considering that I was never late with a payment! They apologized, gave me credit and blamed it on a technical error.

The second...I think it was November of last year, all of my per minute charges were multipled by 10. Instead of being charged .07 a minute for example, I was charged .70 a minute.

On the positive side, they did fix both problems immediately. But for some, these two isses would be enough to make them run. I have just found that overall they are ok. Hope this helps.

rtheodorow · 04-12-2005, 07:34 AM

Quote:

Originally Posted by HP1

Some online businesses do not need this option, others can't be without it. It also really depends on your prospective and existing customers. Are they comfortable with e-mail, a local number, etc? Are they use to dealing with sales reps and companies via an 800#? If they are use to dealing with companies that have an 800#, they might think that all companies that they do business with should have one.

I have an 800# and it has definitely helped me. I have been using freedom voice for about 3 years or so. They are very affordable and have some good features (general greeting, customized music on hold, mailboxes and your callers find you anywhere, etc.).

If you choose them, let me also share my two negative experiences.

The first...my monthly charges are automatically billed to my credit card and about a year ago my credit card expiration date was up and I forgot to forward them the new information. In the evening I received an e-mail stating that my credit card info was expired and in the morning I called them to provide the new info. Nevertheless, my services were terminated pretty much after I received the e-mail that night - which really pissed me off considering that I was never late with a payment! They apologized, gave me credit and blamed it on a technical error.

The second...I think it was November of last year, all of my per minute charges were multipled by 10. Instead of being charged .07 a minute for example, I was charged .70 a minute.

On the positive side, they did fix both problems immediately. But for some, these two isses would be enough to make them run. I have just found that overall they are ok. Hope this helps.

Thanks HP1....I think I'll hold off for now then. Most clients are local calling anyway.

imaginemn · 04-12-2005, 08:27 AM

Running a business is NEVER inexpensive. You need to make good business decisions and sometimes they pay off and sometimes they don't. My first year in business I struggled with the same issue should I have a 800 number, should I have a Merchant account to accept Credit Cards. Both are expensive to maintain especially if this is your only source of income. I decided to bite the bullet and get both. I would say the first few months I felt like I had made a big mistake but after a few months of advertising and getting my site out there it eventually became VERY clear that I had made the right decision.

Yes, there are time that I get a few phone calls on my 800 number that turn out to be a waste of money but then there are those calls that make up the difference. My advice to you is think big get big, think small stay small and the old saying applies. It takes money to make money. If you are only after local clients then it would be a waste of time and money but if you are looking to get national recognition then it's almost a must. Web design and development is a VERY competitive market. If you want to get those big contracts and stay competitive you not only have to have what your competition has but you also need that extra service or added value that will make you stand out ahead of the competition.

Think of this. If you are a potential buyer looking for quotes and you find company A with a 800 number and company B without which one are you most likely to call? Do you want to pay for a phone call just for a free quote?

I use AT&T Business Direct and it typically starts at around $20/mo and I pay 2.5 cents a minute. I typically have my 800 number forwarded directly to voicemail and immeditaly return the call on my cell phone. That way I don't have to get charged more than I have to on my toll free number.

imaginemn

SVB · 04-12-2005, 09:06 AM

Me and many people I know would prefer email over phoning, unless it is a British company, where they understand basic English vocabulary (although some, such as 1&1.co.uk, use Indian call operators, which is a nightmare).
But if a phone call was vital, then yes, a freefone number is the way to go, and is much more appealing than a 60p per minute number or equivilant.

Quote:

It takes money to make money.

Don't think that appeals nowadays! Think Adsense and other advertising schemes...Even though we're simply talking pocket money, it is still a couple of thousand per month for absolutely nothing...

imaginemn · 04-12-2005, 09:34 AM

Quote:

Originally Posted by Stephen Bradley

Don't think that appeals nowadays! Think Adsense and other advertising schemes...Even though we're simply talking pocket money, it is still a couple of thousand per month for absolutely nothing...

It does in the real world. I have not heard of anyone getting rich using adsense. Even if you are getting a few grand a month using adsense, it's still peanuts. Most people who want to make real money are typically not running adsense on their sites anyways. I used them for a while on my site and made a few grand but realized that it was costing me more business than I was making due to competitor sites showing up on my site. Who do think is supporting adsense? Real companies spending thousands of dollars advertising in Google. You still need to spend money to run your server in order to host your site, register/renew your domain name, etc.

Will a 800 number guarantee sales? Probably not. Will it help. Yes. Most of my new clients come through my 800 number. I just recently finished a $5k project that took less than a week that came through my 800 number because they are in California and I am in Minneapolis. In this case $5 turned into $5k. I typically ask my clients questions about how to improve the process and how did they contact me to see what works and what isn't. They said they had talked to various companies and if I did not have my 800 number they would have never contacted me. Not only did I get this project but they referred me to 3 other companies and we are in the process of discussing a few projects.

Many people that are serious about their business prefer to talk over the phone and sending emails back and forth is not always the best way to do this. Many people get impatient and want the information right away.

I guess the point I am trying to make is that if you want your business to grow you need to invest some money and be willing to take some risks. Take some risks you can afford to lose. If you are running a business and want to make some serious money then you need to act like a big company. If all you want to do is run a kids forum and make a few dollars just enough to pay for hosting and just enough money left to buy a game for your Xbox then a 800 number is NOT for you.

imaginemn

SVB · 04-12-2005, 10:10 AM

Quote:

Even if you are getting a few grand a month using adsense, it's still peanuts

That's what I said, although I used the term "pocket money". I pay absolutely nothing for any hosting or domain names, yet make a few thousand from things like Adsense, which for an 18 year old going to university is great. Was simply a small example of getting money for nothing. As for 0800 (or whatever the freefone number is in your country) numbers I think it depends on the type of business. For example we (family) have an estate agents, usually makes around £1M gross (almost $2M) per week, and it does not have a freefone number, because our customers do not care for phone costs, they are prepared to pay up to a million for a house. But if it's just some little web design business run by one person doing small jobs making a couple of thousand every so often, then an 800 number is a good idea in order to help increase sales, and as the posters business is web design, then I would agree with an 800 number, I for one would be more inclined to call it than a more expensive number. As Imaginemn said, a lot of customers you may gain may otherwise not have contacted you if it was not for the 800 number.

rtheodorow · 04-13-2005, 01:45 PM

Thanks for all the info. I think I am going to get one. I found a good deal with no monthly or setup fees as well as 3.9 cents/minute.

P.S. 2k a month from Adsense must be nice! I am a full time web developer with 4 years experience and a B.S. from a good university and don't make that at my full-time job!!!