Google ‘pay as you go call answering’ and a lengthy list of potential providers appears. So far, so good.
Take a closer look at the ‘pay as you go’ packages and pricing options, however, and you will see things are not as clear cut as you may have imagined.
This article looks at the concept of ‘pay as you go’ call answering and looks to identify the pros and the cons of this approach to procuring call answering services.
Paperclip and pay as you go call answering (PAYG)
Paperclip is a long-established provider of professional, tailored, and affordable PAYG call answering services. With the exception of holiday cover, Paperclip’s business model is based on clients paying for minutes used. Payment is by direct debit at the end of the month. There is also a small monthly service charge.
We have arrived at this pricing model after many years of operation as we believe it is transparent, fair to clients, and ensures we can deliver the ‘professional, tailored and affordable’ call answering services referred to above.
What is PAYG call answering and how does it work?
So, what is ‘pay as you go call answering’, how does it work, and what are its advantages and drawbacks?
How PAYG works
Although there are many variations, a standard ‘pay as you go’ model charges a fixed cost per call. A trawl through ‘pay as you go call answering’ websites indicates that the cost per call ranges from 99p up to £1.75. In some cases, a monthly subscription fee is charged which is deducted automatically from the credit balance. There may be other charges for, for example, set-up, call transfers, provision of a telephone number etc.
Payment is typically in advance, operating in some ways like a charge card i.e. you pay a certain amount in advance, and are then alerted when this is about to run out so you can ‘top up’ your account. Many providers offer a reduction in call charges if you pay more in advance.
Some providers state a minimum spend per month, whereas others simply require that they answer at least one call per month.
Because payment is on a ‘per call’ basis, ‘pay as you go’ providers are typically, but not exclusively, offering a simple message taking service, with the message being sent through to the client by SMS, email or similar.
Call transfers, i.e. putting a call through to another number such as a mobile, tend not to be included in pay as you go packages as there is a cost to the provider. For example, one pay as you go provider adds 50p for any call that needs transferring.
PAYG - The pros
The attraction of ‘pay as you go’, as for Paperclip’s ‘pay for the minutes used’ approach, is that your call costs reflect the volume of calls answered on your behalf. As with Paperclip’s 30-day rolling contract approach, pay as you go providers don’t ask for any long-term commitments.
Note that some call answering providers will attempt to tie you in to, for example, annual contracts with a minimum spend per month. This is good for the provider’s cash flow predictability, but not for you!
‘Pay as you go call answering’ is often promoted as an entry-level solution, targeting new start-ups or micro-businesses. In some cases, pay as you go appears to be promoted as a ‘loss leader’ with the provider then seeking to switch the client to a more bespoke offer.
PAYG - The cons
As mentioned at the start of this article, the Paperclip call answering mantra is professional, tailored, and affordable.
The fact that ‘pay as you go’ costs-per-call range from 99p to £1.75 should be a red flag. If you are paying 99p per call, the provider is saying they have just over a minute to answer your call, collect relevant information for the message, and then forward that message to you. This puts considerable pressure on the call handler to deal with the call quickly, regardless of the circumstances of the caller. For example, the caller may be elderly, not have all the information to hand, require guidance with regards to a product or service before being able to leave a message, and so on. How would you feel if you were the caller, and you were being ‘rushed’ to explain what you need?
The ‘pay as you go’ fixed cost-per-call approach automatically precludes many business types from using it. For example, Paperclip has a strong portfolio of primary (private GP practices) and allied healthcare providers (physiotherapists, podiatrists, osteopaths etc). When clients (patients) call in to book an appointment, the call may take several minutes if it is difficult to identify a convenient time for the caller, or if they wish to relay important medical information to inform the specialist prior to the appointment.
Paperclip has adopted the ‘pay for the minutes you use’ pricing model because we feel it more accurately reflects the sheer variety of callers and their needs. For example, if you are using call answering to maintain a reputation for customer service, then it is important, on occasions when a customer is distressed, for the Paperclip call handler to build rapport with the customer so as to be able to deliver the best outcome for them (and for you, our client).
With the ‘pay as you go’ model, there is little leeway to build a strong relationship with the client. As you can read in our article on the subject, Paperclip clients have many and varied client journeys with us. They may start with basic call answering and, over time, extend to live chat, admin support and more. The ‘pay for minutes used’ model facilitates flexibility in client journeys.
PAYG - Conclusion
‘Pay as you go telephone answering’ appears, intuitively, to be a good idea. However, for the same reason that most people have monthly mobile phone contracts rather than pay-as-you-go, when you look closely at the limitations of the ‘pay as you go’ approach it is not as attractive as it may at first feel.
The Paperclip position is that paying for the minutes you use is a more realistic approach to call answering economics. Paperclip call handlers are trained to be polite active listeners, but they are also trained to be assertive in terms of guiding the call to identify the best outcome for the caller based on their requirements. ‘Pay as you go’, we feel, tries to apply a ‘one size fits all’ approach to call answering and, as anyone who has endured a ‘one size fits all’ tee-shirt or sweatshirt, the outcome is rarely a happy or attractive one!
If you would like to discuss whether call answering can work for your business, then call the Paperclip team on 01246 418 181. We look forward to speaking to you.
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Hi, I’m Louise Bellwood, Director at Paperclip. I am responsible for delivering Paperclip’s customer service and growth strategies for 2024 and beyond, I am a crusader for the benefits call answering can deliver for organisations of all kinds; customer service, sales generation, customer retention and more. If you have a question about call answering – pricing, set-up, benefits – I would love to hear from you at louise@paperclip.co.uk or 01246 418 181.