0800 numbers - are they so good?

[SillyJokes]

I've seen 0800 numbers bandied about as 'must have' but I was wondering about what their drawbacks are.

My list so far is as follows:

Higher cost per acquisition of customer.

You have to pay not only for the phone call but also for the staff time in answering it - as a website business devoted to making the web work is this a step backwards? Let your competitors take these costs and leave the easy customers to me.

Time spent talking to 'time wasters' who may one day buy. Ok they may buy in the future, but again my target market is someone who can order straight from the site - I can handle many more of these than lengthy phone calls from people asking my opinion on 80's themed fancy dress.

For ecommerce sites with affiliates it is worth knowing that many of the best affiliates will not promote a site with prominant 0800 numbers - is the loss of business proportional to the gain?

Is there a minimum average order size that makes having an 0800 number viable. We take orders for less than £2 on the website - I couldn't afford to take these by phone, let alone by an 0800 number.

I suppose the answer might be to test it for a couple of weeks - but the set up to answer the calls in the office is what I'm most worried about.

What number of calls can you expect per 1000 visitors?

What is the cost to me of a 5 min phonecall on an 0800 number, staffing apart?

Has anyone added an 0800 number and seen an impressive increase in sales as a result?

 

[DuaneJackson]

My gut feeling, based on what I suspect is your profit margin per sale, is to say that in your case it would not be worthwhile.

I'd be interested to hear others thoughts though.

 

[Enigma121]

We went for an 0845, our rationale being most customers don't object to paying a small amount to call you.

You also avoid telemarketeers from spending hours drivelling on at your expense.

You still get the "national scale" feel, but save a little on the cost of each call.

Unless you are planning a REALLY big marketing campaign where you expect thousands of responses but only from people that won't pay for a phone call, then I wouldn't bother.

0800 is really in the relm of "free information services" in my book.

You only provide such things if it's part of your core business - eg. Virgin Trains, BT, ISP support lines, etc. etc.

 

[gary]

I can only speak from my experiences, though they may be helpful as I also considered much of what SillyJokes is asking.

Tie Warehouse has had an 0800 number for about a year, and in that time I couldn't honestly say whether the fact it is a free number has made any difference to the number of calls we've received, as we've grown considerably since it was introduced, so the extra calls could just as well be as a result of the natural growth. I can say however, that the ability for people to phone us has made a difference, and a number of sales have been completed when they may otherwise have ended up as dropped carts, because the customer either has a query about their order or their payment has been declined for whatever reason.

We don't do many orders by phone, and like SillyJokes we try to encourage people to order online as it is generally more efficient. There are options though if you want to allow customers to order by phone, like outsourcing it to a specialist service so the calls don't even go to you. I must admit I wouldn't be happy doing phone orders for a £2 product, but we don't have anything at that price so it's not really an issue for us.

As far as the affiliates go, I'm also told there is a reluctance to promote sites that have a contact phone number visibly displayed. This I feel is unfortunate, as just because there is a phone number doesn't mean sales with automatically go by phone. In fact, the majority of calls we get are general enquiries, rather than sales.

As far as costs go, our 0800 number is negligible in comparison to the extra sales we get as a result (we pay 4p per minute). At the same time though, I don't think it would make much difference if you used a normal landline number. My impression is that you use an 0800 number if you want to encourage people to call; if you just want to give them a means of contacting you, a landline number is fine.

 

[Ozzy]

Hi Caroline,
My market is very different from yours, and my cheapest product is £20 so taking telephone orders is not a problem. However, I can say that my orders went up by 20% instantly (I mean within the space of around 6 hours) from the moment I put the 0800 number at the top of my website. I actively encourage people to phone even though its more cost effective for me if they were to place their order online (read my last months newsletter).

Your market is different because you are selling low priced novelties, and the sort of thing most people, I imagine so dont quote me, would not have too many questions on what they are actually buying.

0800 phone numbers are not that expensive, but then again an 0845 number might be the way to go. I'll do you a deal on an 0845 number if you want to do a trial (I'll PM you). That way the person is just paying a local call to contact you, as mentioned above.

Personally, I would encourage everyone with a website to display a phone number in a prominent place to avoid dropped carts like Gary mentions. That way they feel confident in that they can call you if they get stuck.

 

[Top Hat]

I can say that my orders went up by 20% instantly

That pretty compelling.

What percent of phone orders were you doing before?
and what percent after?

Then I can do the maths, with some pretty accurate guesses

 

[SillyJokes]

I should say our average order is not £2 and we don't currently take phone orders for less than £10 to avoid time wasting. We are looking to increase average order size from around £20 and imagine that a phone order might be gently 'talked up' with valuble suggestions from knowledgable staff.

I don't know if call centre staff would be able to have the breadth of knowledge.

 

[SillyJokes]

Ozzy, may I ask if you replaced an exisiting number with an 0800 number or was the 0800 number the first number to appear prominantly at the top of the page?

 

[Ozzy]

Before the 0800 went up there was no phone number at the top of my site, the 0800 was the first and it stayed. Prioer to that 99% of orders were over the Internet and now about 90% are 2 years after the number went up.

I have no cold hard facts for the next statement....
I believe by demonstrating that you are available at the end of the phone it gives confidence to the shopper initially to try to order online, knowing they can call if they get stuck. MY orders have gone up generalkly anyway, part through natural growth and perhaps part by increased credability.
Perhaps some shoppers may feel "what do I do or who do I call if I get stuck?" - Another thing to consider, what do you main competitors do?

 

[Ozzy]

Another thing... Generally when I get a telephone order from someone placing their first order I find all their future orders are placed online - always, without any pushing. I do think its an initial reassurance thing wanting to know there is someone there who is willing to help.

 

[seabro]

When I started my business I used an 0845 number for portability purposes.

One day a customer asked me if he was calling a premium rate number and I thought.. how many customers weren't sure and didnt call?

I ordered an 0800 number straight away and put that anywhere where I want to attract new customers. On my invoices stays the 0845 number.. and thats the one existing customers are given if they ask.

 

[cjd]

We're just about to launch 0800 numbers (I said that last week too!).

The blurb below sells their benefits and reasons for use.

Whether they are of any actual use to you depends on your business. One good indicator is whether your competitors use them; if they do you can't afford not to.

I also feel that if you are selling a high value, high margin good then they are a trivial cost and you should do it without thought, but the opposite is not necessarily true.

Who don't they work for? Well I guess my company is a good example. We sell products that are so low cost and so low margin ( a 1p telephone call, a £1.99 telephone or a 99p extension for example) that if a customer calls us we lose any profit they might generate for months - even if we don't use 0800.

To my mind if you can't work out the benefits it's worth trying for a month or two because the down side is small.

The second reason to use 0800 is to work out what adverts and media works best for you because you can put a different number on each and then measure what drives calls to your business best. In the new world of VoIP you can think of the numbers as disposable becasue they are paid for one month at a time without contract.

Anyway, marketing shite follows:


0800 – Marketing Numbers

What are they?
0800 numbers are powerful marketing tools as 93% of consumers know that they can call them for free. (Source: Henley Centre research).

They have two main uses:

1 Providing free access to your business for you customers, often used as sales lines.
2 Advertising campaigns. Customers are given a ‘toll free’ number to call in response to an advert or promotion.

Because customers can phone your business free of charge from anywhere in the UK, they are especially valuable when marketing to new customers. They are also a proven way of increasing business and developing customer loyalty.

Some benefits of 0800 numbers:
• They nationalise your company
• They remove a barrier from customers calling you
• They give you an advantage over your competitors
• They increase your advertising response and attract new customers
• They convey a professional image
• They provide useful information about your ad campaigns and promotions
• They are portable and are yours for life - they don’t change if BT changes its number schemes or if you move location

Of course, a unique advantage of 0800 numbers is that you can keep track of your advertising response rates. By using separate 0800 numbers on each of your advertisements or by having a different number in each of the media you advertise in, you can monitor their effectiveness simply by looking at your call statistics on-line in real time, at any time. So, you can save money by choosing the adverts and media that produce the most effective results.

With Voipfone, 0800 numbers works instantly, there is no ordering or waiting. There are no contracts and no set-up charges. You can cancel them at any time – just use them when you need them.

How does it work?
You go to our package builder and choose the 0800 number, buy your number and you’re ready to use it straight away.

Please note that you must have credit on your account to receive calls.

Once you have your number you need to do something with it. The 0800 number can be used on its own just like an ordinary number with the obvious exception that your own account will be charged for the incoming call. You can use it as your main number or divert it to any other number anywhere.


Diverting 0800 numbers
If you take an 0800 number it can be directed to any other number. This means that you do not even need a broadband VoIP installation at all – you can simply divert the incoming calls to your existing BT telephone number. You do this on line in Your Account. It’s instant and free and can be changed at any time.

Diverted calls will be charged at our normal rates which can be found by using the call cost calculator on the left. Typically this will be less than 1p per minute to most of the Western World.

Monitoring and reporting
Calls to the 0800 number are recorder in Your Account with information on time, duration and incoming number. They can be downloaded to CSV file and analysed in anyway you like using your spreadsheet software such as Excel. There is no charge for this service.

Features and Functionality
The numbers have the same features as ordinary number which means they can be diverted to Voicemail, put on hold with music, transferred to any number, used with the Virtual PBX and Call queuing services etc. The full list of services (most free) can be found under Services.

How much does it cost?
The numbers cost £4.99 per month (inc. VAT). Calls to the number will be charged to your account at 3p per minute (inc. VAT).
Diverted calls will be charged at our normal rates which can be found by using the call cost calculator on the left. Typically this will be less than 1p per minute to most of the Western World.

 

[Magsite]

Internet Telephone Services for Small Businesses
www.voipfone.co.uk

The freephone was mentioned 2 weeks ago! and still not availble!

I've been holding my breath for too long...

Lisa

 

[bettypaterson]

[FONT=&quot]Actually I don't have experience of using 0800 numbers, I'm just going to change my company's numbers to toll free as I found one research showing that 64% of customers will call a Free phone number first as they see 0800 numbers as a sign that the company really wants their business and of course creditability increases for shoppers online as you said. More facts I found her[/FONT]e en.wikipedia.org/wiki/0800_number. But actually I'm still not sure if 0800 numbers are so good... As everything they have pros and cons, and I think I just have to try it in practice. I found smart-numbers.net, who can assist in this questions. Do you know some other reliable companies?


[FONT=&quot]
[/FONT]

 

[HC-Martin]

This thread is from 2005!!!!!

 

[cjd]

The power of the search function

Advice on choosing numbers here - including the Ofcom research

http://www.ukbusinessforums.co.uk/forums/showthread.php?t=46850&highlight=telephone+numbers

(Our 0800 numbers cost £4.99 pm with an inbound call charge of 2.55p per minute.

 

[bettypaterson]

Thank you for advice.
I knew it's old, but I found useful information in this forum.

 

Well as mentioned it is tied in with the value of your product.

As a technical site we could not possibly have an 0800 number as we would be answering technical queries all day long.

In fact we are considering a premium No for such purposes to try and cut down on those types of calls.

definitly a free phone number is a big plus for the right product.

Earl

 

[cjd]

In fact we are considering a premium No for such purposes to try and cut down on those types of calls.
Earl

I think that is a perfectly valid use of a premium number - more people should do it.

 

[gazza72]

I've seen 0800 numbers bandied about as 'must have' but I was wondering about what their drawbacks are.

My list so far is as follows:

Higher cost per acquisition of customer.

You have to pay not only for the phone call but also for the staff time in answering it - as a website business devoted to making the web work is this a step backwards? Let your competitors take these costs and leave the easy customers to me.

Time spent talking to 'time wasters' who may one day buy. Ok they may buy in the future, but again my target market is someone who can order straight from the site - I can handle many more of these than lengthy phone calls from people asking my opinion on 80's themed fancy dress.

For ecommerce sites with affiliates it is worth knowing that many of the best affiliates will not promote a site with prominant 0800 numbers - is the loss of business proportional to the gain?

Is there a minimum average order size that makes having an 0800 number viable. We take orders for less than £2 on the website - I couldn't afford to take these by phone, let alone by an 0800 number.

I suppose the answer might be to test it for a couple of weeks - but the set up to answer the calls in the office is what I'm most worried about.

What number of calls can you expect per 1000 visitors?

What is the cost to me of a 5 min phonecall on an 0800 number, staffing apart?

Has anyone added an 0800 number and seen an impressive increase in sales as a result?

You may want to look at 0844 ( very similar to 0845 ) ITS FREE !
Caller pays 5p a min
www.firestormtelecom.co.uk

 

[SimonCh]

0800 numbers aren't as expensive as you'd think. The ones we provide have call costs that start at under 2p per minute. If you work out the amount you make on a sale, verses how long the average sales call takes, you can work out how much the calls will eat into your profits. Chances are it'll be less than you think, and hopefully having an 0800 number will generate an increase in sales calls which will cover the difference.

If you work it out and decide you can't justify an 0800 number, you can still go for an 0845 number. You won't be charged anything to receive calls on an 0845 number.

Getting an 0800 or an 0845 number is less expensive than people think too. We don't charge a setup fee at all for our standard numbers, so getting an 0800 number will only cost you the first month's service fee, and an 0845 can be set up and running completely for free.

(the free standard numbers I mention above are the "less memorable" ones; we do charge a setup fee for our more memorable numbers, but see the promo code in my sig for a discount)

Hope that helps

 

[SimonCh]

..we would be answering technical queries all day long... In fact we are considering a premium No for such purposes to try and cut down on those types of calls.

I think that is a perfectly valid use of a premium number - more people should do it.

Seriously -- watch out for premium numbers! It's a minefield.

You need to register with the regulators PhonePayPlus [formerly ICSTIS], and conform to a lot of very complex rules, especially for live voice services as a support line would be. It's quite possible they may not even approve your service at all, but even if they do, you have to run it scrupulously, as PPP are starting to hand out some eye-watering fines for seemingly minor breaches.

Even though we sell premium numbers, I wouldn't recommend anyone to touch them with a bargepole.

 

[DreamLifestyle]

Benefits of a Freephone number
• Research shows that 64% of customers will call a Freephone number first.
• Consumers see 0800 numbers as a sign that the company really wants their business.
• Brilliant promotional tool. Using an 0800 number can increase response levels by up to 40% (source, Chartered Institute of Marketing).
Freephone numbers are free to the caller from any landline within the UK. The organisation who “owns” the Freephone number pays for the call, at rates starting from as little as 2.2p per minute.

Call Esther on 0800 496 8111 if you would like to get set up with one, or visit www.0800number.org.uk for more details.

 

[Call Tracker]

I think 0845 numbers are useful for monitoring advertising response rates.

0800 numbers are good for manufacturers of large scale products that rely on callers telephoning in to order products who may not order if the competitor has a freephone and you don't.

mediahawk.co.uk

 

[itaufait]

I think 0845 numbers are useful for monitoring advertising response rates.

Personally, I find it quite offensive that someone is asking me to buy something from them and wanting me to pay for the phone call as well... Especially when we're talking about large one-off payments or recurring payments. When I go to a website and it lists 0845, 0870, etc numbers for contacting for a quote or for sales, I just close the browser tab without even looking any further.

 

[martyn0800]

Hi all, I work for a company called global communications, we supply all types of telephone number i.e 0800, 0845, 0844, 01, 02 etc. We divert all numbers free of charge to a mobile or landline with no monthly bills. At the end of the day every person is different and they call companies for different reasons so if you advertise an 0800 as well as an 01 or 02 number you cannot loose. If you don't advertise a 0800 then you are missing out on the percentage of people that use them. check out our website to find out all benefits of geographic and non-geographic phone numbers

Martyn Papprill
Sales advisor
Gcs limted/ webbuilt4u.co.uk
01245 218247

 

[jossecarr]

One reason why toll free number gained popularity to businesses is because of its capabilities in increasing response rate from callers. Since the number is free of charge for the calling party, many then are encouraged to use the number in getting in touch with you. With the rise of the internet technology where in online shopping is very rampant, people would still opt to use the phone is placing order instead of using the online resources.

 

[A1Trades]

...has anyone got up to date info regarding the price of 0800 numbers?